iA Financial (IAG) investor relations material

Capital allocation and growth strategy

• Generating CAD 700 million in excess capital annually, with disciplined allocation between acquisitions and share buybacks.

• Long-term focus remains on growth through acquisitions, even if it temporarily pressures ROE.

• Recent acquisitions like RF Capital and Vericity are already or soon to be accretive to EPS.

• Share buybacks are ongoing at about 5% annually, with continuation expected unless a major acquisition arises.

• Buybacks and acquisitions are balanced to optimize both ROE and EPS growth.

Industry landscape and operational discipline

• Canadian insurance industry now generates more excess capital due to disciplined practices and regulatory recognition.

• Shift toward capital-light products and improved risk management has strengthened capital positions.

• Industry consolidation and product evolution have contributed to a more robust environment.

Acquisition outlook and business opportunities

• Open to acquisitions across all current business lines, with more opportunities expected in the U.S. than Canada.

• Recent deals in both Canada and the U.S. reflect an opportunistic approach to strengthening core businesses.

• Focus remains on both organic and inorganic growth, with a strong track record of successful integrations.