Storebrand (STB) Investor Update summary

Strategic Positioning and Business Overview

• Operates as a leading Nordic financial group with strong positions in pensions, savings, asset management, and retail banking, managing NOK 655 billion in pensions and NOK 1.3 trillion in total assets under management.

• Maintains over 50,000 corporate and 2 million individual customers, with a growing digital retail bank and insurance business.

• Market leader in Norwegian pensions and strong in Sweden, operating in resilient, structurally growing Nordic markets.

• Pursues a strategy focused on occupational pensions, asset management leadership, and retail market growth in Norway and Sweden.

• Diversified group structure enables strong synergies and cross-selling opportunities.

Financial Performance and Growth

• Achieved strong Q1 2024 results: group result of NOK 1,082m (+31% YoY), record AuM of NOK 1,281bn, and 19% growth in unit linked reserves.

• Achieved double-digit growth in non-guaranteed business areas for the past decade, with continued acceleration expected.

• Insurance premiums grew 14% YoY; solvency ratio at 191%.

• Shifted business mix from guaranteed to savings and insurance, reducing guaranteed premiums from 50% to 20% while doubling total premiums.

• Targets over NOK 5 billion in group profit for next year, ROE above 14%, and annual share buybacks of NOK 1.5 billion through 2030.

Capital, Solvency, and Liquidity

• Maintains low leverage and strong liquidity, further strengthened by upstreaming funds, dividend payouts, share buybacks, and the sale of Storebrand Health Insurance for NOK 1.3 billion.

• Solvency II ratio at 191% in Q1 2024, well above the 150% target.

• Moderate leverage (22% subordinated debt of own funds) and strong debt servicing capacity.

• High-quality asset portfolio, with fixed income as the backbone and average bond ratings of AA-/AA.

• Plans to issue a new NOK 500 million senior unsecured bond with 3-5 year maturity to diversify debt structure.