Manulife Financial (MFC) 12 May 222022 Q1 Earnings call transcript

Good morning, and welcome to the Manulife Financial First Quarter 2022 Financial Results Conference Call.

Your host for today will be Mr. Hung Ko. Please go ahead, Mr. Ko.

you. Thank earnings operating discuss results. Manulife's XXXX first call and financial conference to our to quarter Welcome

Relations website Our slides are Investor for earnings today's of quarterly material, call available including on manulife.com. at the webcast section our the

Turning to Slide X.

with begin strategic our our first overview will Officer. Roy by Gori, and We and an update Chief highlights Executive an of presentation today's on priorities quarter our President

the remarks, to live adhere an We After operating update indicators. performance to financial Officer, the Following each on ask the will will a Chief the limit key discuss results portion call. of Phil and prepared financial company's follow-ups. we of to results move remarks, two of participant provide question-and-answer including Roy's implications Financial questions and on Manulife's key IFRS Witherington, the on our XX and

If questions, you our we best will respond and do re-queue to everyone. have to please additional

making X and the caution other Note we our applied to Executive Roy? that, a in turn this material forward-looking on I'd start, that call to and on Roy note may differ for actual we presentation. certain statements Slide factors forward-looking non-GAAP measures XX, used or refer please in Chief financial materially stated. Before and from like are assumptions the to over With President results and what Gori, is statements Officer. Slide

today. us our Thanks, XXXX joining results. you, Yesterday, we announced Hung. for everyone, Thank first quarter financial

market operating capabilities caused volatility. global resilience digital first solid and enabled operational of despite in Our proven resurgence COVID-XX by quarter, environment to footprint, challenging us the diversified results the a and deliver

We of from continue prior a over billion, core from year an of a businesses. billion the solid diversity to modest and of prior our benefits we many net transaction. This offset year and we Canada value the $XXX increase annuity quarter US, and of impacted You'll X% see US NBV. Asia investment-related Slide of by of closing in the X, the experience achieved from our we income million. earnings growth of reported of new The markets variable the also on exemplifying reflecting business partially $X.X And reinsurance our and double-digit measures $X quarter, the diversification. of in both gain $X.X COVID-XX benefit containment strong as was billion, the lowered resurgence business decrease tighter delivered

wave and and resurgence business unprecedented of lines. business rapid across with in double-digit first first in during billion activities Asia, COVID-XX in growth delivered WAM the average channels NBV the net second new to sales markets inflows, APE strong $X.X While enabled in positive the relative of the disrupted and well-established of Global our generating quarters all levels geographies diversified multiple had contributions the distribution quarter pandemic XXXX. another digitally And of and and

of embedded embedded XXXX, metric. increase reported or from billion $X.X billion that per is of valuation of believe $XX.X the we share an X.X% year. Finally, We $XX.XX as prior important value December an value XX, or

Additional found can embedded and report. appendix XXXX be on the information our value value embedded in our

X. slide to Turning

our on strategic delivering on priorities. laser-focused are We

Global to XX-year first Our million XX XX% to XXXX. as highest in earnings for our Asia, of potential customers In in total businesses part successfully WAM solutions VietinBank’s offering the Vietnam. quarter accounted our core insurance company liquidity Investment partnership commenced of with we of exclusive we in the in And of bancassurance private benefits the of Strategy investments, investors business, which mix real asset of global exposures private the launch Asset of a asset the public benefits and access allocating Canada, announced provides markets. combining broad public the Real

existing analytics in In our XXXX. our Asia, of were leads actions resulted end capacity months, for business, background launched in quarter five digital our needs to service new retirement global ambition the the drive the mobile APE checks company XXXX. the of by member in an be the NPS to quarter, quarter. experience Promoter to using mobile was tremendous more below onboarding constraints. in tracking to our Manulife resulting of and cycles Score app target than from first mobile from Canada which look most days, customer-centric advanced weeks in plus on progress taking the app Global Canada, we end NPS generated Vitality sales XX-point customers our Canadian We're the We And business, reduced XX,XXX costs enabled by app in engagement. XX registration call approximately continue plus the enhanced We one to execute In workforce customers. further automated easier In We've from at three XXXX identify application as XX% e-app navigation digital with industry. of directly improvement feel enhanced and through made additional on we in giving In from a to and Net four implementing our center evidenced our our individual WAM reduced by our by impacted boost levels our XXXX insurance volumes. to the journey, using in US, plus rolling recent temporary XX. the average average

strategy our execute of interaction. achieve update more our by our with with to for remain attract, of We we delivering on line and XXXX supplemental to will XX. committed We semiannual customers a plus every results. to track provide reporting engage on quarter fulsome are NPS, In experience an second to XXXX outstanding continuing retain our goal

Turning to slide X.

manage deal the capital. released priorities and an efficiency a modest the core expense XX% achieved commenced transaction transaction the as despite of of times multiple of impact closed billion our drive proactively we ratio EPS. note, buybacks We a shareholder Of expense we've of variable deliver environment. reinsurance and XX.X decrease value earnings efficiency, utilize continue on core in the in and to costs continue US $X.X And we We to with optimization to share team annuity progress quarter. portfolio the challenging during the high-performing amidst on

Turning to slide X.

During confirmed the prior a cases a our new in of Despite resurgence This Hong we in China exceeded in economy and notably ways containment rapid witnessed of Kong, containment daily first These the have measures for and and insurance markets. challenged many as significantly resulted Mainland tighter COVID-XX quarter, Asia. unprecedented broader whole. Vietnam. measures, in industry the

returning encouraged of are to We are declining. see recent stronger demand customer signs case as counts

confirmed to and decrease have For Kong, daily begun April. daily the example, peak XX,XXX to Xst, Hong of saw containment in cases in of XXX as May late relax we from measures

one prevalence two to example years. NPS have the we've on in our market Hong gained in is challenges Kong past A our slide we the spot business, ongoing one in over share to XX. and track our insurance demonstrated XXXX. record five clear ranking the market number Despite of COVID-XX, Turning increased number retained a managing where position and by strong

consecutive adoption We and EPOS earnings. increasing growing year-over-year in growth over to by also have core X% our quarters XX digitized active and force, distribution delivered We've of our XX%. agent scaled agency headcount

due distribution COVID-XX and margin channels. focused improved investments three percentage that in the MOVE our points quarter on healthier. mix results Since we've outbreak delivered of made help talent, NBV platform as the prior to become and Our this into protection more to XXXX, we've customers resilient we health the digital our compared and increasing scaling to year

customers' continue pandemic. be to those Asia The the that pandemic, Asia America well-positioned recover of our from the North strong across we in attractive we've markets the as navigate markets the needs. us optimism serve and megatrends As to about challenges ongoing in demand witnessed give opportunity

