Financial Data and Key Metrics Changes - In Q3 2025, the company generated EUR 340 million of operating capital generation, a 1% increase year-on-year [3][10] - Free cash flow amounted to EUR 76 million, primarily reflecting the share of ASR's 2025 interim dividend [10] - Cash capital at holding remained strong at EUR 1.9 billion, despite returning over EUR 800 million to shareholders [4][15] 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 and stable financial assets [10][11] - Life sales at World Financial Group (WFG) increased by 15%, and annuity sales rose by 9%, supported by strong consumer demand [7] - In the U.K., net deposits in the workplace platform turned negative for the first time in two years due to the departure of two large low-margin schemes [8][9] 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 [44] - New life sales in Brazil continued to grow, particularly in credit and group life products, although offset by currency movements [9] 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 enhance the advisor platform and return it to growth by 2028, despite current challenges [8][56] - The company is reviewing a potential relocation of its legal domicile and head office to the United States, with updates expected at the Capital Markets Day [4][5] Management's Comments on Operating Environment and Future Outlook - Management remains optimistic about achieving all financial targets for 2025, despite the weakening of the US dollar [4][16] - The company is focused on improving cash flow predictability and managing remittances from business units [36][37] - Mortality assumptions are being monitored closely, with recent outcomes aligning with expectations [47][48] Other Important Information - The company executed over half of its ongoing EUR 400 million share buyback program, expecting to complete it by December 15 [4][15] - The RBC ratio in the U.S. increased to 425%, with operating capital generation contributing positively [13][14] 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 [21][22] - Cash conversion from the U.S. is targeted for mid-single-digit growth, with investments impacting total capital generation [24] Question: Strategic assets and capital employed in financial assets - The reduction in capital employed in financial assets is attributed to the implementation of a base fee hedge and favorable equity markets [29][30] - Earnings on in-force for distribution and savings & investments are down due to margin pressure and mortality movements [32] Question: Stranded costs and payout ratio - Management indicated that stranded costs are a consideration in financial asset management, with further details expected at the Capital Markets Day [37] - The payout ratio is expected to improve over time as the quality of businesses enhances [36] Question: Variable annuities and mortality exposure - The company is monitoring the flooring issue in variable annuities and has not taken action yet, but will explore options if necessary [46] - Mortality outcomes have been favorable, with management confident in their assumptions [48] Question: UK market developments and RBC ratio - The UK advisor platform is targeted for growth by 2028, with positive reception to improvements made [56] - The RBC ratio is currently at a satisfactory level, with no immediate need for capital injection [57]