Introduction to Aegon - March 2017

Helping people achieve a lifetime of financial security

An introduction to Aegon

The Hague, April 2017

2

Aegon at a glance

Key facts & figures

3

Our strategy


5

Our value chain

Creating a positive impact

10

International presence

Businesses in more than 20 countries

19

Americas

Serving the pre- and post-retirement markets

22

Europe

One of the leading brands in the financial services industry

24

Asia

A key long-term growth market

29

Aegon Asset Management

A global investment manager

31

Appendix

Additional information

33

An introduction to Aegon

Content

3Aegon at a glance

Aegon at a glance

€ 1.9 billion2016 Underlying earnings before tax

60% Americas

32% Europe

1% Asia

7% AAM

Life insurance,

pensions &

asset management

>26 million

customers2016

Total sales of

€12 billion1)

2016

Over 29,000

employeesDecember 31, 2016

Revenue-generating investments

€ 743 billionDecember 31, 2016

€ 59 billion paid in

claims & benefits 2016

1) Sales represents new life sales + accident & health premiums + general insurance premiums + 1/10 of gross deposits

4Aegon at a glance

For more than 170 years

Customers at the heart of everything we do

<1900

Aegon’s roots date back

to the first half of the

19th century

1983: Joining

forces

Merger of Dutch

insurers Ago and

Ennia; Aegon

established

>1983

International expansion to over

20 markets in the Americas,

Europe and Asia

Recent history

Executing our

ambitious customer-

centric Transform

Tomorrow strategy

5

Customers at the heart of our business

New technologies and digital transformation

Changing demographics; individuals having greater responsibility for their financial security

Persistently low interest rates

Economic and financial uncertainty

Increased regulation of financial services industry

Attracting and retaining talented employees

Our strategy

Our operating environment

6

From working life …through guidance

and advice…

…into retirement

Our strategy

To help people achieve a lifetime of financial security

Living up to our purpose

7Our strategy

Providing financial solutions that have never been more needed

To be a trusted partner at every stage of life

Protection

We protect what’s important

to our customers, their

families, their health and

their homes

Accumulation

We help our

customers save

and invest for the

future

At & after retirement

We provide our customers

with a stable income in

retirement, helping to meet

costs of care and securing

their families’ future

8Our strategy

To continue for the next 170 years and beyond

A clear and steady strategy

Purpose

Ambition

Commitment

Values

To be a trusted partner for

financial solutions at every

stage of life

To help people achieve a

lifetime of financial security

Working together

Exceeding expectations

Bringing clarity

To act responsibly and to

create positive impact for

all our stakeholders

Loyal customers

Operational excellence

Optimize portfolio

Empowered employees

Our strategic objectives support

our ambition to be a trusted partner for

financial solutions

9

Customers Sales & distribution Pay-in phase Pay-out phase

We develop products and

services, and seek to build a

lifelong relationship with our

customers.

We price our products and

services by assessing risks such

as movements in financial

markets, and changes in

mortality and morbidity

We offer our products directly to

our customers or through

brokers, banks and other

intermediaries who receive a fee

or commission from us or our

customers. As an insurer, we

underwrite our products and

services to ensure we can

assess and manage risk, and

meet our obligations.

Customers make deposits or pay

premiums on our products, which

we then invest to pay benefits

when the time comes. As the

money we receive is often spread

over a number of years, whereas

most marketing and sales costs

are immediate, these costs are

included on our balance sheet

and gradually reduced, or

amortized, over time.

Products such as pensions and

annuities mature and enter a

pay-out phase. With life

insurance, this happens when a

claim is made. Beneficiaries

receive either a lump sum or a

series of regular payments over a

specified period of time.

Our value chain

Putting the customer at the heart of everything we do

Aegon’s business model

10

Output

Benefits*€59 billion in 2016

Salaries€2.3 billion in salaries

and additional benefits

Returns€1.17 billion total

return to investors

Revenues€4.3 billion in commissions and

payments for goods & services

Community investment€759 million in local taxes

and community investment

Stakeholders

Customers

Employees

Investors

Business

partners

Society

Input

Premiums &

deposits

Talent and time

Capital

Distribution

Our value chain

How we create a positive impact at every stage of our business

Our value chain

Asset

mgt

Advice &

guidance

To help people

achieve a lifetime

of financial

security

Protection &

guarantees

Product

administration

* Full year 2016 numbers;Source: Aegon 2016 Review

11

• By ensuring that customer-centricity is part of our DNA

• By being accessible online

• By providing optimal products and services

• Through innovative new platforms

Our value chain

…for our customers

How we create and share value…

Serving over 26 million

customers globally

95% of Aegon

businesses offer products &

services online

€59billion paid out in

policyholder claims and

benefits in 2016

12

• 70,000 people surveyed since 2012- In 15 countries

• ARRI assesses how well workers view their level of retirement preparedness

• ARRI dropped slightly from 5.9 in 2015 to 5.8 in 20162)

- Still at a level that indicates that people are not doing enough to prepare for retirement

Our value chain

Source: The Aegon Retirement Readiness Surveys1) ARRI measures retirement preparedness on a scale from 1 to 102)Scores of 8 and higher are considered high retirement readiness; 6 to 7.9 as medium; and less than 6 as low.

