Storebr ebran and Ca Capital tal Markets ts Day 2018 Compelling - PowerPoint PPT Presentation

B Moderate replacement rates and a wealthy population with an overweight in Retail bank deposits fuel growth potential in retail market for savings Household disposable income 1 Net replacement rate 2 Household financial assets Norway 3 NOK 1 600 bn Switzerland Netherlands 6% 37 554 Norway Italy 9% Germany Spain France France 15% 31 947 55% Sweden Sweden Netherlands Greece 70% United Kingdom Germany 49% Italy Norway Spain Switzerland Bank deposits Ind. Life & pension Greece United Kingdom Mutual funds Stocks 1 OECD (2018), Household disposable income (indicator). Gross adjusted, USD 2016. 3 Bank Deposits: SSB (2016) Formuesrekneskap for hushald – Bankinnskot. Mutual funds: VFF (2017) 2 OECD (2017), Pensions at a Glance 2017: OECD and G20 Indicators. Net mandatory public 18 Norske personkunder – Forvaltningskapital. Stocks: VPS ASA (2017) Eierfordeling i børsnoterte selskap and private pension replacement rates, average earner. – Aksjer – Lønnstakere o.a., Ind. Life & Pensoin: see next page

Norwegian pension market becoming a retail market B Retail – Storebrand is well positioned to capture growth Retail savings market expanding Market share, AuM Double digit growth expected (AuM, NOK bn) DNB 26% Individual Life and pension ~1 000 Savings Storebrand 22% 38 % Nordea 15% 380 ODIN 12% Mutual funds 62 % Danske 6% 2017 2027 Retail savings market is measured in AUM. Mutual funds: VFF (2018) Norske personkunder – Forvaltningskapital. Individual Life and pension Savings: Finans Norge (2018) 19 Forsikringsforpliktelser produkter med investeringsvalg: Individuell kapitalforsikring, Individuell pensjonsforsikring (incl. Livrenter, IPA, IPS 2008 and IPS), Fripoliser, Pensjonskapitalbevis.

C Asset Mgmt Increased external share in Asset Management AuM mix Revenue mix 1 16% 24% 34% 36% 12% 9% 66% 22% 23% 24% 7% 6% 3% 62% 14% 47% 2% 37% 37% 18% 2015 2017 2009 2015 2017 External Unit Linked Other Guaranteed 1 Revenue & AuM include Skagen from 01.01.2017 proforma 20

Sustainability at the core of our business C Asset Mgmt NOK 707 bn AuM aligned to contribute to the UN Sustainability Goals Solutions All assets under management are subject to sustainability NOK 707 bn screening Active Exclusions ownership 21 AuM 1Q 2018

Commercialising Sustainability Enhanced Solutions : C Asset Mgmt Fossil free funds drive AuM growth AUM Sustainability Enhanced, NOK bn 59.8 Fossil Low carbon free footprint More Solution 10.3 sustainable companies 3.0 2015 2016 2017 22

Ambition: Build a world class Savings business supported by Insurance Savings Insurance A B C Asset manager with strong Leading position Uniquely positioned in competitive position and clear Supported by Insurance Insurance Occupational Pension growing retail savings market growth opportunities #1 Double digit ~5% Long term growth Market position CAGR retail #1 Pension Norway savings Norway Norwegian asset manager with European footprint Double digit 90-92% >10% CAGR Combined Ratio Bank ROE 2 Pension Sweden 1 23 1 Within segment 'Other occupational pensions'. 2 RoE Retail banking only.

Significant difference in capital consumption and return profile between old and new business ILLUSTRATIVE Savings Group Insurance Guaranteed 3 IFRS earnings 1 1 552 3 172 638 982 (NOKm) Allocated Equity 2 5.5 31.1 2.0 23.6 (NOKbn) Pro forma 31% 11% 36% 5% RoE adj(%) 4 The equity in the Group sits within different legal units. This allocation of equity is done on a pro-forma basis to reflect an approximation to the IFRS equity consumed in the different reporting segments after group diversification. The estimated allocation is based on the capital consumption under SII and CRD IV adjusted for positive capital contribution to own funds. The Insurance segment has been allocated an increased capital level which is more in line with long-term expected diversification effects. 1 Result before amortisation and after tax, Q1 2017 – Q1 2018 3 Includes reporting segment "Other". 24 2 Based on solvency II position pr. Q1 2018 incl. transitional rules on 165%. IFRS equity allocated on a pro forma basis. 4 Allocated equity 1Q 2018, ROE calculated on 1Q 2017.

Ambitions Capital Base case: Dividend policy Release capital from the business 2021 Dividend of more than 50% of Group result after tax.  Expected start of capital release as dividends Ambition is to pay ordinary dividends per share of at  when S2 ratio >180% least the same nominal amount as the previous year. Ordinary dividends are subject to a sustainable  solvency margin of above 150%. ~NOK 10 BN If the solvency margin is above 180%, the Board of  Back book capital release until 2027 Directors intend to propose special dividends or share buybacks. 25

Financial Targets Target Return on equity 1 > 10% Dividend pay-out ratio 2 > 50% & nominal growth % Solvency II margin Storebrand Group 3 > 150% 26 1 Before amortisation after tax. 3 Including transitional rules. 2 After tax

People First – Digital Always A customer-centric digital business model enabling growth and profitability Heidi Skaaret, EVP 27

