The total return on Veritas’ investments was 8.3 per cent in January–September. Veritas’ equity investments performed best during the period of January–September, with a return of 17.2 per cent. The return on real estate investments was 4.1 per cent, fixed income investments 1.3 per cent and other investments 5.9 per cent.

1. Interim report
1 January – 30 September
2021
28 October 2021

2. Summary of January–September
• The total return on Veritas’ investments was 8.3 per cent in January–September.
• Veritas’ equity investments performed best during the period of January–September, with a return of 17.2 per
cent. The return on real estate investments was 4.1 per cent, fixed income investments 1.3 per cent and other
investments 5.9 per cent.
• The good investment return has strengthened Veritas’ solvency during the year. The solvency ratio was 131.1
per cent at the end of September.
• Veritas has increased its market share of YEL insurance policies and improved its customer retention.
8.3%
Return on investments
4.2bn
Value of investments
131.1%
Solvency ratio
1.8
Solvency position

3. Investments

4. The investment return was 8.3%
in January-September
Investment returns
11.3 %
7.4 %
6.5 %
5.8 %
6.6 %
8.0 %
-1.5 %
9.9 %
5.6 %
8.3 %
-4.0 %
-2.0 %
0.0 %
2.0 %
4.0 %
6.0 %
8.0 %
10.0 %
12.0 %
2012 2013 2014 2015 2016 2017 2018 2019 2020 1-9/2021
• The return on Veritas’ investments
was 0.9% in July-September.
• In January-September, the
investment return was 8.3%.
• Equity investments performed
best, with a return of 17.2%. Real
estate investments had a return of
4.1%, other investments 5.9%,
and fixed-income investments
1.3%.

5. Long-term return is high
The cumulative investment return for a 10-year period is 90.4%.
90
110
130
150
170
190
210
2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021
The return is calculated from 1 October 2011 to 30 September 2021 .
Nominal return
10 years
7.0 %
5 years
6.5 %
Real return
10 years
5.9 %
5 years
5.3 %

6. Changes in portfolio allocation
36.0 %
45.1 %
16.3 %
6.2 %
-3.6 %
32.1 %
44.4 %
15.7 %
7.4 %
0.4 %
33.7 %
45.4 %
15.3 %
6.8 %
-1.2 %
34.2 %
46.2 %
15.2 %
7.5 %
-3.1 %
-10.0 %
0.0 %
10.0 %
20.0 %
30.0 %
40.0 %
50.0 %
Fixed-income
investments
Equities and shares Real-estate
investments
Other investments Effect of derivatives
31.12.2020 31.3.2021 30.6.2021 30.9.2021

7. Geographical distribution of investments
All investments Listed equities

8. Breakdown of investments at fair value
1-9/2021
milj. € % milj. € % ⁸ %
1 411,9 33,5 1 439,5 34,2 1,3
Loan receivables ¹ 56,7 1,3 56,7 1,3 1,0
Bonds ¹ 1 171,3 27,8 1 196,8 28,4 1,6
Government bonds 681,4 16,2 709,0 16,8 0,1
Other bonds 490,0 11,6 487,8 11,6 3,1
Other money market instruments and deposits ¹ ² 183,8 4,4 186,0 4,4 0,1
Equity investments 1 843,5 43,8 1 946,1 46,2 17,2
Listed equities 1 470,4 34,9 1 573,0 37,3 16,0
Private equity investments ³ 337,8 8,0 337,8 8,0 24,0
Unlisted equities ⁴ 35,3 0,8 35,3 0,8 4,8
Real estate investments 641,2 15,2 641,2 15,2 4,1
Direct real estate investments 528,4 12,5 528,4 12,5 3,7
Real estate funds 112,8 2,7 112,8 2,7 5,7
Other investments 315,1 7,5 315,1 7,5 5,9
Hedge fund investments ⁵ 191,8 4,6 191,8 4,6 9,0
Other investments ⁶ 123,2 2,9 123,2 2,9 1,3
Total investments 4 211,7 100,0 4 341,9 103,1 8,3
Effect of derivatives ⁷ -130,2 -3,1
Total investments at fair value 4 211,7 100,0
Modified duration of the bond portfolio 5,3
Open currency position, % of the market value of investments 23,7
Fixed-income investments
Basic breakdown Risk-adjusted breakdown Return
30 Sep 2021 30 Sep 2021

9. The good investment return has strengthened
Veritas’ solvency
100%
105%
110%
115%
120%
125%
130%
135%
140%
0
200
400
600
800
1 000
1 200
Solvency limit, milj. € Solvency capital, milj. € Solvency ratio, % (right-hand scale)
• The solvency ratio has
increased to 131.1% during
the year.
• The solvency position was
1.8 at the end of September.
• The solvency capital stood at
EUR 1 019,7 million at the
end of September.
1) Veritas Pension Insurance and Pensions-Alandia merged on 1 January 2019. The figures for the previous years are Veritas figures before the merger.
2) The figures for 2011–2012 include the provision for pooled claims equated with solvency capital, which was EUR 73.3 million in 2011 and EUR 78.3 million in
2012.