of results our solid delivered very We XX. quarter XXXX, in slide to business. of I'm and Turning the the of performance first proud

released the our business a During challenging a US operating the variable annuity over quarter, closed the multiple with of committed deal COVID-XX resurgence and We market We to of as EPS. buybacks environment generating caused of impact on of global to transaction by core capital. volatility. reinsure commenced $X.X XX% value of and the remain times to neutralize transaction despite XX.X we the share shareholder billion

business you. Phil review to XX. our deliver foundation, over will and Witherington, execution us highlights succeed strong I'll targets. provide positions hand to on and uniquely presence, financial diverse solid results the update our IFRS Our who And Thank an and continued of on Phil? growth global

core the start to our impact slide the from now US closed annuities lower XX. Asia, first change in-force $X.X highlight the U.S. $XXX one-time solid million modest of billion We We due decrease year-over-year income was transaction on of and gains after-tax largely of reinsurance experience. related key and an direct Roy. VA of on prior Starting interest quarter gain net markets from $XX earnings reinsurance annuity the year a curves attributed seed in of transaction to gains reported shareholders of in million solid to generated $XXX of in the which $XXX operating in quarter This shows of results. driven experience. first the reinsurance up million, We're note, investment impact the money million U.S. to recognized on of $XXX other million $X.X a and The rates drivers number our a Xst. million prior the quarter our flattening the after-tax quarter. from recent in of unfavorable new The of variable that from fourth earnings larger partially a is and transaction mainly from yield gains Of lower experience, income other by by widening business equity The transaction. gains environment. gain XXXX, including after the Slide billion funds. spreads, despite of sales the year Net we in investments material AFS year I'll earnings. off from note, by losses challenging markets, the outside core sensitivity. investment-related impact of the Thanks, XX impact core to quarter a and investment-related core included one-time was The the X% was and $XXX approximately income and of by business gains, history factors; investments loss recognized new of February as impact investment-related sensitivity billion of quarter, of XXXX. remaining from corporate in growth approximately the $XXX Asia, rate gain due partially bonds. equity of $X not and million million These of fixed in $XX and on of from reflecting interest from business seed were money was gains, corporate million driven $XX cost a cumulative this annuity variable imply, was gains direct million. yields the million, a of fixed loss from on realized items impact to in amount Of recognized lower unfavorable a $XXX of of markets Canada of offset funds gains reflecting was with of a million disclosed and $XX gain larger the experienced would markets higher from again consisted than contemplated was moves, overall our higher the debt offset the US. $XXX in-force in Canada earnings

years, three to have past related the market we strong experience. volatility, the Over generate pandemic including continued investment-related through and

has return increased over been million, fixed XXXX, pandemic million fourth average to and I XXXX investment-related quarter. vary varied average compared our experience in XXXX. of credit its While shows comparable been on source in ALDA gains we experience in-force from as the period-to-period, experience experience has start reinvestment first The XXXX a profit of of has analysis million quarterly our quarter. a also assumption, average on this of earnings the is since Slide due have noted have to ALDA and our the exceeded can the and gains $XXX Expected cycle, been prior performed strong quarter period, since results. reported although steady $XXX quarter gain the portfolio our to significantly for mark-to-market XX Overall well XXXX, well quarter-to-quarter each year contributor $XXX of early reliable the long-term the Through nature. during contributor. income X%. our exceeded also

increase U.S. the year. X% was prior of transaction, impact VA from the reinsurance the Excluding a the strong

Kong XX% wave, our Policyholder well gains experience year markets prior Hong by, lower the COLI a due Japan. in New decreased in several strong business product Mainland Other lower and lower Critical illness to from COVID-XX sales Asia was sales period, as primarily driven Favorable the as in shows policyholder business. in largely million by long-term China, sales favorable experience. XX reflecting favorable a of a Asia history $XX net experience our in diversified offset basis, was than pre-tax Slide U.S. and the recent the on Life losses of Canada care U.S. in recorded neutral. experience, nature more while net

policyholder pandemic return on mix our net net fee in lines volumes decreased of COVID-XX favorable related insurance previously, reinsurance cumulative adverse business, Other, offset. US impacted businesses to in experience close X% the markets in Core business mentioned in the earnings product sales Core the Asia geographies. XXXX, our basis experience Core decreased and positive. by Global we in by in in containment by earnings increased and transaction. across delivered growth of several our by reinsurance and diversity in was Slide As largely the of since neutral, differently gains the in of due segment by in core measures, in in-force a and Japan our impact Asia new to And individual provided the environment use the our lower an X%, lower The and income. product reflecting policyholder reflecting and growth business China. on Hong shows XX%, Mainland driven pandemic earnings earnings macroeconomic reflecting VA XX fact, more Kong equity. impact business. X%, early slightly higher unfavorable the in new and WAM earnings, of earnings We Canada start

in-force Excluding by loss primarily delivered on The Other XX.X%. the transaction by and ROE earnings, the to impact of of earnings unfavorable core core money impact in million, driven increased and as on $XX we markets of compared seed Corporate have year a prior would increased quarter. investments the X% the core

down America as which decreased Asia XX, markets I new and and sales first noted as the in Asia. lower North value Kong In sales new business COLI factors year sales impacts offset was more from million, In decreased XX% APE $XXX Asia, to X% prior to as product In sales of in the we in Other, $X.X year of due in the business APE Japan. slide Asia, We quarter. value delivered business the from billion, US due earlier by continue Turning new APE Canada adverse as from in North America several decline and NBV demand XX% to Mainland generated our than our see strong a and unfavorable insurance product generation. shows in This mix offset value down we Hong growth by businesses. customer growth was in double-digit to quarter, well COVID-XX prior in China.