A customer-centric digital business model enabling growth and profitability A B C D Asset manager with strong Leading position Uniquely positioned in competitive position and Bolt-on M&A Occupational Pension growing retail savings market clear growth opportunities  40k corporate customers  440k retail customers (Norway)  NOK 707bn Assets under management  SKAGEN 80k retail customers, NOK 80bn  2m policyholders  NOK 45bn AuM individual savings  33% external assets  Silver 17k retail customers, NOK 10bn  20bn NOK pension premium income Leveraging people and technology to enable growth and scale cost-efficiently 28

 Well positioned for growth through a digitally advanced and scalable technology platform  Continuously adapting and developing an Key Takeaways agile and customer-centric organization  Strong record of cost control with continued ambition to keep costs nominally flat 29

Cutting costs while growing business volumes in a changing savings and pensions market Significant cost reductions to keep cost base flat … Operational costs, NOK bn 3.8 ~3.8 Cost Base Inflation and BPO & IT Automation & Other Cost Base 2015 1 financial service tax Outsourcing Digitalisation Initiatives 2018 … in a period with strong business growth and digital sales Group AuM, NOK bn Share of retail sales in digital channels 721 39% 571 27% 442 17% Q1-16 Q1-17 Q1-18 2012 2015 2017 30 1 Includes operational costs from SKAGEN and Silver

A frontrunner operating in a digitally mature market in the Nordic region Digital Market Maturity 1 Digital Business Model 2 100% … of B2B customers maintain pension 98% 98% NO IS contracts through digital solutions 90% NL DK 80% FI EE … of health declarations are processed 94% 94% SE Internet banking usage 70% through digital channels CH UK 60% … of pension certificate transfers are 97% 97% FR DE 50% processed straight-through PL ES 40% RU … of requests for starting pension 70% 70% 30% IT withdrawals are processed automatically 20% … of customer chat requests are 10% 50% 50% handled by AI-driven robot RO BG 0% 50% 60% 70% 80% 90% 100% Internet access 1 Deloitte Digital, EMEA Digital Banking Maturity 2018 31 2 Examples from Norway

A clear distinction between commodity and differentiation – enabling investments and growth Commodity IT is outsourced The majority of IT spend for cost-efficiency is focused on new development Bought services Develop the business Create commercial value Cost efficiency, market and customer loyalty synergies and scale through partners for through new and improved commodity processes services 41 % 43 % 57 % 59 % Internal IT Run the business Operations and maintenance Customer-centric focus with a mix of internal FTE's and of a large-scale financial consultants 1 services platform 32 1 Where 81% is internal resources, and 19% is external consultants.

Digital transformation to renew the core – reducing costs and enabling business growth Digitising Pension Future Savings Platform 100% Digital to the core Cost Reductions 1 50 MNOK Of customer fund switches 1 Customers are self- Deliver cost synergies as for unit link products are serviced through portals managed through digital Yearly opex reductions communicated to the marke t solutions 85% Process automation Enabler for growth 2 >10% CAGR 2 Straight-through- Of maintained pension Analytics-based platform for contracts processed straight processing capabilities Business growth customer development through our system stack 40% Cost reductions Development synergies 3 Shared 3 Through core renewal Reduced cost base for Cost-sharing of developing Swedish processes programmes platform synergies new platform capabilities (from 2021) 33

Creating tangible business value from emerging technology within the analytics and digital space Analytics & Machine Learning Digital & Mobile Channels Customer development and underwriting Health Insurance value chain digitised on one platform Data Insight Action Digital Trust Cloud-based Multi-channel based data advanced customer extraction analytics journeys 166% 347% +29% 72% 68% 54% Increase in # of NBA Increase in customer Customer Of all referrals Of all claims are Net promoter score sales from 2017 to interactions from 2017 satisfaction when are digital digital 2017 2018 to 2018 using NBA 34

The agile, customer-centric organization is purpose driven with new ways of working New ways Innovation, of working agility & speed Autonomous teams in 20+ 20+ Norway & Sweden Purpose Employee Learning Pitches made to Digital 10+ 10+ Driven Engagement Culture Investment Board Daily automated ~10 ~10 deploys in digital layer Digital Agile Sandbox External innovation 148 148 Garden Methods Program talks hosted 35

Cost reductions from sourcing and automation with a strong shift towards customer-oriented capabilities Reduced FTE Competency headcount shift 1 -27% 48% Customer- 66% oriented FTEs Back-office FTEs 52% 34% 2012 2018 2012 2018 1 Customer-oriented FTE's: Sales, Marketing & Customer Service. Back-office FTE's: Back-office and operations. Other functions omitted. 36

Resource re-allocation from guaranteed back-book to capital-light growth products Resource allocation 1 20% Capital release under 35% Solvency II Allows for focus on growth initiatives 80% 65% Resource re-allocation will continue 2011 2018 Guaranteed Savings 1 Operating costs reported for segments Guaranteed and Savings 37

Regulatory changes to protect, empower and transform are managed within the existing budget Purpose Implementation Opportunity Protect and empower Centralised programme to Create competitive customer with regards ensure compliance in all advantage through GDPR to data privacy business processes Digital Trust Ensure right Revamped advisory tools Analytics and robo- MiFID II investment and and services to ensure advisors to identify & IDD insurance advice compliance customer needs Open infrastructure for Service model for banking Leverage new business PSD 2 competition and in place – platform ecosystems like the innovation in banking adaptation by vendor partnership with Dreams 38

