2015 AGM Presentation

The Hague, May 20, 2015
Annual General Meeting of Shareholders Aegon N.V.
Jaarlijkse Algemene Vergadering van Aandeelhouders Aegon N.V.

2
Welcome to the
Annual General Meeting
of Shareholders
In order to hear a
simultaneous translation
into English, please
choose channel 11
Welkom op de jaarlijkse
Algemene Vergadering
van Aandeelhouders
Voor het beluisteren van
een simultaanvertaling
in het Nederlands
kiest u kanaal 10

3
Rob Routs
Picture
Chairman
Supervisory
Board
Voorzitter
Raad van
Commissarissen

4
Opening
Agenda item 1 / Agendapunt 1

5
Presentation on the
course of business
in 2014
Presentatie over de
gang van zaken
in 2014

Strong foundations
for growth
Alex Wynaendts
CEO & Chairman of the Executive Board
The Hague – May 20, 2015

77
Aegon’s purpose is to help people take responsibility for their financial future

8
Our products and services have never been more needed
Our expertise
Protection Accumulation
At & after
retirement
Changing
demographics
New
digital
technologies
Low
interest
rates
Increased
regulation
Changing
capital
requirements
Trends
We support people throughout their working
lives and into retirement

9
Global aging and changing demographics
Global
Retirement
Readiness
Score
5.8
Aegon Retirement Readiness Index (ARRI)
7
Japan
4.6
Netherlands
5.7
United Kingdom
6.0
United States
6.2
India
7.0
Hungary: 4.9
Spain: 5.0
Poland: 5.1
Turkey: 5.4
Sweden: 5.4
France: 5.4
Canada: 6.0
Germany: 6.1
China: 6.2
Brazil: 6.8

10
Growing importance of technology

11
7%
6%
3%
2%
4%
5%
1%
Persistently low interest rates
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
10-year government bond yields US NL

12
Regulatory changes with a significant impact on our industry
Regulators seeking to strengthen consumer protection
New laws on tax and data privacy
Unprecedented reforms in some of our markets
End of commissions to brokers in the UK and the Netherlands

13
Regulators will set the bar high
New capital requirements to enhance risk management and governance
Implementation of Solvency II in 2016
Aimed at enhancing consumer protection
Capital requirements linked to risks insurers take on

14
A clear framework to address global trends and developing customers’ needs
Purpose
Strategic
Objectives
Leader in all of our chosen markets
Help people take responsibility for their financial future
Working
together
Bringing
Clarity
Exceeding
Expectations
Company values
Ambition

15
Making the right choices
Optimize our portfolio
Divestments Expanding distribution with
strong local partners
 Canada
 Partnership with La Mondiale
(France)
 Joint venture with Caja Badajoz
(Spain)
 Santander Totta (Portugal)
 La Banque Postale (France)
 BANCOOB (Brazil)

16
Towards a more efficient and responsive company
Pursue operational excellence
 Adjusted product offerings to
continued low interest rates
 Launched new products to meet
customers’ needs
 Established global IT framework
 Cost savings create room to invest
in Aegon’s businesses
Improved efficiency
OpEx / (OpEx + UEBT)
63% 63%
59% 59%
58%
2010 2011 2012 2013 2014*
* Adjusted for model and assumption updates. Without these adjustments, our cost: earnings ratio for 2014 would have totaled 61%.

17
Becoming a more customer-centric company
Customer loyalty
 Online offerings in nearly all Aegon’s
markets
 Further enhancement of online
platforms & tools
 Launched Venture Fund to respond
quicker to changing markets
 Enhancing services of customer
service centers
► Through launch of specialized
software
 Customer loyalty measured with
Net Promoter Score
► Aiming for top quartile in all our
chosen markets

18
Empowered employees to help people take responsibility for their financial future
Empower our employees
 Broadening talent mix
► Attracting talented people from a range of
different industries
 Talent Review Process
► Succession planning and talent
identification well established
 Promoting workforce diversity
► Joined Workplace Pride
Staff performance metrics
High performing norm 2015 Financial services norm 2015
63
67
69
73
2011 2013 2014 2015
73
66
Engagement
64
67
70
74
2011 2013 2014 2015
71
67
Enablement

