DNB Wealth Management Nordic Insurance Trip by Carnegie

Oslo 5 June 2014

Tom Rathke Group Executive Vice President and

head of Wealth Management

NORWAYS LARGEST ASSET MANAGER

NOK 530 billion AuM

1 million private clients within pensions, mutual funds

and Private Banking

30,000 corporate clients within pensions and asset

management

Best Private Banker in Norway1

No. 1 in Prospera2 Norway, no. 2 in Sweden

No.1 in Global Equities 3

No. 1 in Fixed Income NOK 3

Best provider of pension solutions in Norway4

Best provider of defined contribution schemes5

1 Euromoney Private Banking and Wealth Management Survey 2014 2 Prospera – instituional investors, 2014

3 Morningstar Fund Awards 2013 4 Aalund bedriftpensjons barometer 2013 5 Gabler Wassum innskuddspensjonsanalyse 2013

Agenda – New pensions products

1. • The regulatory requirement and future growth prospects

2. • Growth and profitability in our new pension products

3. • Distribution and cooperation within the Group

4. • Q & A

Traditional life separated from new business - to increase competitive power and secure operational efficiency

Products Wealth Management

Win

the pension

battle

Increase

our share of the

insurance market

Secure sufficient return

and efficient operation

of the back book

New pension products

& Savings Insurance Traditional Life

Regulatory environment - progress in new pension regulations

Completed Not completed

Mandate

Banking Law

Commission -

report

NOU (Official

Norwegian

Report)

Law-

proposition

Parliament

processing In effect

New occupational pension

(«Hybrid»)

1.1.2014

New contribution limits for

DC schemes Regulation December 2013 1.1.2014

New disability pension NOU: deadline for

comments

expired

1.1.2015

Transition rules:

From DB to new

occupational pension

2015?

New occupational DB

scheme

NOU Q4/2014

Individual paid-up policies

with investment option

Q3 2014 ?

DC = Defined contribution , DB = Defined benefit

New pension products

- includes defined contribution, risk coverage and private pension savings

DNB’s volume as of 31 March 2014:

NOK 51.2 bn

55%

5%

40%

Defined contribution

Risk coverage associatedwith DC pensions

Private pension savings(Unit Linked etc).

Defined contribution vs. defined benefit

- Norwegian private pension market

2010 2011 2012 2013

Share of DC plans 87.5 % 88.9% 90.2 % 90.7 %

Share of DC members 74.1 % 76.5 % 79.1 % 81.4 %

Share of DC assets 12.9 % 14.8 % 17.9 % 22.2 %

Source: Finance Norway. The statistics cover Finance Norway´s members

DB

DC

Premium defined benefit vs defined contribution

0

10

20

30

40

50

60

70

80

90

100

2007 2008 2009 2010 2011 2012 2013

DC market size (Capital in NOK billion)

Defined contribution

- DNB growth in premium contribution and capital under management

0

500

1,000

1,500

2,000

2,500

3,000

3,500

4,000

4,500

Annual premium (NOK mill)

0

5,000

10,000

15,000

20,000

25,000

30,000

35,000

Total capital (NOK mill)

12M growth

rate: 28 %

12M growth

rate: 16 %

Growth potential for defined contribution schemes

New customers

Transition from DB till DC

New contribution limits

• Before 1.1.2014:

• 5 per cent between 1 and 6G1,

8 per cent between 6 and 12G

• After 1.1.2014:

• 7 per cent between 0 and 7.1G,

25.1 per cent between 7.1 and 12G

Private pension savings

1) G = NOK 88 370

Defined contribution

- DNB’s DC P&L for 2003-2013, break even after 10 years

-400

-300

-200

-100

-

100

200

300

400

2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

Income Costs Results

Increased focus of capital-light products

– “Our customer mindset” and reporting based on customer segments

1 Credit market shares, household and commercial

Pensions and savings on the agenda in DNB

(from Capital Markets Day, Nov. 2013)

Potential for growth