The way ahead – profitable growth coupled with strong cost control A range of initiatives are creating profitable growth … M&A Platform Digitisation & Automation & Global Activities Programs Innovation Robotics Partnerships … with the ambition to keep the cost base flat on existing business in 2020 Operational costs, NOK bn 3.8 ~3.8 1 Cost Base Inflation & financial service tax Cost reduction measures Cost Base 2018 2020 39 1 Excluding performance related costs

Occupational pensions Preferred pension provider and new opportunities Staffan Hansén, EVP 40

Leading position in Occupational Pension A B C D Asset manager with strong Leading position Uniquely positioned in competitive position and Bolt-on M&A Occupational Pension growing retail savings market clear growth opportunities  40k corporate customers  440k retail customers (Norway)  NOK 707bn Assets under management  SKAGEN 80k retail customers, NOK 80bn  2m policyholders  NOK 45bn AuM individual savings  33% external assets  Silver 17k retail customers, NOK 10bn  20bn NOK pension premium income Generating retail customers Fuelling AuM 41

 Strong profit growth driven by savings, insurance and cost reductions  Attractive structural market growth with new Key Takeaways opportunities  End-to-end digitalisation securing competitive edge 42

Attractive and growing occupational pensions market Pension premium income - total market 1 Pension premium income - per product 1 NOK bn NOK bn Guaranteed Unit Linked 4% 37 CAGR 35 35 33 16% 31 30 Norway CAGR 27 -10% 17 13 10 2012 2013 2014 2015 2016 2017 2012 2017 2012 2017 SEK bn SEK bn 2% 54 Guaranteed Unit Linked and Depot 52 52 50 50 49 CAGR 5% CAGR Sweden -2% 32 25 24 22 2012 2013 2014 2015 2016 2017 2012 2017 2012 2017 43 1 Norway: Guaranteed and Unit Linked written pension premiums, segment 'private occupational pensions'. Source: Finance Norway Sweden: Guaranteed, Unit Linked and Depot written pension premiums, segment 'Other occupational pensions.' Source: Insurance Sweden. Approx 40% of Avanza preimium income has been reclassified as endowment insurance.

Storebrand has rapidly shifted from old guarantees to capital light savings… Storebrand premium income – Old Guarantees Storebrand premium income - Defined Contribution 1 NOK bn NOK bn 15,1 +10% 13,7 12,6 10,9 10,3 9,1 8,2 -19% 6,3 4,9 3,9 2013 2014 2015 2016 2017 2013 2014 2015 2016 2017 44 1 Defined Contribution includes Unit Linked (Norway) and Unit linked and capital light low guarantees (Sweden). Capital light low guarantees are reported in the Guaranteed segment in the consolidated statement.

…generating strong and well balanced profit growth Defined Contribution – operating profit 1 859 Key drivers 323 Increased Savings and AuM  +147% Increasingly important with  insurance add-ons 348 Cost reductions  536 304 NOK m 44 2012 2017 Savings Insurance 1 Savings: Unit linked Norway and Unit linked Sweden. Insurance: Health & Group life, Pension related disability insurance Norway (excl. finance result), Pension related disability insurance Sweden. 45

Net premiums and market return drive AuM growth AuM development Unit Linked NOK bn Drivers of expected net premiums 12-15% Majority of premiums generated by  active policies 200 Growth driven by:  ─ Increased salaries and savings rates 150 18% Population growth ─ Age distribution of policyholders ─ DB conversions ─ Expected market return 100 New sales ─ ─ New retail savings products Positive transfer balance ─ Market returns ─ 50 2013 2014 2015 2016 2017 2018E 2019E 2020E 1 Premiums net of claims. Includes Silver in 2018 46

Leading position in Norway and strong contender in Sweden Market share occupational pensions (Unit Linked) Norway 1 Sweden 2 31% 18% 17% 28% 14% 12% 10% 14% 9% 9% Storebrand DNB Nordea Gjensidige Sparebank 1 LF SEB Skandia SPP Avanza Storebrand with clear value proposition in the corporate market We want to be recommended by our customers …through our unique Nordic pension competence …and leading sustainability offering  Best customer satisfaction  Norwegian fund with all time high score for selector of the year large Norwegian corporates  Best customer service in Sweden 1 Finance Norway. Gross premiums defined contribution with and without investment choice. 4Q 2017 47 2 Insurance Sweden. Segment Unit Linked pensions 'Other occupational pensions' (written premiums) 4Q 2017

How will we succeed going forward? 48

Competitive edge through end-to-end digitalisation Digitalisation … … enables cost -efficient scalable growth  Simplified architecture with straight-through-processing New standardised IT- 1 platform in Sweden  Cost reductions of approx. 100 MNOK* 3 year digital to the core 2 program in Norway  Full self-service customer and partner interface 49 * Full-year effect 2021

Best positioned for Individual Pension Account in Norway Expected market dynamics Storebrand's response  Leverage and maintain Storebrand's # 1 position in the corporate  Competition for market shares market  Relationship with individual  Strengthen retail customer relationships through our digital first policyholders becoming more important retail strategy  Focused efforts on increasing customer satisfaction to retain and attract new Individual Pension Accounts  Digitalise end-to-end solutions and increase cost efficiency 50