Turning to slide XX.

to client driven decrease compared Institutional in was higher driven average And Asset primarily were points, fee higher by fund decline months The year XX.X and net net billion core increased inflows. income XX business Net large quarter quarter. a by were flows, strong Management first mainly fee $XX.X by $X.X by our fee with were first by points, prior outflows In net over and The inflows business Global in quarter. basis of Canada. in and with net by in prior X% redemption increased reflecting by of gross continued X.X in WAM's year point diversification, quarter. billion mutual the margin XXXX. growth $X.X driven Retirement, In WAM compared billion non-recurrence billion performance AUMA XX of as Our prior market the year basis to past $X.X increase products AUMA. modest $X lower a of billion the a of continued inflows geographic income fixed average Global basis and inflows evidenced Overall, yield net net benefit from by compared flows prior billion income, with in driven billion inflows our redemptions compared net with line decreased gross the $X in net of the inflows EBITDA billion by in quarter, driven $X.X spreads. of billion institutional Retail, $X.X quarter. year in the the was the $X.X the

Slide to Turning XX.

maintain sheet position. continue a to We capital balance strong and

capital from of and due rates, point fourth LICAT X reinsurance quarter XXX% was compared to have of our the We supervisory target the VA of offset with the $XX interest capital ratio transaction. strong. by The impact the release is above partially decrease US higher billion mainly percentage

prior deliver XX shareholder higher the percentage and mitigant. months Our summary impacts stronger from and a strength impact quarter. Canadian the financial a buybacks in net reflects issuance of approximately performance demonstrating profitability ratio the bonds, our X.X by driven mixed two for the our operating interest EPS. a purchased of X.XX% following by of increased impact reinsurance quarter, our neutralize securities, being metrics core earnings. of our the leverage shares growth with rates buybacks, share the global on challenging the retained dollar by a to commitment of transaction, partially first the The points AFS Slide of We share notable of commenced offset transaction financial and in US the growth our shows value and on performance diversity and VA environment common

balance capital us financial our outlines performance. flexibility medium-term to recent Slide deployment remains Our and with our strategic strong and priorities. on targets deliver and sheet provides XX financial

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XX the results Turning slide financial to give to and an Manulife's key I'm implications key pleased XX. update IFRS indicators. of on on performance

items standard want a paying business with fundamental are items you There capacity, financial the recognized are dividend not I to when I though will new claims start, few our our the financial economics specific that remind it strength, you. key impact want that or does Before through walk and accounting ability or statements. to impact I the how of in where,

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This impact Operator, to our to additional and per growth year on call, will targets. of on presentation XX CSM Investor will of X% reporting New the be prepared remarks. balance we information the concludes now call questions. business XX% open provide of year. per IFRS available this After we which and release Relations a adoption will our on video, our and materials website. financial CSM XX% growth will These

go the [Operator is ahead. question Instructions] Scotiabank. Meny And Grauman from Please first from

Good morning.

You product that, little if is else? is more wondering or referenced that just you China. something I'm a mix unfavorable related give in us detail on bit that could COVID

is Anil Thanks, Meny. Wadhwani. This

different some a while have mix XXXX, to proposition. recall, of call XXXX difference. are I the changes significantly to So short We challenge had was from of critical consequence year-on-year. in quarter we perspective, that, it And good of that term, we resounding a growth making are that the our of the that changes, you regulatory sustainable a different quarter business if regulatory had previous very at as does saw our mix response want we that for to that medium on in we kind insurance a in in the at us an account so do a seeing of long-term qualify the the impacting of effectively these product create of is of changes, earnings first level China. for in some industry kind mentioned kind the one that product drove And of adjustments been illness China.

broadly And when this Kong. of -- COVID, more your broadly in think, for a I question have especially well? the terms have I about Thanks sense then you ease timing of Is more up. you coming talked of Do as of mean sense there? we'll million-dollar that. you just Hong down, counts environment these measures Kong, a Roy, especially, Hong some when in actually is case will but presentation there restrictive on When sales more open very see in in any

Meny. Thanks, Yes.

case we year, day. And and cases a day Kong, the other quarter in Let Hong count saw bit Hong in anything dramatically a a flavor. of of versus Asia. of was of that XXX that would also but on And a to hand COVID really QX unprecedented COVID The provide gave saw that Anil example I in in is I earlier XX,XXX little resurgence and in color previous of me per we in high more start, say the I'll thing given about ways. that prior high really Kong, to where the back was saw markets we this

which Now, and May, the counts COVID to for XXX, example, the the of is is certainly about encouraging positive. North in other frankly, case Hong came we that Kong, in significantly, a in what saw sign is world. reduced America, In that, quite big down case we're count seeing parts

So in general, lifted. the saw The see being more situation we measures that the was nature. counts in case certainly and we temporary in containment are improving, are QX

it's in So temporary nature.

quite Anil, a significant. the of by peers. it's we versus through since market about movement our encouraged are end we necessarily if immediate Asia are franchise saw many strength years. we the just share not an more the one seeing and prior and XXXX ground. But may gained momentum undeniable. bounce really the we last frankly The It's on back we is We incredibly 'XX, provide think of the I what today quite frankly, our true medium-term in the where and And to year on little But growth as but in excited demonstrated quarter. you where as momentum first quarter, opportunity Asia, see you're bit we'll outlook again, of significant want the were for that on flavor

Roy. Thanks,

deliver despite we positive saw. that, some unprecedented kind of you challenges. that of So the at growth that of a Kong, profile, earnings said if impact look Hong of we saw recipient in the surge a unprecedented Roy did markets. times of lingering earnings Asian mentioned also the Kong, our of was COVID Southeast a couple And obviously, many Having Hong our key

did So Japan.

Singapore, the I We seeing for that The the I've positive account Meny, Philippines we greater China to are that on that sentiment. rates measures that also out Shanghai is was to that in and lockdowns point confidence have Indonesia. And Having kind And outlook, are of on improving. this, I the recently. severe growth positive look mentioned reasons fact also is as customer leading saw what surge was a well we witnessed earlier. relaxation said earnings seen in really to want some of vaccination if again impact on market that we've challenged the as at a

our short challenges, alluded in that as of So are this the term, again, will, which, secular uniquely we market-leading to to address are to be positions undeniable, in these many in quite the in of nature. geographies temporary point able trends very navigate positioned and medium the being on Roy But opportunity. we are term, have Asia to account

you. Thank

The you. from Young Capital is Markets. go Doug from Thank question next Please Desjardins ahead.

morning. Good

Just assume IFRS you're AOCI? any the there with are the on of case, XX, if on putting be we the should that issues option? planning to volatility logistical And considering we the through is rate that's interest choice that

Thanks, Doug, for is This the IFRS Phil. XX question.

