Financial Data and Key Metrics Changes - Operating capital generation for Q3 2025 was EUR 340 million, a 1% increase year-on-year [10][11] - Free cash flow amounted to EUR 76 million, primarily reflecting the share of ASR's 2025 interim dividend [10][14] - Cash capital at holding remained strong at EUR 1.9 billion, despite returning over EUR 800 million to shareholders [4][14] Business Line Data and Key Metrics Changes - In the Americas, operating capital generation increased by 6%, or 12% on a constant currency basis, driven by strategic assets [11] - Life sales at World Financial Group (WFG) increased by 15%, and annuity sales rose by 9% due to solid consumer demand [6] - In the U.K., net deposits in the workplace platform were negative for the first time in two years due to the departure of two large low-margin schemes [8] Market Data and Key Metrics Changes - The U.S. retirement plans business reached $251 billion in assets under administration (AUA), with mid-sized plans increasing to $62 billion [43] - New life sales in Brazil continued to grow, particularly in credit and group life products, although offset by currency movements [9] - The U.K. solvency ratio for Scottish Equitable increased to 188%, primarily from operating capital generation [12] Company Strategy and Development Direction - The company aims to transform Transamerica into America's leading middle-market life insurance and retirement company [5] - Plans to return the advisor platform to growth by 2028, with a target to grow the overall platform by £5 billion by the same year [56] - A review regarding a potential relocation of the legal domicile and head office to the United States is ongoing [4][15] Management's Comments on Operating Environment and Future Outlook - Management remains confident in achieving all financial targets for 2025 despite the weakening of the US dollar [4][15] - The company is making good progress in transforming its businesses and expects to provide updates on strategy at the Capital Markets Day on December 10th [4][15] - Management noted that the underlying business in U.S. retirement plans is strengthening, with strong written sales indicating solid future deposits [43] Other Important Information - The company executed over half of its ongoing EUR 400 million share buyback program by the end of September [4] - The total new business strain in Q3 2025 was $10 million below the guidance of around $200 million per quarter [11] - The company is targeting a cash capital at holding of around EUR 1 billion by the end of 2026 [15] Q&A Session Summary Question: Long-term care book assumptions and cash conversion - Management confirmed that the actual to expected claims ratio for long-term care is 97%, and they are satisfied with their assumptions [20] - Cash conversion from the U.S. is expected to remain around 70%, with a focus on stable remittances [22] Question: Strategic assets and capital employed in financial assets - Management noted that capital employed in financial assets has decreased due to favorable equity markets and the implementation of a base fee hedge [28] - Earnings on in-force for distribution and protection solutions have decreased due to margin pressure and mortality movements [30] Question: Stranded costs and payout ratio - Management indicated that stranded costs are a consideration in financial asset management, with further guidance expected at the Capital Markets Day [36] - The payout ratio is expected to improve over time as the quality of earnings increases [35] Question: Variable annuities and mortality trends - Management is monitoring the flooring sensitivity and has not taken action yet, but will explore options if it becomes a constraint [45] - Mortality assumptions have been trending as expected, providing comfort regarding the company's mortality exposure [46] Question: Developments in the U.K. and RBC ratio - The U.K. business is on track to meet its targets, with a focus on improving the advisor platform [56] - The U.S. RBC ratio is currently at a satisfactory level, with no immediate need for capital injection [57] Question: Capital employed reduction and management actions - Management has made reasonable progress in reducing capital employed through various management actions, but further actions may be needed to meet targets [68]