1919
Organizational changes to take advantage of opportunities
Better connecting
with our customers
Enhancing
distribution
Introducing new
investment solutions
3,300 I&R employees with
a national footprint
Actively serving
25,000+ plan sponsors
5.4 million customers
New deposits of USD 42 billion
in 2014 and revenue generating
investments of USD 296 billion
Servicing US customers through a single investment & retirement division

20
Integrated solution to and through retirement in the UK
At-retirement
Capabilities for
adviser market
Workplace savings
‘Gated’ solutions for
employees
Non-advised
Self service
Single investment & trading platform – offering a compelling solution to advisers,
employers and their employees

21
Leadership positions in the Netherlands offer strong foundations for growth
1.9 2.3 2.5 2.8
4.4
Pension
fund
Insurer Pension
fund
Aegon Pension
fund
In millions of customers
Aegon PPI
Cappital
* Gross written premiums pensions in 2013 (Source: DNB)
** Per January 1, 2015. Premium Pension Institution (PPI) is a specific type of defined contribution contract
Pension
administrator
#2
PPI provider with
0.6 billion euro in
Assets under Management**
#1
Aegon Peer 1
Peer 2 Peer 3
Peer 4 Peer 5
Others
Pensions
insurer*
#1

22
New Markets’ strategy driving continued growth
 Focus on protection
► Leadership in risk/rider products in key CEE markets
► Strong growth in high-net-worth segments in Hong Kong and Singapore
 Expanded distribution
► Newly developed professional advisory channel in Spain
► Continued growth of tied agent networks in CEE
 Direct propositions
► New online propositions in Asia, CEE, Spain and Brazil
► Leader in Indian online term life insurance market
 Strong growth of assets under management
 Expanding our third-party business
Asset
Management
Asia
Central &
Eastern
Europe
Latin America
Spain

23
Our strategy is delivering results
Customer
focused
Strong
performance
Solid underlying earnings
before tax in 2014
EUR 1.9 billion
Expanding digital
capabilities
Enhancing
distribution
Getting closer to
our customers
Very strong
ratings
AA-
Continued strong
sales in 2014
EUR 8.6 billion

24
0.20*
0.21
0.22
0.23
2011 2012 2013 2014
 Proposed final 2014 dividend of EUR 0.12 per share; total 2014 dividend of EUR 0.23 per share
 Continue to neutralize stock dividends to avoid dilution
 Future dividend growth dependent on strong capital position and cash flows
Sustainable dividend growth
* Final 2011 dividend of EUR 0.10 per share annualized for comparative purposes
Increasing dividends
(EUR per share)

25
Creating value for all our stakeholders
€
Profits
Benefits
Society
Protection
Capital Trust
Customers
Talent
Investors Employees

26
Presentation on the
course of business
in 2014
Presentatie over de
gang van zaken
in 2014

27
Annual Report
2014
Jaarverslag
2014
Agenda item 3.1 / Agendapunt 3.1

Darryl Button
CFO & Member of the Executive Board
The Hague – May 20, 2015
Creating and sharing
value in 2014

29
Aegon performed strongly in 2014
Key figures
Sales
+ 20%
EUR 8.6 billion
Underlying
earnings
- 5%
EUR 1.9 billion
Net income
+38%
EUR 1.2 billion
Operational
expenses
+1%
EUR 3.3 billion
Revenue-generating
investments
+17%
EUR 558 billion

30
Strong underlying trends masked by assumption changes and model updates
1,775
1,982 1,968 1,865
2011 2012 2013 2014
936
1,672
857
1,186
2011 2012 2013 2014
Underlying earnings before tax
(EUR million)
Net income
(EUR million)
 Underlying earnings impacted by assumption changes and model updates
Note: 2011 as reported

31
 Strong gross deposits mainly driven by US pensions and variable annuities
 Stronger universal life production in US and Asia; higher pension production in the Netherlands
 Accident & health and general insurance sales exceed EUR 1 billion for the first time
Total sales growth of 20% driven by continued strong deposits
44
55
FY 2013 FY 2014
0.8
1.0
FY 2013 FY 2014
Note: Total sales consists of new life sales plus 1/10th of gross deposits plus new premiums for accident & health and general insurance
+25% +7% +26%
Gross & net deposits
(EUR billion)
A&H and general insurance
(EUR billion)
New life sales
(EUR billion)
1.9
2.0
FY 2013 FY 2014
8 9