We elect that. the in OCI bit for standard. little option provide me the have decided a to context let of And

interest and offset rate that movements rates, away of that XX, therefore, expected One therefore, and for are assets the the is liabilities. discount both short-term IFRS additional liabilities that key it assets within in goes on both offsetting net from and and the provides that income. from impact this allows the comes of option return the with IFRS it stable provides an rates for OCI short-term standard variability of potential arising that variability And provides rates. changes more arising with XX provides, us exists for between And the does assets liability interest the and the arise is for that direct that linkage effect OCI. on those from is that What option movements

peers very that the I movements logistical perspective, same a you electing our company, given aspects. global number option. are of logistical the expect do to and one within question a see your the we assets any challenges in a in the take Now, don't is and the approach OCI of from things And disclosure in we referenced transparent will global from OCI. of – a liabilities particular there be

transparent, And less through certainly so than adopting I is fair possibly a even no more transparent feel that, this value P&L approach.

only a may or Just right? generating recognize there a an under but correct me I I that? you I'm selling think have recognize if was you instead because assets are where asset. can to I ongoing Do be guess returns going, I any with by that have probably about basis, AOCI, return follow-up. think Is And have is issue that. I we mechanics on of actually to an the that, you wrong,

the Thanks follow-up, Doug. for

we we're clarify interest is impact option about me with the talking What of in record the where rates. AOCI movements Let that.

will and So what on means value election, hold buy movements with our But fixed do which those And through therefore, the for those is yield course, assets value earnings stays the be recorded income effective net we OCI, portfolio in long asset this in term. to of in as fair will classified assets. OCI. income core of fair both be

think for the current sensible over a a the our or AFS to income component time, net environment. I as they smaller And for gains of there losses a would form they are of that's So business. portfolio approach realizations that would extent in

buybacks? to be for -- that, And us Okay. be And second probably have few you you guess, okay, willing on a follow-up is or transaction a what there. capital? think question I'll well, the things But a use can meaning would used Phil, what for what you as update I consider be by on stock excess to and available you for to you

external benchmark the we factors we that that derived use, of approach think at account have such upper do for of operating any ago above range, don't, $XX said that determining our And capital we take and capital And the Yes. that excess we management Doug. that look a determine there's still I a of environment, the what When for at available depending that that balance of it's is managing on not. from taking way, series of end today. capital, a conservatively. is apologize and end in about $XX period as judgments the is we is we range, we The range, above of I fact when billion the will think in question an hold in upper above element judgment make is the billion into the the over excess operating and our operating year stress range, I amount Thanks is sheet for about I use always capital, of time, look that of internal what which scenarios. upon

financial for So capital. deploy there flexibility is to us

repurchased capital million XX% deploying quarter. order the deployment partly $XXX in course, of our as fourth start remarks, the dividend during in increased annuity variable as remind quarter, which transaction. the well, said represents we been completion of in of X.XX% the have And memory, approximately of the shares, strong the We think to a you my issued is U.S. that really by a of in but from I I capital we And of the NCIB.

Doug, just comments. to add I Phil's might

schedule. for to our Sorry, been priority three Investor We $X a over in Doug, years ahead I for going finance capital portfolio significant significant Day add years. bring five We and at articulated focusing of of financial the up that worth set achieved was being XXXX, capital really optimization a our us strength has We four strategic just on of our goal a five billion that our franchise. priority goal strength, years. over flexibility or last

actually In come leverage At XX% XX%. circa $X that at same XX%, fact, down has time, billion. time to we've our from the about exceeded

pandemic us strength and good well. we we really billion inorganic feel flexibility gives of a might in the So that do navigating navigating in of challenging about strong fact $XX part excess as What and provides also obviously, in to we the value, the us important helpful very was range, context of transactions, when a of that There's a pandemic. our lot operating having buybacks the uncertainty upper or that have comfort which be being but entered or the the financial position, source financial environments.

my I recalling capital about is capital at of I memory, deployed. this careful million be million from said $XXX through again. Phil quarter. age Doug, in $XXX numbers It should was of NCIB And the the

Okay. Thank you.

ahead. The from Capital question Markets. Please is MacKinnon Tom BMO from next go

good Thanks taking question. for Yes, my morning.

down nicely, XX%, like I respect look down if new was to business, at have been quarter-over-quarter. look impact business down was the XX%. in And Just but insurance of new have with look of up were impact quarter-over-quarter new sales, Asia in was of the of new but sales impact I XX% year-over-year, down, business the been And down. may business may sales actually particularly impact If if at the Asia. they I

is going looking indicative tell in of this NBV obviously, a saw this change mix in we sell? business Is of us Is business lockdowns? follow-up. in at the to that of is you're to kind quarter I And it be the light continue the it So, And an anomaly? maybe of you're selling mix? going the what to you of mix as forward we shows up have margin. But kind then a just just first continued in can strictly now Thanks. of should how --

Tom. Thanks,

there So business out. that impacted you as were factors gain, rightly new pointed three

the earlier, an in and X% deliver Hong business strong point the as earnings gain was on in Kong had significant, on despite management, do underscore Hong as Hong challenges. impact new Kong that mentioned was of to Kong. we COVID I able well the as one, to a some unprecedented in-force account volumes So that quite impact want growth

was Japan. factor second The

as that an was product resounding Tom. what at a on the as previous core we a impacted efficiency And Japan, as in there, we the to XXXX set earlier of force on focusing as the regulatory not combination XXXX, have mix but also quarter well product of growing account but And on actually much alluded least, in employed factors focus earnings relayed we last, had one in earnings to changes first as have focusing with China. industry is more China some in diversified One, couple that, And have been of throughout So, of call COLI. has expense mix its level. XXXX. of have certainly a a I quarter oppose Japan resulted China had which the primarily well, on

have We one XXXX. seen mix a very of product in different quarter

impact So, certainly that on a knock-on business volumes, had a gain on as impact but obviously new had well. knock-on

that opening quarter one. is door account in element on of The an quarter China an has has contribution the of oversized second where seasonality, one

So, that as where we much of what we is China the kind of be get into in quarter in two witnessed and to going to as beyond, normalize terms will one. sales compared quarter start of contribution lower to

in effect, led sales. business of the decline gain that, versus decline factors of in to kind the new were the those So

XXXX Tom, that just and us for to quarter made want that one Asia, particular. Anil reinforce was a that in earlier, of for QX very point strong is

in up that XX%. quarter up business and New earnings XX% was were value on the prior year,

of a high benchmark the last benchmark. So, is year very

parity to is that's a the Now, from not but challenges, benchmark a discount high perspective. it

currently under your that is international I'd thing reported the in of other US that business our mind The segment. sort gets leave

sign the Asia significantly of international in of again, the encouraging international the for business value quarters. year, we outlook in was which figures new segment. as, coming QX another And as to XX%, this growth see

Okay.

of little go I than this sounds gains a Is sales a it Kong trying kind if of to safe probably contributor new Hong comes as characterize we So, becomes less business it? future. guess, more the see would a of in and percentage way insurance up that China the to

with kind want That's would some shifts qualify that that correct, of to past in see happened. of with mix Tom. combined And years even do have of product some that the the I China. you

factors to take both So into account. you need those

with respect Okay. just long-term question And then experience. is care to Thanks. the second

be to I think it continues favorable.

that your changing think favorable I it reserving got weren't impression outlook. the through necessarily COVID. I was when you

there? In fact, thinking going things I mean some think excess to that Any on reserves, revert. into were update of we're Thanks. adding the thinking

remarks, And very pointed in the out diversification mortality Steve between his here. continued Thanks, yes, Phil we've good longevity, to US. it's and see as Tom, particularly in

and seen this we offsets. we've what quarter continued saw were So

Life saw care, offset primarily in mortality by elevated elevated only business. US the mortality So gains long-term that from we were partially in

referring reserving for a the of the started, that we pandemic care. terms to, were when In saw you hesitancy

were people And people as viewed some when believe that situation receiving care reserves for up incidence so. believe stopped because care care dropped rates we -- the need safe people care. continue seek set the they So receiving we and to as well that that and to will as it's do

reserve We continue US$XXX a hold sizable event approximately for IBNR that at to million.