Research confirms that the world needs a retirement wake-up call

Aegon’s Retirement Readiness Index (ARRI)

5.2 4.95.8 5.9 5.8

2012 2013 2014 2015 2016

Aegon’s Retirement Readiness Index1)

Global score by year

http://www.aegon.com/en/Home/Research/Aegon-Retirement-Readiness-Survey-2016/?epslanguage=en

13

• By providing worthwhile employment

• By embracing diversity

• By enabling professional development

• By helping colleagues with their own financial futures

Our value chain

…for our employees


97% of our workforce

take part in standardized

performance appraisals1)

Over €600 per

employee spent on training

in 2016

22,353hours

granted to employees for

volunteer activities in 2016

Source: Aegon 2016 Review1) Senior management – 97%; middle management – 97%; other grades – 100%

14

• Through shareholder engagement

• By returning capital to our shareholders

• By addressing underperformance

• By developing long-term value

Our value chain

…for our investors

How we create and share value

€24.9 billion

Total capitalization at the

end of fourth quarter 2016

AA- financial

strength rating by

Standard & Poor’s

International

shareholder base; traded in

Amsterdam & New York

15

• Through our joint ventures and strategic partners

• Through customer insight

• With our distribution partners

• Through our investments in start-ups

Our value chain

…for our business partners


Strong &

complementary joint venture partners

“Omni-channel” approach towards our

customers

15 Investments in start-ups

by our dedicated investment fund

Transamerica Ventures in 2016

16

• By supporting local communities- Providing support through community investments to vulnerable people

• By encouraging our employees to add value via volunteer work

• By our sport sponsorships- We are promoting a healthy lifestyle

Our value chain

…in our local communities


95% of our

businesses offer inclusive

insurance products

€8.8 million donations

made to charities and other

good causes in 2016

€1.03 million is value

of voluntary work undertaken

by our employees in 2016

17Our value chain

In brief

How we create and share value

4,800

1,600

119309

14.4213 43.3 106

57.4

Affordable housing

International dev. banks

Green bonds

Renewable energy

Sustainable timber

Care homes elderly

Micro-finance

Social

Green RMBS

€7.2 billion impact investmentsEUR millions, 2016

45%

19%

13%

16%

7%

Americas

NL

UK

Rest of Europe

Rest of the world

Our shareholder base2016

In 2016, the value of voluntary work

undertaken by employees was

EUR 1.03 million

6.3 6.1

8.6 8.8

2013 2014 2015 2016

Supporting our local communitiesEUR millions

18

Aegon’s international presence

International presence

19International presence

In more than 20 countries

A strong international presenceAegon businesses

or Aegon Insights

Joint ventures

20International presence

Our global reporting structure

United Kingdom & Ireland Life

Pensions

Europe

Spain & Portugal Strategic partnerships

with Banco Santander

and Liberbank (Spain)

The Netherlands Life & Savings

Pensions

Non-life

Distribution

Central & Eastern Europe Czech Republic

Hungary

Poland

Romania

Slovakia

Turkey

Americas

United States

Life

Accident & health

Retirement plans

Mutual funds

Variable annuities

Fixed annuities

Stable Value Solutions

Latin America

Strategic partnerships (Brazil, Mexico)

Aegon Asset Management

Americas

Netherlands

United Kingdom

Rest of the world

Strategic partnerships (China, France)

Asia

In Hong Kong and Singapore: high net worth businesses

Aegon Insights

Strategic partnerships (China, India & Japan)

21Americas


A few key indicators

The Americas at a glance

174

218

280

50

393

172

96 1Life

Accident & health

Retirement plans

Mutual funds

Variable annuities

Fixed annuities

Stable Value Solutions

Latin America

$ 1.4 billion2016 Underlying earnings before tax

by line of business

6.25.8 6.0

2014 2015 2016

$ 6.0 billion2016 Sales1)

$ 465 billionRevenue-generating investments December 31, 2016

22Americas

Transamerica is Aegon’s main brand in the US

The Americas at a glance

Operations in the

United States, Brazil

& Mexico

In the US, among the

top 10 largest

providers of variable

annuities, universal

life and term life

Nearly 12,000


Diverse & targeted

distribution to better

align with its 13 million

customers in the US1)

Primary sponsor of US

professional golfer Zach Johnson

1) Source 2016 Review

23Europe


Europe at a glance


378

216

3427

Life

Pensions

Non-life

Other

€ 655 million2016 Underlying earnings before tax

by line of business

1.41.6 1.7

2014 2015 2016

€ 1.7 billion2016 Sales1)