32
Continued strong capital position and cash flows
1.2
1.6
1.3 1.2
2011 2012 2013 2014
8.6%
6.7%
8.6% 7.8%
2011 2012 2013 2014
1.2
2.0 2.2
1.2
2011 2012 2013 2014
195%
228% 212% 208%
2011 2012 2013 2014
Operational free cash flows
(Excl. market impacts and one-time items, EUR bln)
Return on equity
(%)
Excess capital at the holding
(EUR billion)
Solvency ratio
(Insurance Group Directive, %)
Note: 2011 and 2012 return on equity as reported

33
 Operational free cash flows of EUR 1.2 billion excluding market impacts and one-time items
► Positive market impacts and one-time items largely offset by negative impacts from model updates
and assumption changes
 Increase in free cash flows driven by reduction in holding expenses
Operational free cash flows and holding excess capital
2013 2014
Operational free cash flow 1,547 902
Market impacts & one-time items 212 (334)
Normalized OFCF 1,335 1,237
Holding funding & operating expenses (460) (326)
Free cash flow 875 911

34
 Holding excess capital declined following EUR 1.0 billion of senior debt redemptions
Excess capital development
2013 2014
Starting position 2.0 2.2
Net dividend from units 1.0 0.9
Acquisitions & divestments 0.6 (0.0)
Common dividends (0.4) (0.4)
Funding & operating expenses (0.4) (0.4)
Debt issuances/redemptions (0.4) (1.0)
Other (0.1) (0.1)
Ending position 2.2 1.2

35
Funding costs
(EUR million, fixed charge coverage)
 Gross financial leverage target range of 26-30%
► Leverage cut by ~25% since 2011
Leverage and fixed charge coverage targets achieved in 2014
9.2 8.7 7.7 7.1
34.0%
32.0%
33.3%
28.7%
2011 2012 2013 2014
520
444 403
3033.8x
4.8x
5.2x
6.5x
2011 2012 2013 2014
Note: Gross leverage and fixed charge coverage ratios as reported
 Fixed charge coverage target range of 6-8x
► Fixed charges reduced by more than 40%
► Positioning capital structure for Solvency II
► Taking advantage of low interest rates
through proactive refinancing
Gross leverage
(EUR billion, %)

36
 Underlying earnings impacted by adverse claims experience and low interest rates
in the US
 Sales growth across the group; new business remains profitable despite
low interest rates
 Strong operational free cash flows and solid excess capital position
Q1 2015 earnings impacted by adverse claims experience
Note: Earnings = underlying earnings before tax; Cash flows = operational free cash flows excluding market impact and one-time items
+32%
compared with Q1 2014
€ 2.8bn
Sales
+11%
€ 339m
Cash flows
-6%
€ 469m
Earnings
7.2%
excluding run-off businesses
6.6%
Return on Equity

37
 Expected group Solvency II ratio remains in the range of 150% to 200%
 Uncertainties still to be resolved throughout 2015
► Internal model approval process and calibration
► US equivalence and deduction & aggregation methodology (including US RBC conversion ratio)
► Assessment of Transferability and Fungibility
► Specifications for use of Matching Adjustment
► Loss absorbing capacity of taxes
Solvency II range confirmed; uncertainties remain
 US life RBC ratio
conversion
 Non-regulated and
other entities
Non-EEA
 Netherlands (IM)
 United Kingdom (IM)
 Spain (SF)
 CEE (SF)
 Diversification benefit
EEA
 Senior leverage net
of excess capital
 Required capital
Holding
 Cash flows driven by
local ratios
 Updated capital
policy January 2016
Group
+ – =
Note: EEA = European Economic Area; IM = Internal Model, SF = Standard Formula; CAL = Company Action Level

38
 Persistently low interest rates
 Increased regulation of financial services
 Changing capital requirements
 Continued execution of our strategy
 Well-positioned to capture growth opportunities
Looking ahead
2015

39
Annual Report
2014
Jaarverslag
2014

40
Remuneration Report
2014
Remuneratierapport
2014

41
2014
 No changes to Executive Board Remuneration Policy since 2011
 Executive Board policy aligned with Global Remuneration Framework
 Vesting according to sustained performance (ex-ante / ex-post)
2015
 New type of contract for Alex Wynaendts, in connection with re-appointment
 Clauses in contract reflect revised governance requirements
Main points from Aegon’s Executive Board Remuneration Policy