We hasn't will there. So we're that well changed the the do seek provided thinking care, but that. for people expect

relates respect everybody to -- product, that how on of impact any And just getting care, inflation but mean is the care, with you might can some to increases kind there? your good on I nature of the thinking long-term that, Thanks. comment it long-term of as rate

got that Sure, Tom. the inflation, by well inflation. overall, saying, terms We've to continues event minuses. start And there Yeah. of some in pluses and positioned Manulife in some is higher I'd be

that of there increases is care terms are will liability side, of On of through business. see that higher line costs. care cost the mitigants where that But claims come in there you in we mentioned long-term

and home pandemic particularly care is trend home materially a actually leading as the nursing during away care seen to care, instance, For pandemic, we've than the up and towards from home been there's well, less care. home nursing expensive

will seen in continue we've trends out business offsetting So some we to the that for. watch

seek take the note, as account program. increases inflation, If would well. the higher successful rerate that that you we As into there would were premium

situation And assets. in So close the XX% in period environment In of higher of part expect in real the portfolio, the out point we side. to I'd last mitigants. over inflationary is is yields would And a the the there's medium thing on significant ALDA term. nominal the higher asset inflation, portfolio, our an

an as environment. well with, overall conclude in inflationary positioned a we're So company

that. for Thanks Okay.

Thank you. ahead. ISI. The from next go Motemaden Please David question is Evercore from

Hi, thanks. Good morning.

down, -- is elaborate case of do Just of returning? outside on But that the question some counts follow-up you restrictions Hong demand demand some comments just week. give that of metrics on a Roy, signs promising on I you that could have consumer I Kong. have any they think evidence some And made returning. that some going know relaxed you you last consumer

really we're is will globally the feel that importance have the and I'll ground. of David. forcing the and But Thanks, Anil, consumers appreciate Yeah. is to that actually, who hand start insurance. highest for the a of better level, trends I'll on population pandemic biggest what's general seeing happening much Again, the the at to one

quarter and increase we the increased Canada how So by their in US at force seeing in business covered well the our for whether driving folks actually And by are value new saw really need or they frankly, and was quite XX%. we're they look XX% certainly that coverage to a in not. why

not, but to or the see not is demand the people the nature. headwind ground, into actually counts Obviously, across that the high. So really global are going in board strong there normalized highlight North from driving Hong and crisis. case are back the translates offer people need phenomenon, It's I of is on more you buying managing the customer we're we're counts of just just think provide And sentiment true this COVID it's thinking the temporary is is we correlation. where And containment as to out the a the is more And more general we perspective. -- in moved population as of case not might but just able America, whether products be a it again, Kong, challenging when about in really situation seeing importance and a bit a measures. it's actually that pandemic again, flavor the and But as methods temporary very that see in true seeing that, Anil, well. products the a the just just and a Obviously, the there. definitely Asia we stimulation

David. and Roy, thanks, Thanks,

connect customer what So relaxation into of Kong, partners is, a obviously relaxation the on to vaccination account there's you impact on alluded knock-on well. measures the Hong that force, once in higher obviously, to is as these with the you customers. imagine, for measures distributor opportunities sentiment giving are can rates witnessing And we more come our as

should that So all go well.

that a on April right phenomena. is happened this more you're It recent Now XXXX. only

retirement some strong as market of record point the continue of customer that there well interaction. and believe gives factors business, side. that a to as and the also quarter But to opportunities witnessing We distributor very on of a factors. closely. just MPF So want I probably a had obviously well. kind more we our us out comments MPS We Paul combination are on to kind consolidate on will for could add be and couple ground the other position flows saw on watching of our activity as

We continue have would to agent as grow noticed. you headcount, our

quarter distribution, And including have Hong year-on-year has Kong a our Hong delivered been franchise quality in head of And on with improving obviously we expanding agent the that count investing have Kong was has X%. consecutive growth. XXXX quarters, into resiliency one, investing and resulted earnings digital again, Our of in in capabilities, that our ground our talent. up XX the

So And we that as have? that indication of a kind feel comments pretty as go in Paul, said, the relaxation I any direction. along. to would we is positive optimistic measures you like

Kong Hong Anil. No, ever flows. I terms in the quarter best seen it, business markets, continued We've retirement just growth covered year think you of and with in in particularly a difficult

So speaks importance it of offering. we're I what think consumer just to sentiment and the

add more we given one the on cemented of gone surprise that wanted also just and account should I we Yes. not and COVID, are has minds some protection have us great that simply the point, And of kind our clients. David, demand in to witnessed of products. that for our seeing illness need health what is medical on critical and

as And follow-up thanks really was there that and a color, -- for it. it helpful. Got

cadence that of of Asia, Just the new head of we the in of in impact terms forward. sort as business,

help you Just guys of of power the about we can us in going how the forward. are sort or it Asia, that anything thinking as specifically think earnings you about just company the segment

of Yes. our earlier fundamentals haven't that business Again, as David, I changed. the said,

obviously, come distributor does into it measures think movement you imagine, I is what of sentiment, factor customers also containment impact once an as partners. kind restrict the has our that but constraining and has the it customer really on both would of firstly, been the force,

Asia. in been way of for And I that's is we constraining only consecutive our business as are ground now our as Hong and really quality broadly of the been said, illustrated the on gains the we've fundamentals well franchise that's factor. the The positioned, as got more So that got share by across market years better. the Kong

that, hard be execution customer able the limiting for And are said, the navigate we to record for can really a and demand. as feel, position the given is will to that have have, the good of imagine. we that we that So to track to our I we in in quality address us very us franchise as predict you really But it's short term. factor that

And one David, I add thing. just David. if this I'd thing is could Phil, one just to that, add