Capital light low guarantees provide additional opportunities in Sweden SPP Market premiums SPP Market share Capital light low guarantees 1 (occupational pensions) New , well-received, unique 1 individualised life cycle product Positions SPP with a complete savings 2 offering in corporate pensions Attractive offering also in the private 3 pension fund market 1 Only nominal guarantees or less offered policy holders 51

Regulatory change creates opportunities in Norwegian public sector pension market Large public sector market New regulation can lead to is closed for competition re-entry for Storebrand Annual market premium 2017, NOK bn 45  Market monopoly today  Expected partial end of monopoly 27  Capital efficient product offering  Expected annual premium growth 5% Private Sector Public Sector 1 Defined Contribution 1 Norwegian municipalities, does not include pay as you go scheme for state employees. 52

Our ambition Gross Premium income – Defined Contribution 1 Leading position Occupational Pensions #1 Market position Pension Norway +9% Double 15.1 CAGR Sweden 13.7 digit Pension Sweden 12.6 10.9 10.3 Deliver continued stream of employees to retail segment Norway NOK bn Generate asset growth 2013 2014 2015 2016 2017 2018e 2019e 2020e in asset management 1 Norway: Unit linked. Sweden: Unit linked and capital light low guarantees 53

Digital first retail strategy A personalised and scalable business model Wenche Martinussen, EVP 54

Uniquely positioned in growing retail savings market A B C D Asset manager with strong Leading position Uniquely positioned in competitive position and Bolt-on M&A Occupational Pension growing retail savings market clear growth opportunities  40k corporate customers  440k retail customers (Norway)  NOK 707bn Assets under management  SKAGEN 80k retail customers, NOK 80bn  2m policyholders  NOK 45bn AuM individual savings  33% external assets  Silver 17k retail customers, NOK 10bn  20bn NOK pension premium income Fuelling AuM 55

 Creating a personalised customer experience for our 1.3 million customers through advanced analytics Key Takeaways  Building a digital-first, scalable platform  Providing a multiproduct offering to engage our customers and build long-term customer relationships 56

Norway – an aging, digitally mature market with changing market dynamics Demography Digitalisation Individualisation 5 300 000 citizens Pension reform shifting 91% used online banking responsibility onto the last 3 months individual Effectively a cash-less Historically preference for society bank account savings National infrastructure to support digital trust New tax-incentivised savings products Maturing population 57 Source: Statistics Norway

33 % 44 % Retail customers 23 % Customers with a paid up policy or pension certificate Our 1.3 million customers Customers with occupational pension 38% higher household income 77% higher household assets 28% higher employment rate 1 We have experienced strong +39% retail growth 39% increase in number of retail customers over the past 3 years to 440 000 customers. 80% of our savings customers are recruited from our customer base Q1 2015 Q1 2018 1 Source: Storebrand customer analysis 2017 58

Using machine learning and AI with intelligent response has changed the way we communicate with our customers, enabling us to personalise the customer experience through relevant and engaging customer offerings… Our relationship with 1.3 million customers provide us with …with one voice from all angles in a multichannel distribution data and insight, which means we can be personal in a digital era 9% higher sales with NBA 29% higher customer satisfaction with NBA 59

Using data on customer activities to determine the N ext B est A ctivity 60

Storebrand has transformed from 10 traditional IT-delivery model to continuous, incremental deployments deployments, doubling the per day number of releases delivering customer experiences over two years Focus on our digital customer 76% interface is increasing our increase in digital sales significantly and digital sales 1 enabling rapid scaling from 2016 to 2017 We developed a new digital sales Adapting to the digital customer by solution in 2017 which Bearing taking a digital-first approach Point’s international benchmark customer survey named the best in the industry 1 Measuring life insurance, P&C insurance, health insurance, bank accounts and 61 savings agreements and deposits within retail savings

Customer, advisor and robot in the same digital solution ensures seamless communication Digitalisation, automation A personalised and and robotisation to gain scalable business reduction in costs and scalability model Chat robot "James" handles 50% of all chats on our website Highly skilled advisors enhancing our digital solutions, increasing loyalty and earnings 62

Engaging customers throughout the life cycle As each individual must take more responsibility for their retirement finances, our foundation in pensions makes us uniquely positioned to offer a breadth of products and services across the life-cycle. But most of all, building trust and creating long-term customer relationships 63

Achieving a double digit CAGR in retail savings 1 AUM Strengthened market position Sustainability expertise as Structural market drivers and product offering competitive advantage Green is good Market AuM NOK bn "20% of the world's population use 80% of the world's resources. Companies that are well prepared to meet global CAGR+10% challenges are better ~1 000 positioned to create profitable growth than their competitors" 380 Jan Erik Saugestad EVP Asset Management 2017 2027 64 1 Retail savings market is measured in AUM. Mutual funds: VFF (2018) Norske personkunder – Forvaltningskapital. Individual Life and pension Savings: Finans Norge (2018) Forsikringsforpliktelser produkter med investeringsvalg: Individuell kapitalforsikring, Individuell pensjonsforsikring (incl. Livrenter, IPA, IPS 2008 and IPS), Fripoliser, Pensjonskapitalbevis.