€ 164 billionRevenue-generating investments December 31, 2016

24Europe

One of the leading brands in the Dutch financial sector

Europe at a glance

Primary sponsor of

Dutch Rowing Association

Headquartered in

The Hague; offices in

Leeuwarden and

Groningen

Approximately 4,500


In the Netherlands,

Aegon is the

#1 provider of group

pensions and the #5

in individual life

Using a variety of

distribution channels

to help customers

access products and

services as best suits

their needs

25Europe

Aegon UK enables customers to create the tomorrow they want

Europe at a glance

Aegon UK’s main

offices are in

Edinburgh and

London

Over 2,600


In the UK, Aegon

focuses on

retirement, workplace

savings and

protection

Leading position for

award-winning

retirement platform

with € 16 billion1) in

assets under

administration

Lead sponsor partner of

British tennis

1) December 31, 2016

26Europe

Growth potential in Central & Eastern Europe

Europe at a glance

Present in Czech

Republic, Hungary,

Poland, Romania,

Slovakia & Turkey

Over 2,300


#1 In household

insurance in Hungary

Successful Aegon

Direct portal for non-

life in Hungary

Aegon Czech Republic is sponsor of

ice speed skater Martina Sáblíková

27Europe

Spain & Portugal – key markets with strong partnerships

Europe at a glance

600 employeesDecember 31, 2016

In Spain, Aegon has

established a

reputation as a

preferred provider of

protection products

Online distribution is

increasingly important in

order to connect with

customers in Spain &

Portugal

Distribution through

strong partnerships

with banks:

Banco Santander &

Liberbank

28Asia


Asia at a glance


61

1

-39High net worthbusinesses

Aegon Direct & AffinityMarketing Services

Strategic partnerships

$ 23 million2016 Underlying earnings before tax

by line of business

252 269

194

2014 2015 2016

$ 194 million2016 Sales1)

$ 8.5 billionRevenue-generating investments December 31, 2016

29Asia

A key long-term growth market for Aegon

Asia at a glance

Active with TLB,

Aegon Insights, and

joint ventures in China,

India, Japan, serving

more than 650,000

customers in 20161)

Nearly 1,500 employeesDecember 31, 2016

(Excluding agents, joint ventures &

associates)

Leading position in

India with online

insurance

Aegon’s digital

business GoBear,

Asia's only impartial

metasearch engine

for financial products,

Is one of Asia's

fastest-growing

fintech startups

Aegon’s regional office in

Hong Kong oversees and supports

operations throughout the region

1) Source 2016 Review

30Aegon Asset Management


Aegon Asset Management at a glance

55

14

30

-4

54 Americas

Netherlands

UK

Rest of the world

Strategic partnerships

€ 149 million2016 Underlying earnings before tax

by region

1.9

3.4

4.6

2014 2015 2016

€ 4.6 billion2016 Sales

€ 332 billionTotal assets under managementDecember 31, 2016

31Aegon Asset Management

A global investment manager for institutional, wholesale and retail clients

Aegon Asset Management at a glance

Businesses and

partnerships in US,

the Netherlands, UK,

France, Central &

Eastern Europe and

Asia

Approximately 250 dedicated

investment professionals

worldwide December 31, 2016

A robust investment

performance track

record underlined by

numerous industry

awards, including

various Morningstar

awards

Global platform of solutions &

strategies, including fixed

income, equities, real estate

and multi asset solutions

Operating under five brands

catering for distinctive customer

value propositions

32

Appendix

Appendix

33

Alex

Wynaendts

Adrian

Grace

Gábor

Kepecs2)

Chief Executive

Officer

Chief Financial

Officer1)

Allegra

van Hövell-Patrizi

Chief Risk

Officer

Mark

Mullin

CEO

Americas

Marco

Keim

CEO Continental

Europe

CEO

UK

CEO

CEE

Carla

Mahieu

Global Head

HR

Onno

van Klinken

General

Counsel

Sarah

Russell

CEO Asset

Management

Mark

Bloom

Chief Technology

Officer

Appendix – Management Board

Note: Executive Board consists of Chief Executive Officer and Chief Financial Officer.

1) Aegon’s Supervisory Board intends to nominate Matthew Rider for appointment as CFO and member of the Executive Board at its Annual General

Meeting of Shareholders on May 19, 2017. The appointment is subject to approval by the Dutch Central Bank.

2) Aegon announced that Gábor Kepecs will retire in the course of 2017.

Aegon’s Management Board

http://www.aegon.com/PageFiles/250889/Appointment-Aegon-CFO.pdf

http://www.aegon.com/PageFiles/250889/Appointment-Aegon-CFO.pdf

https://www.aegon.com/en/Home/Investors/News-releases/2016/aegon-announces-management-changes/

34Appendix – strategy support

Conduct research, educate the public and lead dialogue on financial issues

Committed to financial education


Publication of original research

regarding: retirement, longevity,

population aging, healthcare

coverage and health & wellness

International presenceEstablished Centers for longevity

and retirement in the

Netherlands, the US and Brazil

Research publicationThe Centers for longevity and

retirement are a collaboration of

experts from Aegon’s

businesses in Europe, the

Americas and Asia

Partnering upBuilding relationships with

respected partners in the field of

longevity, retirement and health

Leveraging expertise

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Introduction to Aegon - March 2017

Investor Relations