We over the the guidance respect medium the IFRS transition to noticed the CSM on medium-term business. new term specifically to that we to of one have haven't XX%. guidance, at XX, business generation is expect guidance, may provided you that past in things added with And new with we've grow of

of on you find in community to So we the in be and we guidance that, business future. where providing will that expect helpful hope that's new of analyst terms rest something the the

in been for is Yes. I sort value rates were have you the pretty or rates going that that of some support help I a No, Kong you maybe Phil. down, that significantly. And capital interest helpful like moved of Hong if the to I've when sneak guys the capital CSM. about is put one -- more you in? then put Hong to into business. in-force just or Obviously, up Kong thinking out, remit plans know can how Any

for David, Thanks, question. the

in remittances from Asia. I update Hong I from said was the as order year. in We're may last think good million. A calendar expecting recall, and that remittances quarter in $XXX provided well. are from capital you Hong chunk We an of this Kong XXXX And Kong of

do year, rates for it And reflect I remittance see environment. at I the a as when strong the the year. for favorable of look I that remittances interest So remainder being think does this outlook

Thank you.

next ahead. from The CIBC. question you. go is Paul Please, Holden Thank from

Thank morning. you. Good

out will some I'd thanks -- point and value yields XX%? it see additional I what to But to net book of now ran this just impact of influence might putting that XX, disclosure guess well we bond a the mechanics and sort those off, in My helpful, IFRS time. of between of of trying of interest say influence I'm first works. XX? from implementation extent level So of on kind in value what understand on how the you through basis, at rates for So IFRS is, book the numbers estimated the question moves

seeing, This Steve environment make of for want But that, expect XX to nature as add the as well, of ratio the one changes in basis stable. will thing far, our in ratio a than net we we environment. more a Finch IFRS given sensitivity and as work basis our less be I'll LICAT so Phil. the income position, LICAT from we we've our all Paul, current to rates the on is start, Thanks, as see an net the is done capital to question. transition income We're may capital question. interest well and

of So element certainly IFRS IFRS interest rates There XX well. new investment the whereby many as such force impact under not are accounting, as positive. capitalize future is as we investment as factors as that we elements business returns of stabilizing it's the And a accounting, that do creating only the consider well significant XX a other other don't upfront.

you didn't I future. for whether factors particularly that and think Steve, both interest greater there core the know to I comment earnings of income are also net rates. stability provides wanted on into further,

Yes. we will also positive sheet we book LICAT of Thanks, sensitivity Phil. see of as your IFRS a well ratio terms question, an XX, But our as in reduced as what rates to XXXX. under value. opening Phil commenting the was interest our balance on establish at from start on

past what we we're already know rates obviously, that point, so are. So interest

talking you. we're about Phil book value or the to factoring equity that that when So impact in covered. we're Thank

I want follow to sorry, understand. so I So, on that one, up

for mark-to-market book the rates. is done you you've impact what value So current

between around market sensitive So get is lot, then, in estimate I'm moving kind how any hoping that because just a and bond rates characterization to is changes of to now day potential the and be of for to because of early to too I you that, it think, probably magnitude, to have sense but do day, but any kind -- welcome. would quantify it's don't us,

Sure. I'll start.

you And with so, look -- start if ratio. our I'll at LICAT

ratio disclosed declining that interest XX LICAT basis current points. would sensitivity look in X the point of at rates we a as said end QX, we we by ratio result If you in regime, increase the have, under the a at the LICAT

reduce to that XX. materially IFRS expect We under

reduced regime with rates. of So the that's sensitivity the respect to about XX IFRS point interest

there any impacted? on value Okay. book that And use how is can where sensitivity is to I reach

same, -- there. directionally would if know have I the I don't additional comments Phil, you

much of I of help think XX%, the will about a yesterday When XX I that But inform, would gave information we of interest show couple transition the to that is closer value environment. through to would at on thing the to we other to sensitivity talked and future today, some the I which released think, example. only an the rates, things be IFRS expect clearly, neutral impact add. calculations. we in emphasize Steve LICAT book We expected look

I So I for future represents as into value I consistent And One add an earnings the would into think And contractual that a the in of a capital. of it's well, measure, we consultation that be is being launched think in that well. that CSM element only is it's therefore, to that earnings and the strength. earnings the that's was guideline, important as one economic financial And with but therefore, is future important. relevant factor. think emerge statement back margin June terms, to LICAT But XXXX because on also that, that's available asset as think very The an OSFI a CSM clear that smoothed book will XXXX. income. consultation included service accounted not liability, really very considerations

point. additional one just And

effectively because of earlier, date, the wasn't are I is the we transition clear year. in transition start XXXX the Just the case for past at

the the balance passed date sheet. we of So opening

are we're rates the why known because balance of that's in sheet saying So past. already interest they're opening the the as date

Okay.

excuse related big in me, QX. question to experience, related positive Second -- investment-related a to is obviously

and asset down. of values forward, pretty look I again, them most quickly are As repricing here

what Just might the you that post the and wondering seen QX, sort happened, game going us how of can investment what kind walk forward. and influence drove if experience potential what quarter through of maybe to takes puts you've help

up would the And quarter, portfolio was yeah, gains first the it Sure. drivers long-term question. you we've the more and that far Hey it Paul, really which seen And And biggest pretty above estate, is private has all saw quarter. X% I $XXX and if the like expectations. been returns that. getting most the the second thanks to so the on six, their first equity, the you it read and look Scott. at broad-based, the say, -- all continues, public -- it's drop about million. on markets for equity down were But, markets the first we of private Obviously, the Thank but on for a real quarter, private in X% public correlated five were bit equity categories in X%. to ultimately, in our weigh will we're if the quarter had in US the is

they definitely valuations. equity there impact while if lockstep. don't private certainly enough, But it So, will is move public drop correlation, markets in some

a We quarter the in. get of For that in we you to statements for get funds most get portfolio, And just for first quarter, tend arrears portfolio. data the of that. for our remind the to a the private don't year-end the worse about lot equity it's than even

two lag So quarters. we're, in cases, many

good a very fourth private equity. So quarter was the quarter for

rest will provide down tailwind go going public headwind that, year, will been private to But in bit the a XX% have portfolio. the a or that's of the the much likely So stay to bit see little if all as beyond markets second down we continue about which quarter. the equity of equity for mitigate as of a they represents

Steve markets about agriculture, quarters three earlier positive assets. And the – inflation equity rates oil the portfolio. will is estate, higher and what's is and driving inflation, be higher a gas. in The It's for public referenced definitely by interest real is other in higher down XX% by of real timber, concerns

on returns year. pretty expectations feeling good for balance the for the about ALDA of overall So we're the portfolio

you. Thank great. That’s

National question Thank is go Dechaine Bank The Please Financial. next from from ahead. you. Gabriel

morning. Good

You wondering question on little here any limiting might ask are back and the volatile in environment. Anyway, years your that now. what is want -- very consider or your you just very calls didn't what the filings question. bought is you hour I'll that each we're two because questions current over just indicate buyback to an going these view of for buybacks on stock Market April wondering just

Phil. it's Gabriel,

we completed very of remains impact our the stock that we would fact, when we the made So we -- our transaction, repurchase objective. announced That the the clear X% neutralize in of when intention US VA in transaction. to order

we great got the start to clearly really provide in X% the there's the of buybacks months to more us order into But in future. purchased continue quarters remain of I we have and X%, off from block We on and a from at get impact end impact to the that on and at EPS the earnings the earnings transaction, with program. a that do for will how the three such that’s beyond. arising will into clearly been as to XXXX first of the lost by to year, can't that have neutral committed from of the least XXXX guidance doing the get couple transaction lost the

Thanks. Perfect.