Profitable growth with a multi-product offering Ensuring higher customer retention and deeper customer relationships Retail savings 1 22% 21% DNB 26% Storebrand 22% 13% 13% Nordea 11% 15% Sparebank 1 12% Q4 2014 Q4 2015 Q4 2016 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Life insurance 2 P&C insurance 2 Retail bank 3 1,7% 3,2% 1,6% 3,1% 1,5% 11% 9% 9% 2,4% 1,2% Q2 2014 Q2 2015 Q2 2016 Q2 2017 Q3 2017 Q4 2017 Q4 2014 Q4 2015 Q4 2016 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q2 2014 Q2 2015 Q2 2016 Q2 2017 Q3 2017 Q4 2017 Market shares 1 Finance Norway and The Norwegian Fund and Asset Management Association 3 Statistics Norway and Storebrand. Loans in Storebrand Bank and Storebrand 65 2 Finance Norway Livsforsikring is included.

Retail Norway 2018-2022 Double digit 50% >10% CAGR Profit growth ROE P&C and Individual Retail savings Retail bank life insurance B2B2C fundament Focus on profitability Focus on profitability • • • Well-positioned #2 player Automation of back office Automation of mortgage • • • processes process Multibrand offering • Increased digital sales Broadening product portfolio • • 66

Fast growing Nordic asset manager with European presence Jan Erik Saugestad, EVP 67

Deliver client value and growth in assets through sustainable investment solutions and a multi boutique platform A B C D Asset manager with strong Leading position Uniquely positioned in competitive position and Bolt-on M&A Occupational Pension growing retail savings market clear growth opportunities  40k corporate customers  440k retail customers (Norway)  NOK 707bn Assets under management  SKAGEN 80k retail customers, NOK 80bn  2m policyholders  NOK 45bn AuM individual savings  33% external assets  Silver 17k retail customers, NOK 10bn  20bn NOK pension premium income Sustainable investment solutions, multi strategy offering and multiple brands 68

 Strong competitive position driven by revenue growth, tight cost control and significant value to clients Key Takeaways  Clear growth opportunities enabled by leading position on sustainable investments and SKAGEN  Further scale as a multi boutique platform 69

Fast growing Nordic asset manager with a blend of captive pension assets and external clients Main channels for AuM (NOK bn) 1 External share 1 Pension savings NO Institutional mandates External 34% Captive and distributors 2 66% 259 bn 247 bn Asset types 1 Equities 8% Real estate 2% 34% Bonds AuM Money market 51% Pension savings SE 721 bn Direct retail 4% Other savings NO Active share 3 170 bn 45 bn 33% Other Active 67% 70 1 Data as of Q4 2017. 2 Includes company capital. 3 'Active' = assets with target of outperformance and with active risk. Based on AUM in the period from Dec 31, 2017 to May 15, 2018.

Strong revenue growth and tight cost control has ensured our competitive position Margin 1 , bps Net revenues and operational costs 1 , NOKm Net revenues Operational costs Net revenues Operational costs 24 22 CAGR +8% 20 17.4 17.3 18 17.1 16.9 16.8 16.6 16 CAGR 13.6 1.082 -1% 14 986 12.2 936 12 856 789 741 9.9 10 9.0 9.0 8.9 590 569 554 516 504 506 8 6 4 2012 2013 2014 2015 2016 2017 2012 2013 2014 2015 2016 2017 71 1 12 months rolling net revenues, excluding SKAGEN and all performance fees. Operational costs are adjusted for special items.

Strong fund performance across all asset classes – Significant value creation for clients Average annual net returns and outperformance of selected funds since inception 1 Index/ESG Factor Selected active Alternatives Fixed income 18.0% 17.6% 16.5% 16.1% 14.7% 14.7% 14.6% 13.9% 12.2% 9.6% 9.6% 9.1% 8.8% 7.4% 7.4% 6.8% 5.4% 5.0% 4.8% 4.4% 4.3% 3.7% 3.2% 1.9% 1.0% 0.5% 0.4% 0.3% -0.1% -0.1% Storebrand SPP Global Plus Storebrand Storebrand Delphi Nordic SKAGEN Kon-Tiki Storebrand Storebrand Storebrand Storebrand Global Indeks Global Global Solutions Private Equity 2 Real Estate 3 Likviditet Global Kreditt IG Multifactor From date: Dec 22, April 18, March 31, Oct 1, March 18, April 5, January 1, Nov 18, June 16, Nov 10, 2005 2016 2013 2012 1991 2002 1997 2010 1997 2010 Fund Index Outperformance 1 Annualized returns are based on monthly returns from fund inception until March 31, 2018. Exceptions: SKAGEN Kon-Tiki 2 Storebrand Livsforsikring DB PE portfolio (P990). 3 Storebrand Eiendomsfond Norge (SEN) KS. (from fund inception until April 27, 2018), Storebrand Global Multifactor (from start of current strategy in 2013 until March 31, 72 2018 (5 year period)). All returns are in NOK except SPP Global Plus (SEK).