10. Carbon-neutral real estate portfolio by 2030
0
1000
2000
3000
4000
5000
6000
7000
8000
9000
Emissions tCO2
2018 2019 2020 2021 (estimated)
Emissions of direct real estate investments
• From 2018 to 2020 the
emissions have decreased by 76
per cent.
• The emissions are estimated to
decrease even further this year.
• On-going energy efficiency
projects in Turku and Helsinki.

11. Pensions and insurance

12. The pension expenditure is close to
600 million euros
Pensions and other claims paid 1, 2), EUR million
533.8
568.1
589.5 585.4
599.1
200.0
250.0
300.0
350.0
400.0
450.0
500.0
550.0
600.0
2017 2018 2019 2020 9/2021
Number of pensioners 2)
35714
36324
37118
37627
38002
20000
22000
24000
26000
28000
30000
32000
34000
36000
38000
40000
2017 2018 2019 2020 9/2021
1) Pensions and other claims paid 9/2021 is an estimate for the whole year 2021.
2) The figures for 2017-2018 are pro forma figures (Veritas + Pensions-Alandia)

13. Veritas’ premiums written will likely exceed
600 million euro during this year
Premiums written 1, 2), EUR million
567.1
588.6 592.7
551.6
605.1
300
350
400
450
500
550
600
650
2017 2018 2019 2020 9/2021
Number of insured persons 2, 3)
0
20000
40000
60000
80000
100000
120000
140000
2017 2018 2019 2020 9/2021
Number of
pensioners
Number of YEL
policies
Number of
TyEL insured
1) Premiums written 9/2021 is an estimate of the whole year 2021. The temporary discount on employers’ TyEL contributions between May and December 2020 is taken into account.
2) The figures for 2017–2018 are pro forma figures (Veritas + Pensions-Alandia).
3) The number of TyEL-insured persons in 2019-2021 is not fully comparable with the earlier years. The definition of this key figure changed in 2019 when the Incomes Register was
taken into use.

14. Customers’ payroll has started to rise
TyEL payroll 1, 2), EUR million
2059.1
2133.1
2159.2
2131.4
2210.0
1000
1200
1400
1600
1800
2000
2200
2400
2017 2018 2019 2020 9/2021
Number of TyEL policies 1, 3)
8215
8711
8885 8839
9385
8914
5000
5500
6000
6500
7000
7500
8000
8500
9000
9500
10000
2017 2018 2019 6/2020 2020 9/2021
1) The figures for 2017–2018 are pro forma figures (Veritas + Pensions-Alandia)
2) TyEL payroll 9/2021 is an estimate for the whole year 2021.

15. Number of YEL policies continues to increase
Reported income under YEL 1, 2), EUR million
276.0 276.4
289.6 295.6 302.9
0.0
50.0
100.0
150.0
200.0
250.0
300.0
350.0
2017 2018 2019 2020 9/2021
Number of YEL policies 1)
11516
12129
12940
13285
13589
5000
6000
7000
8000
9000
10000
11000
12000
13000
14000
2017 2018 2019 2020 9/2021
1) The figures for 2017–2018 are pro forma figures (Veritas + Pensions-Alandia)
2) Reported income under YEL 9/2021 is an estimate for the whole year 2021.

16. Result
Result analysis, EUR million 1-9/2021 1-9/2020 2020
Technical underwriting result 6,9 5.9 2.3
Return on investments at fair value 119,8 -95.6 70.0
+ Net return on investments at fair value 324,1 -39.3 206.4
- Return requirement on technical provisions -204,4 -56.3 -136.4
Loading profit 1,4 1.2 1.8
Other profit 0,4 0.8 1.7
Total result 128,5 -87.6 75.8
Operating income covered by expense loading component,
EUR million
13,4 12.7 17.5
% of the expense loading component 90,6 % 91.4% 90.5 %
Number of employees (average) 158 158 157

17. #weareveritas
#meollaanveritas
#viärveritas