42
 Remuneration in 2014
► Fixed compensation CEO increased with 10% compared to 2013
(After increase, Executive Board total compensation still below 25th percentile of peer groups)
► Deferred variable compensation from 2011 and 2012 paid out / vested
► Upfront variable compensation regarding performance year 2013 paid out / vested
► 3 year holding periods apply to all vested shares
 Conditional variable compensation allocated over 2014
► Alex Wynaendts: 79,13% of fixed compensation (2013: 98,33%)
► Darryl Button: 79,76% of fixed compensation (2013: 98,50%)
► 40% of variable compensation to be paid in 2015 60% deferred
2014 Executive Board remuneration

43
Financial and non-financial Group targets (75% maximum)
► Underlying earnings after tax (15%)
► Return on equity (15%)
► Market consistent value of new business (18.75%)
► Return on economic required capital (11.25%)
► Strategy/sustainability (15%):
Personal targets (25% maximum)
► Strategy execution – business model, portfolio management, customer-centricity
► HR and sustainability topics – employee engagement, succession planning
► Large projects/issues – cash flow development, Solvency II
Executive Board remuneration – variable compensation indicators and results
23.75% Alex Wynaendts
24.38% Darryl Button
Outcome 2014
55.38%

44
 New contract Alex Wynaendts is a services agreement
 Clauses from previous employment contract that are no longer fitting or otherwise
need updating will be amended
 New clauses will be included
► Severance payment in case of early termination limited to a maximum of one year annual
salary in cash
► Retirement age will be brought forward from 62 to 60
2015 Executive Board remuneration – new contract for Alex Wynaendts

45
 Aegon’s policy takes into account both national and international circumstances
and conditions
 Legislation and regulations impact remuneration policies
► Dutch government introduced maximum variable compensation in financial sector
► Limits on sign-on- , retention- and severance payments
► Fiscal treatment of pension accrual in the Netherlands further limited
 Worldwide, Aegon’s compensation policies (and competitive landscape) are
impacted
Aegon’s Remuneration Policy in general – going forward

4646
 Prior to 2015, some selected senior staff were eligible for variable compensation
exceeding the new maximums
 Starting performance year 2015, variable compensation levels for these roles have
been adjusted downwards to match applicable new maximums
► Aegon the Netherlands: 20% maximum on average for senior management
► Holding of the Group in NL (N.V.) and Aegon companies in Europe: maximum variable
compensation has become 100%
► Outside Europe: maximum variable compensation has become 200%
Variable compensation at Aegon Group and the new maximums

47
Annual Report
2014
Jaarverslag
2014

48
Annual Accounts 2014:
Proposal to
adopt the
Annual Accounts 2014
Jaarrekening 2014:
Voorstel tot
vaststelling van de
Jaarrekening 2014

49
Vóór de stemming
 Plaats kaart met chip naar voren
 Naam verschijnt in venster
Tijdens de stemming
 Stemkeuzes verschijnen in venster
 Maak uw keuze:
1 = Vóór
2 = Tegen
3 = Onthouding
 Keuze verschijnt in venster
 Tijdens stemming kunt u uw
keuze wijzigen
 Laatste keuze geldt
Prior to the voting
 Insert card with chip facing you
 Name appears on display
During the voting
 Voting options appear in display
 Press button:
1 = For
2 = Against
3 = Abstain
 Choice appears in display
 During voting you can change
your choice
 Last choice counts
Voting procedure / Stemprocedure

50
Annual Accounts 2014:
Proposal to
adopt the
Annual Accounts 2014
Jaarrekening 2014:
Voorstel tot
vaststelling van de
Jaarrekening 2014
Voting on agenda item 3.3 / Stemming over agendapunt 3.3

51
Proposal to approve the
final dividend 2014
Voorstel tot goedkeuring
van het slotdividend
over het boekjaar
2014

52
 Cash flows upstreamed to the holding are available to execute our
strategy, to fund operating expenses and to pay dividends to
shareholders
 Aegon aims to pay a sustainable dividend to shareholders, which can
grow over time if performance of the company allows so
► Balance prudence versus offering an attractive dividend
 In normal circumstances, Aegon expects to declare an interim dividend
and propose a final dividend for approval at the AGM
Aegon’s dividend policy

53
 Proposed final dividend for 2014:
EUR 0.12 per common share
► Results in total dividend for 2014 of
EUR 0.23 per common share
 To be paid in cash or stock
 Value of stock dividend approximately
equal to cash dividend
Aegon’s dividend proposal
0.11
0.12
2013 2014
Dividend
(EUR)
0.22
0.23
 Final dividend  Interim dividend