Sustainability at the core of our business NOK 721 bn AUM, aligned to contribute to the UN Sustainability Goals World UN Sustainable Kyoto-protocol Development Goals (2005) (2009) (2015) (2016) 1995 2000 2005 2010 2020 2015 Next generation Decision to Fossil Low carbon free footprint integrate sustainability funds Exclusions Storebrand Sustainability Storebrand across Life sustainability in team standard launched - Global Solutions all funds (2010) established Insurance d - Green Bond Fund More Solution - Plus fund family Rating 0-100 sustainable companies (1995) (2001) (2005) (2011-2012) (2011-2017) 73

Strategic Priorities Strengthen Broader Strengthen retail Increase volume Further scale as a international commercialization of position in to gain cost multi boutique institutional capacity sustainable funds Scandinavia advantages platform 74

Potential to strengthen institutional client offering and pursue international growth Build on our strong position in Norway and Sweden… …and pursue focused international growth Leverage our joint distribution to pursue focused international Norway - No. 1 institutional asset manager 1 growth based on well positioned brands and sustainable solutions 22% 21% 20% Key enablers:  Local offices in Denmark, UK and the Netherlands Storebrand DNB Nordea  ~20 International sales professionals Sweden – Growing market share 2  Luxembourg platform 9,6% 9,3% 9,2% 8,8% 8,2%  Storebrand Connect 4,2% 4,0% 4,1% 3,9% 3,6% Sustainable 2013 2014 2015 2016 2017 Factor Delphi SKAGEN solutions Market share net flows - SPP Fonder Market share AUM - SPP Fonder 1 Market share (in AUM). Source: Norwegian Mutual Fund Association statistics for active asset management/discretionary mandates as of Q2 2017. 75 2 Market share for SPP Fonder within net flows and AUM. Source: MoneyMate

Sizeable potential for sustainable solutions internationally… Investor commitment Growth in sustainable AM Demand for low carbon solutions Global AUM represented in the United Nations 'Sustainably invested' assets in Europe, US, Canada, Storebrand AUM in low carbon solutions, NOK bn Principles for Responsible Investment (UNPRI), $ Australia, New Zealand and Asia, as share of total professionally managed AUM (%) 2 trillion 1 63 60 68 26,3% 59 34 21,5% 24 18 10 10 3 2007 2009 2011 2013 2015 2017 2012 2016 2015 2016 2017 2018 YTD 76 1 Source: MSCI. AUM as of April in each year. 2 Source: McKinsey/Global Sustainable Investment Alliance - 2016 Global Sustainable Investment Review. Percentages as of early 2012 and 2016.

…and Storebrand is well positioned to capture growth A strong range of sustainable …a credible and transparent …with a long track record and investment solutions… process… strong recognition Strategy built on in-house A pioneer within sustainability, with Scalable solutions covering all asset capabilities scale classes 1995 Sustainability team established Factor Index Active ownership 2001 Exclusions across Life Insurance 2005 Storebrand standard launched Alternatives Active 2010 Integration of sustainability in all funds 2011 Sustainability rating 0-100 Exclusions Solutions Fixed income 2011-17 Next generation sustainability funds 2017- Sustainability Development Goals Sustainability platform across investment Innovative sustainability impact reporting Acknowledged by clients and the industry boutiques #1 #2* fondene 77 *2017.

SKAGEN is an enabler to take the next step in the retail savings market beyond Norway Market Brands Market position, AUM 1 Market growth, AUM 1 NOKbn 30% +15% 235 15% 15% 192 181 151 134 8% 6% DNB Odin/SB1 Storebrand Nordea Danske Bank 2013 2014 2015 2016 2017 Group fondene SEKbn 21% +13% 12% 12% 11% 3 837 3 449 3 088 2 863 2 347 5% Robur SEB Nordea Handels- Storebrand 2013 2014 2015 2016 2017 banken Group DKKbn 25% +11% 18% 914 822 751 692 10% 608 8% No. 27 0,2% fondene Danske Bank Nordea Nykredit Jyske Bank SKAGEN 2013 2014 2015 2016 2017 1 Sources: Norwegian Mutual Fund Association (Norway), SFM MoneyMate (Sweden) and Investering Danmark (Denmark). Note: Sweden includes institutional and retail clients, while Norway and Denmark show markets for retail clients only. 78

Key opportunities in the Norwegian and Danish retail markets Norway – strengthening our Mutual Fund positions Denmark – capturing the ESG index opportunity A large (~NOK 390 bn) market 1 for retail savings Approx. DKK 350 bn in Equity Retail Mutual Funds   Mutual funds represent NOK 235 bn of this Retail Mutual Fund Market dominated by active funds, listed   Three strong brands with clear value propositions index share approx. 5%  Ambition: Higher index share in comparable markets suggests future   Further develop SKAGEN position index growth also in the Danish market  Strengthen the Storebrand position Increasing market demand for sustainable funds   Strengthen the Delphi position Local expertise   Asset type 3 (DKKbn) Index share 3 105 5% Ind. Life & Pension 2 354 201 Mutual funds 560 48 Storebrand 2,4 3,5 95% Delphi 28 Storebrand SKAGEN Index Other Equities Other 1 Source: Norwegian Mutual Fund Association (mutual funds category, as of Q4 2017) and Finance Norway as of Q4 2017. 79 2 Ind. Life & Pension includes Unit Linked (retail), pension certificates and paid-up policies with investment choice. 3 Index share and asset type refer to the total retail mutual fund market (914 DKKbn).

