Aegon (AGN) Aegon UK Strategy Teach-In summary

Strategic vision, positioning, and market opportunity

• Ambition to become the leading digital savings and retirement platform in the U.K., leveraging a scalable, interconnected business model focused on workplace, adviser platform, and advice franchises.

• U.K. wealth management market is highly fragmented but expected to grow at 10% CAGR through 2033, driven by favorable demographics, auto-enrolment, and technology adoption.

• Customer base has grown to 3.7 million, with improved margins and efficiency despite inflationary pressures.

• Workplace Platform is a top-three player in new schemes, serving over 10,000 employers with a 98% retention rate.

• Adviser Platform faces challenges from market consolidation but focuses on 500 target firms contributing 70% of gross flows.

Transformation, investment, and growth initiatives

• Transformation will be self-funded from capital generation, targeting 12% annual growth in operating capital generation from 2024 to 2028.

• Remittances are planned to grow by GBP 5 million per year, starting from GBP 100 million in 2024.

• Investment of GBP 70–80 million per annum will focus on technology simplification, automation, and digitalization across all franchises.

• Key technology initiatives include the rollout of the Aegon Digital Experience (ADX), cloud migration, and integration of legacy platforms.

• Enhancements aim to improve customer and adviser journeys, expand product offerings, and personalize engagement.

Growth franchise performance and targets

• Workplace Platform has GBP 50 billion in assets, 1.8 million employees, and aims to more than double net flows to over GBP 5 billion per annum by 2028.

• Adviser Platform is net flow positive with target firms, aiming for overall positive net flows by 2028.

• Advice business, including Origen and Nationwide, serves 100,000 customers and targets GBP 10 million operating result per annum by 2028.

• Traditional and institutional products provide stable, though gradually declining, contributions to operating results and customer base.

• Advice business integrates digital-first solutions and leverages corporate partnerships to drive flows and customer value.