54
final dividend 2014
over het boekjaar
2014

55
final dividend 2014
over het boekjaar
2014
Voting on agenda item 4 / Stemming over agendapunt 4

56
Proposal to release the
members of the
Executive Board from
liability for their
duties
Voorstel tot het verlenen
van kwijting aan de
leden van de Raad van
Bestuur

57
members of the
Executive Board from
liability for their
duties
van kwijting aan de
Bestuur

58
members of the
Supervisory Board
from liability for their
duties
van kwijting aan de
Commissarissen

59
members of the
Supervisory Board
from liability for their
duties
van kwijting aan de
Commissarissen

60
Proposal to reappoint
Mr. Alex R. Wynaendts
to the Executive Board
Voorstel tot herbenoeming
van de heer
Alex R. Wynaendts
als lid van de
Raad van Bestuur

61
Alex Wynaendts
Age 54
Nationality Dutch
Profession/
Functie
Chairman Executive
Board and CEO
of Aegon N.V.
Memberships other boards/
Andere bestuursfuncties*
None
Shares in Aegon N.V./
Aantal aandelen in Aegon N.V.
295,734 common
shares
* Qualifying under Act Management and Supervision/Conform Wet bestuur en toezicht

62
van de heer
Alex R. Wynaendts
als lid van de
Raad van Bestuur

63
van de heer
Alex R. Wynaendts
als lid van de
Raad van Bestuur

64
Proposal to appoint
Mr. Ben J. Noteboom
to the Supervisory Board
Voorstel tot benoeming
van de heer
Ben J. Noteboom
als lid van de
Raad van Commissarissen

65
Age 56
Nationality Dutch
Profession/
Functie
Non-Executive
Director
Former occupation/
Vroegere functie:
CEO Randstad
Holding N.V.
Memberships other boards/
Andere bestuursfuncties*
Supervisory Board
member Ahold N.V.
and Wolters Kluwer
Shares in Aegon N.V./
Aantal aandelen in Aegon N.V.
23,500 common
shares
Ben Noteboom
* Qualifying under Act Management and Supervision/Conform Wet bestuur en toezicht

66
“Aegon plays a hugely important role not only in
terms of providing financial security to millions of
people, but also in the wider economy. The
company has made exciting improvements to
become more customer-centric. I hope to make a
positive contribution by drawing on my own
experience in this area.”
Ben. J. Noteboom

67
Proposal to appoint
Mr. Ben J. Noteboom
van de heer
Ben J. Noteboom
als lid van de

68
Proposal to appoint
Mr. Ben J. Noteboom
van de heer
Ben J. Noteboom
als lid van de

69
Proposal to authorize the
Executive Board to
issue common shares
Voorstel tot machtiging
van de Raad van
Bestuur tot uitgifte
van gewone aandelen

70
Executive Board to
issue common shares
van de Raad van
Bestuur tot uitgifte
van gewone aandelen

71
Executive Board to
restrict or exclude
pre-emptive rights
upon issuing common
shares
van de Raad van
Bestuur tot beperking
of uitsluiting van
voorkeursrechten bij
de uitgifte van gewone
aandelen

72
Executive Board to
restrict or exclude
pre-emptive rights
upon issuing common
shares
van de Raad van
Bestuur tot beperking
of uitsluiting van
voorkeursrechten bij
de uitgifte van gewone
aandelen

73
Executive Board to
issue common shares
under incentive plans
van de Raad van
Bestuur tot uitgifte van
gewone aandelen in het
kader van
incentiveplannen

74
Executive Board to
issue common shares
under incentive plans
van de Raad van
Bestuur tot uitgifte van
gewone aandelen in het
kader van
incentiveplannen

75
Executive Board to
acquire shares in the
Company
van de Raad van
Bestuur tot verkrijging
van eigen aandelen

76
Executive Board to
acquire shares in the
Company
van de Raad van
Bestuur tot verkrijging
van eigen aandelen

77
Any other
business
Wat verder ter
tafel komt

78
Close of
the meeting
Sluiting van
de vergadering

80
Please return your
voting device and voting
card before departing
Wilt u voor uw vertrek
uw stemkastje en
stempas inleveren

2015 AGM Presentation

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