Operational synergies and tight cost control lead to improved cost efficiency Delivering cost synergies Improved cost efficiency Operational costs as a share of AUM (bps), Asset  First phase SKAGEN cost synergies under implementation with a target Management of NOK 50 million 16 Cost/AUM Client web and reporting Web front for a multi brand retail platform  platform Storebrand Connect for institutional clients  14 -10% Consolidation of Unit Holder Registries  Unit Holder Registry and Consolidation of Portfolio Systems  Portfolio System One process  12 Shared data and IT Common data sourcing  platform Shared basic infrastructure  10 2017 2018 2019 2020 2021 2022 80

Market dynamics lead to further broadening of the client offering and the need for scale A changing asset mix.. …Revenue and cost pressure.. …And rising M&A deal sizes Global AUM split 1 Average net revenues and costs as a Global Investment Management M&A deals – share of AUM (bps) 1 number of deals and deal size ($) 2 29.3 28.5 28.6 28.4 28.1 750 240 26.7 217 9% 14% 14% 207 15% 652 6% -6% 200 9% 600 13% 13% 20% 19.9 151 19% 160 18.1 17.9 17.4 17.1 20% 19% 16.6 450 148 109 -17% 120 329 11.2 11.2 11.0 10.5 10.1 300 266 57% 8.6 35% 36% 47% 80 159 150 103 40 18% 17% 11% 9% 0 0 2003 2008 2015 2016 2003 2008 2013 2014 2015 2016 2013 2014 2015 2016 2017 Alternatives Active core Net revenues (bps) Margin (bps) Number of deals, right Solutions/LDI/Balanced Passive Costs (bps) Average announced deal size ($m), left Active specialties 81 1 Source: BCG Global Asset Management Benchmarking Database 2017 2 Source: Deloitte 2018 Investment Management Outlook. Note: 2017 data as of Oct 1, 2017.

Further scale as a multi-boutique platform Four key criteria for further structural growth 721 Silver Volume and cost Institutional SKAGEN advantages offering and 577 capacity Storebrand Storebrand Commercialization of Retail position in sustainable funds Scandinavia 2016 2017 AUM, NOK bn 82

Our ambition Current targets on track New targets 2016-18 2018-21 #1 #1 NOK 150m NOK 100m NOK 250m Norwegian Norwegian asset manager Revenue growth Profit growth Profit growth 1 asset manager with European footprint    83 1 Baseline: 2017 Operating profit for Storebrand Asset Management Group (pro forma, including SKAGEN) of 767 NOK million.

Increasing return to shareholders Lars Aa. Løddesøl, CFO 84

 Continued growth in Savings and Insurance with strong cost control  Sufficient expected return to grow both solvency capital and buffers Key Takeaways  Increasing solvency capital generation  Low leverage and high remittance ratio  Two sources of free capital generating shareholder dividend 85

Holistic sustainability reporting with clear long term targets and KPIs pr. input factor Financial capital and our Customers and community Our people and systems investment universe relations Linked to UN's sustainable development goals 86

Regulatory developments Solvency II – Standard model review Paid-up polices in Norway Public sector pension in Norway 87

Significant difference in capital consumption and return profile between old and new business ILLUSTRATIVE Savings Group Insurance Guaranteed 3 IFRS earnings 1 1 552 3 172 638 982 (NOKm) Allocated Equity 2 5.5 31.1 2.0 23.6 (NOKbn) Pro forma 31% 11% 36% 5% RoE adj. (%) 4 The equity in the Group sits within different legal units. This allocation of equity is done on a pro-forma basis to reflect an approximation to the IFRS equity consumed in the different reporting segments after group diversification. The estimated allocation is based on the capital consumption under SII and CRD IV adjusted for positive capital contribution to own funds. The Insurance segment has been allocated an increased capital level which is more in line with long-term expected diversification effects. 1 Result before amortisation and after tax, Q1 2017 – Q1 2018 3 Includes reporting segment "Other". 88 2 Based on solvency II position pr. Q1 2018 incl. transitional rules on 165%. IFRS equity allocated on a pro forma basis. 4 Allocated equity 1Q 2018, ROE calculated on 1Q 2017.

Continued shift from Guaranteed to Non-Guaranteed Pension Storebrand Life Insurance 2 Premium income Storebrand Life Insurance 1 NOKm Share of Guaranteed 10 000 reserves Non-guaranteed 8 000 5% 6 000 4% 4 000 3% 2% 2 000 1% 0 Guaranteed Non-guaranteed 0% Policyholder age 2012 2013 2014 2015 2016 2017 10 15 20 25 30 35 40 45 50 55 60 65 70 75 80 85 90 95 100 Premium income SPP Life Insurance 3 SPP Life Insurance 3 Share of Guaranteed SEKm reserves Non-guaranteed 6 000 5% 4 000 4% 3% 2 000 2% 1% 0 Guaranteed Non-guaranteed 0% Policyholder age 10 15 20 25 30 35 40 45 50 55 60 65 70 75 80 85 90 95 100 2012 2013 2014 2015 2016 2017 1 Guaranteed: Defined Benefit Norway. Non-guaranteed: Unit Linked (occupational pension) Norway, 2012- 2017. 3 Guaranteed: Guaranteed pension, Sweden. Non-guaranteed: Unit Linked Sweden, excl. transfers, 2012-2017. 89 2 Guaranteed: Defined Benefit Norway and Paid-up policies. Non-guaranteed: Unit Linked (occupational pension) Norway,2012-2017