Markets. from next Darko RBC from The question you. Capital ahead. Thank Please Mihelic go is

Good it try well. make and will brief Hi, as morning. you. I thank

on relates different question level. but inflation, a First to

more. We Canada pay of they're that inflation. your suggest some banks in with employees Canadian are their business lot US lot of a and to going is A seeing

then thought expense your And efficiency? expense IFRS your under how have secondarily, we XX? impact this program about does how Phil, So

It's expenses. we've in Thank questions. remain that asking strategic for the does of laid of one five about highest and thanks Expenses particular out. Darko, Great one priorities. our you,

think Phil. have with I Apology, connection we lost

one question, that another will that ask can Darko. to back think I we speakers and we come have respond first. that Apologies, other maybe that to

Neil as back margin. Tom Sure. I get have the that wanted had question to about well, on And question the a I to specifically VNB for asked Asia.

I the of their that that main of pre-pandemic sense you Kong, outside competitors Asia that, is and levels. actually China than guys. case for that VNB suggested was One didn't your in higher Hong

You guys Kong. only really highlighted in Hong

be share higher you places, not have Malaysia, And pre-pandemic levels? some to it, there? to talk maybe Indonesia, VNB versus in the fact, out you of are can So losing would name other a position Vietnam, in you, you why

question. the for Thanks

many fact, on of did distribution, actually first that in through And something share with business, of few market culture. And a been of factors. execution of gained the expanded our So followed digital account trial pandemic a geographies, capabilities, that's onset through in our pandemic. kind key despite that are resilient. our in mention I the strong has We've we've quite our

reckon, gains So impact in saw in very we coming would that Hong unprecedented in vaccination at an have the kind In measures otherwise, continue well to if you that XXXX seen Southeast of resurgence. leasing one, share the containment And address Kong I we the of obviously as we impact going market rates seen And results quite had the we quarter Asia. be we our resilient, positioned are kind or of my results as kind be [indiscernible]. able look that with well to kind that. the up, we've down, already To mind, believe to subside. of of

You mentioned want in one, quarter of to able in our Vietnam, kind that, emphasize we I do to retain Vietnam. market-leading position, were

almost bank XX,XXX three We have agents, partners.

to to kind well able address these positioned be So opportunities. very of we are

given market-leading account will You position, our quarter-on-quarter we opportunity. probably very to the quality feel on address again, our variation of be Asia volume some able see the of But franchise mix. and and product confident to

you by any Maybe and decline give sticking that you back. I'm My if suspicion basis is Phil more. not is with a Asia on you When core you, say you, segmented would guys mentioned Thank us sure, Anil. expected IFRS Can are Great. XX%. insight? drop earnings XX, just to

Yeah.

I respond change, fundamentals think would Phil is kind thing our probably we of accounting you because the conduct the business doesn't of to way of methodology the business and kind best to But leave an would our be that. change. only of would with the that, I

have IFRS any be as new in the the opportunity turn of kind maybe XX. maybe commentary of of well business to Asia that, I'll part yes, But drivers pretty additional of Steve now if believe or growth remains recognized the Phil kind it to we strategy CSM, as the as gains they a intact. on will as while So as kind well

Phil I Phil. And you. have to will back we pass so think Thank I it on

And XX, reclassification and level segment. be deferral approach to at not as guidance notable you back of value new we to for gains, a approaching growth months come when the the finish new on. group. the I'll but We're providing for And of our Darko, this I'm business of opportunities the business the visible And business key new new to driver apologize CSM Asia we therefore, one transition the difficulty site is impact and we're that's reason, key back. on of of that Asia expect question. technical to generated is I impact off segmental in transition business as or point, there, of had in the we as know, we that clearly would in a transition. course, IFRS our the

to that IFRS However, do WAM there. we and is is out see our of want target add target represent change Asia by that's that XX% core And segment laid our earnings what business an strategic Global our XXXX. XX% strategic at our Asia Investor core I doesn't we Day our our that that will XX important of Asia earnings. business,

into think that impact have. I the context So transition IFRS that XX extent helps the of put the might

question I Now to your lost expenses. getting back connectivity, question before on your

expense and we've of and despite is had action have In first flat we the course well. taken. paying that efficiency, date, the quarter, a of on higher inflationary including expenses seen everything higher core total off. the period as focus digitization validate does To we think expenses automation environment flat in the reported I inflation,

So paying I the It off. validates think that approach. is

are headwinds. I forward, look clearly there As inflationary I think

more be case. expenses be But think of than would consequence the even past I on peer the the automation, bigger than to otherwise I of couple greater seen When future that program, and the inflation. I we've so base in provide about expense would I be and ways, in a higher some focus resilience years. neutral higher we've resilient actions to And than as also And the expect will digitization expense many taken. level suppose the our an there'll of which, think of already group be

Thanks much. very

from next go from question Securities. Thank TD you. The Please ahead. is Mario Mendonca

a of couple have morning. questions. Good I

appropriate. going reserves, obviously, higher just Expenses not very So to assumption I'd are a if be are but long-term in care, all be with happy brief reserve. and responses expenses every it's important

imagine expenses. QX, one and of I do year, end going the perhaps approach we reviews Steve, when assumption is the of the big, is would this that big as you're So need to to to on get you

be to in expense, strengthen expense this assumptions? could a today, large there charge sit you a QX As large

of Thanks, that did expenses I think and to could expenses review about year is long-term the and assumption. the you a basis Mario. what those we about respect a fulsome With change, updated do it's reserves tell last assumptions how I

So we're Phil expense very seeing some strong higher what with our focus now. there. covered our respect we're to inflation continued seeing program,

really what I earlier conclude to you think premature very we I watch respect side. It's inflation that trends offsets see of long-term closely. some it's is But is on think we'll of the might I with something for overall, well-positioned. that the -- talked here. continue tell I on So would me it's to impact overall, asset Manulife to the about