Net flows illustrate the shift in the business Net flows Guaranteed Pension 1 5 NOK bn 3 3 2 2 2 -13 -13 -13 -13 -13 -14 2018E 2019E 2020E 2021E 2022E 2023E Premiums Claims Net flows Savings non-guaranteed 1 18 17 NOK bn 17 16 15 14 -3 -3 -4 -4 -5 -6 2018E 2019E 2020E 2021E 2022E 2023E Premiums 2 Claims 90 1 Aggregated numbers from Norwegian and Swedish pension products 2 Acquired premiums from Silver excluded

Majority of total AUM in Storebrand is already capital efficient Forecast assets under management (NOKbn) Implications ILLUSTRATION 2017: 2028e: Guaranteed portfolio has reached Solvency  66% of AuM ~85% of AuM II peak capital consumption non guaranteed non guaranteed 1 200 New growth in Savings and Insurance need  1 000 little new capital 800 Increased free cash flow and dividend  capacity 600 Increased fee and adm. income and  400 reduced sensitivity to financial markets 200 0 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 External AuM Low capital consumptive Guarantees Company capital and Other Medium capital consumptive Guarantees Non-guaranteed Life High capital consumptive Guarantees 91 Company capital and Other: Company portfolios, buffer capital and BenCo. External AuM: Non-life AuM in Storebrand Asset Management. Non-guaranteed Life: Unit Linked Norway and Sweden. Low capital consumption Guarantees: Capital- light guarantees Sweden. Medium capital consumption Guarantees: Defined Benefit and medium guaranteed Sweden and paid ups with high buffers/low guarantees. High capital consumption Guarantees: Paid-up policies, Individual Norway and capital consumptive guarantees Sweden. Categories change in time due to buffer building. .

Continued growth in Savings and Insurance with strong cost control 92

Shift in Earnings to Front Book Three main segments with close links between value Transition towards Savings and Insurance drivers and reported results Segments' share of result before amortisation Result before amortisation 3,424 2% 193 4% 2,940 2,938 2,913 55 26% 139 405 1,465 766 53% 1,952 1,376 870 21% NOKm 1,762 77 608 329 675 1,030 575 488 774 29% 51% 1,511 572 1,091 1,063 1,020 649 14% 273 -75 2012 2017 2012 2013 2014 2015 2016 2017 Other Guaranteed Insurance Savings 93

Improved quality of earnings Group result 1 Comments 3,424 Operating earnings driven by AuM x  2,940 473 2,938 2,913 Margin 117 625 919 854 1,762 1,952 Insurance profits diversify earnings  NOK mil 2,416 2,066 2,032 1,943 Increased profit sharing over time  -101 -291 -13 2012 2013 2014 2015 2016 2017 Special items Operating profit Financial items and risk result life Old reporting structure 94 1 Result before amortisation and longevity reserve strengthening.

Illustrative P&L development NOK million Trajectory Fee and administration income Strong Savings growth, some margin decline. Back book run off Insurance result Moderate Insurance growth, stable margins Operational cost Flat nominal cost 1 Operating profit Financial items and risk result life Gradual profit split with higher rates Profit before amortisation Amortisation and write-downs of intangible assets Approx. NOK 405m per year Profit before tax Tax Approx. 20% Profit after tax 95 1 Excluding performance related costs

Sufficient expected return to grow both solvency capital and buffers 96

High quality assets with mostly fixed income backing guaranteed liabilities Asset allocation Guaranteed Equities Real Estate 80% NOK 179 bn Prime 7% MSCI World 11% Location & Quality 20% Local Index (OMX & OBX) 30% Amortising NOK 80 bn Fixed income bonds and loans 7% 13% 52% Average rating Average rating 81% AA- A Norway Sweden Equities Fixed income All assets are FX-hedged Real estate Amortising Bonds and Loans 97

Active risk management tailored to liability characteristics Paid up policies Norway NOK bn Allocation 5 18 bn. Equity Allocation 4 Bonds High 27 bn. Amortizing Bonds & Loans Allocation 3 Real Estate 30 bn. Allocation 2 27 bn. Buffer level Allocation 1 29 bn. Low Low Required book return High 98

Liability driven asset management with a double purpose Financial targets sets priorities Two risk management perspectives 1 Solvency II Solvency generation and preservation main priority – basis for dividend capacity Long term perspective. Both assets and liabilities at  market value Solvency II margin 2 > 150% Risk management of own funds and SCR  Asset return > Liability return  2 IFRS results Dividend ratio 1 > 50 % Annual guarantees give annual perspective on booked  returns Risk management of IFRS financial result and buffers  Asset & liabilites at book value in Norway  Return on equity 1 > 10 % Asset & liabilites at market value in Sweden  99 1 Before amortisation after tax. 2 Including transitional rules.

Liability driven investment strategy is expected to generate SII capital and increased IFRS results from profit sharing Expected excess SII buffer – over mark to market return guaranteed liabilities Asset return +6.4% +0.6% 17.4% 1.0% Discount rate SII 11.0% 0.4% Capital generation Expected Required Risk 2018 2027 Risk Premium Premium Expected excess IFRS buffer development book return +2.9% +0.5% Annual booked asset return 9.0% 3.6% IFRS 3.1% 6.1% Annual guaranteed rate Buffer/IFRS result Expected Required 2018 2027 Book Return Book Return 100