Do the do inflation period course, look over a five do at long-term like years you Now last years? assumptions? or that? How What what last it Is of the you XX -- do every five-year, averages. look uses XX-year? company, you at

outlook periods. rate the what also factor more inflationary longer on So trends, recent than when rates, we interest we but like long-term a period over place is. assumptions interest And things we're do look long-term looking at and that, weight we additional in

that and I the I yet the environment. a is I Fed taking higher And -- actions think would volatile don't period conclude it's with long inflation of a for on we is think so would that time.

some inflation coming have calling and down. back fact, In to peaked are for

long-term take we So do view. the

way would, the But of assets. be expected those sense. of is still just assets capital effective course, There going assets. is you're than owning and given value makes That effective fixed that is liabilities OCI And the you assets -- that the going these to made earnings. you in on through gains the yield. yield said the Okay. the also on reported Phil, income the said account election you more

of right, – sort of net of one. And estimate assets? saying income Am what the two, of number mark include the expected return like earnings? that right will expected the appreciation you use will number So some that in I the expected got purposes I've core if of earnings for core

you Great, the Mario. question. for Thank

in typically fixed is any core portfolio It portfolio not hold trading. as through expectation. time. realized on there earnings. So income gains capital expected yield turnover the income the the to our account some will We're taking definition the first with We of is approach. in expected them is gains There invest of We And an bonds show effective maturity. into that to answer no. and our inherently extent net losses in is over some

portfolio, include long-term on will core is It we adopted P&L there approach institutions And expected the through largely determine rate -- I the of fair expected with do our under the to fair that the OCI record rate on the return. another we earnings, However, of which also an value effective com. be assets, definition other on core -- same earnings credit topic consistent expected should which that within highlight global assets. value already be earnings also X. the interest older, One that yield that our changes sorry, of will assumptions that income to those for rest will fair that? your will IFRS portfolio loss we long-term is fixed the be is income the of the through currently financial through apply how portfolio, is non-fixed will approach We're return question, point other no making XX IFRS core income value that for element, non-fixed through accounted a and our under

all that's very understand clear, Yes, that. and I

on quickly real Mortality is good. long-term Now care.

around You're holding right seeing underlying as long-term $XXX specifically of trends there now severity negative -- that's somewhat good million are positive mortality? the that well. by care, we're any being in on IBNR, What masked are

see Mario. hesitancy the Thanks, will a to expect trends talked some that we're pandemic, care in I and which all little continue revert. through bit is for earlier which about the we of seeing settings,

recently there We service unit in is have seen more inflation also actual of being provided less that of than amount pre-pandemic. costs, the while is sort

And I that a be earlier which more cetera. that's staffing to home to So trend be would care, continuing could shortages, also the mentioned et positive. due

Remind early XXXX, number are updated to which things and updated was consistently the longer-term there – in the is there those assumptions portfolio. that the if we too and of these, saw that, But consistent assumptions. any, we say So with seeing when assumptions trends. experience the assumptions you in we we've it's a updated we're that are of

broadly the diversification we'll track – will Certainly we are portfolio expect closely. So longevity our be more to mortality in this on continuing that versus continue.

then there's where just I there's And of sort fire. smoke, finally, know the Okay. caption of

one Let US of calls, were one questions long-term several about me asking On care this. folks calls, a the of ask insurance transaction. the

about happening that done higher in it US or long-term it weren't in that they of Manulife, into asking And got of pipe just asking be Is other that could still company. Manulife, there the that a care care context not company. bucket. they're might transactable for these plausible dream just of is be that that long-term interest of any clearly, like Now rates. a ton now, was moving the but all US companies, something any attention insurance it And looks

spreads and some Hey, I say we higher regular and to the LTC And on granularly is opportunities, rates Mario, will on certainly quite tailwind all continue would considered, sub-blocks that market at to what create wide different here. look But it's connected are blocks. we quick be seeing assess things a interest potential we're bid-ask this. being to the Naveed on transactability. understand basis blocks to that

that the blocks. the side. valuation turn That's will thing I as the emerged, confidence experience as go narrowed. transaction signs the shareholders. make the long-term but those saw gain the on key counterparties to of what to that saw which of we think We quite sense still accumulates, think there's the the assumptions, I here ways is our informs in see point bid care, in experience would a to bid-ask in spreads for where a for We a astros come in

your for point. you Thank

Cormark Securities. question from Persaud Please the from last Lemar ahead. Thank you. And is go

back Thanks CSM business growth. for questions quick. I Phil the target to taking offered the my earlier questions. looking a to to and I'll be for in at one of comment response new that just come really want

XX%, So that medium-term your for target. new business CSM XX at target just understanding it's a IFRS growth

Just not likely in be on achieved target given wondering, with is Asia the Asia of reliance for XX% some the to that Thanks. business gains. suggests in XXXX, new that, softness just

our for Lemar, guidance. this of is up Phil, element on and thanks picking that new

think it's in seeing think Anil's Mainland seen well. is can that of to good demand is North that Macau America pandemic. other comments, customer COVID but many And I well. had quick means seeing as XXX Asia of the the earlier do Kong a we've being that pandemic, also of getting seen pandemic Chinese the Kong Roy's in I impact But headwinds we've also currently a reasonably as waves think once the is cases in and as optimistic. talked of business of relate to the Hong the we're the the per experience in and good to the geographies be resurgence of with very the wave the I And that the back drivers very our be we're business think, Hong back, example. fact pass. through I intense, I it fifth And bounce reemerging. about reason that also Anil is think day short It's and

really fully and the XX% China that in business, borders illustration the not demand when think new that a a it would CSM accessing just case provides I good Asia. is Mainland certainly of as Kong. is there. Hong also growth It's highlight CSM, I between reopen that and

We to US And that international that's that. our contributors business as segment targets. and something Roy be US a as is identified important opportunity mentioned expect high Canada the to will to something growth that our accretive earlier, business. And have and we our be within

I we'll We Lemar, assess growth and and that new medium-term about just balance XX%, with the of that this we're quite two CSM and why challenging that's insurance The a on X% articulated. positive of as ours And of CSM challenges company XX% that fast-growing and for you add business opportunity. the growth. has focus diversity in CSM get the they CSM We in and focus we've through pools. that forward, the to to that companies way critical IFRS-XX targets. will outlook light feel, think on and be to growth new the temporary going growth the think developments excited particularly closing that back but that on quite we in a shine, track like positive the times seeing, that that, demonstrated think, will one Asia, temporary would the that will I we're again, be is grow that, just is a introduced

for Thanks that. Great.

further questions over to registered time. back no are like to at Mr. There I'd this meeting Ko. you. the Thank turn

Thank you, operator.

We follow-up everybody. any will good if Have after there be questions. available the are call day, a

The lines and conference you you. has thank disconnect ended. participation. Thank your this we now Please time, your for at