2017 Annual Shareholder Meeting

Transcription

1 2017 Annual Shareholder Meeting

2 In the course of today s meeting, officers of the Corporation may make, in their remarks or in response to questions, and the accompanying materials may include, statements containing forward-looking information. Certain statements, other than statements of historical fact, are forward-looking statements based on certain assumptions and reflect the Corporation s current expectations, or with respect to disclosure regarding the Corporation s public subsidiaries, reflect such subsidiaries disclosed current expectations. Forward-looking statements are provided for the purposes of assisting the listener/reader in understanding the Corporation s financial performance, financial position and cash flows as at and for the periods ended on certain dates and to present information about management s current expectations and plans relating to the future and the listener/ reader is cautioned that such statements may not be appropriate for other purposes. These statements may include, without limitation, statements regarding the operations, business, financial condition, expected financial results, performance, prospects, opportunities, priorities, targets, goals, ongoing objectives, strategies and outlook of the Corporation and its subsidiaries, as well as the outlook for North American and international economies for the current fiscal year and subsequent periods. Forward-looking statements include statements that are predictive in nature, depend upon or refer to future events or conditions, or include words such as expects, anticipates, plans, believes, estimates, seeks, intends, targets, projects, forecasts or negative versions thereof and other similar expressions, or future or conditional verbs such as may, will, should, would and could. By its nature, this information is subject to inherent risks and uncertainties that may be general or specific and which give rise to the possibility that expectations, forecasts, predictions, projections or conclusions will not prove to be accurate, that assumptions may not be correct and that objectives, strategic goals and priorities will not be achieved. A variety of factors, many of which are beyond the Corporation s and its subsidiaries control, affect the operations, performance and results of the Corporation and its subsidiaries and their businesses, and could cause actual results to differ materially from current expectations of estimated or anticipated events or results. These factors include, but are not limited to: the impact or unanticipated impact of general economic, political and market factors in North America and internationally, interest and foreign exchange rates, global equity and capital markets, management of market liquidity and funding risks, changes in accounting policies and methods used to report financial condition (including uncertainties associated with critical accounting assumptions and estimates), the effect of applying future accounting changes, business competition, operational and reputational risks, technological change, changes in government regulation and legislation, changes in tax laws, unexpected judicial or regulatory proceedings, catastrophic events, the Corporation s and its subsidiaries ability to complete strategic transactions, integrate acquisitions and implement other growth strategies, and the Corporation s and its subsidiaries success in anticipating and managing the foregoing factors. The listener/reader is cautioned to consider these and other factors, uncertainties and potential events carefully and not to put undue reliance on forward-looking statements. Information contained in forward-looking statements is based upon certain material assumptions that were applied in drawing a conclusion or making a forecast or projection, including management s perceptions of historical trends, current conditions and expected future developments, as well as other considerations that are believed to be appropriate in the circumstances, including that the list of factors in the previous paragraph, collectively, are not expected to have a material impact on the Corporation and its subsidiaries. While the Corporation considers these assumptions to be reasonable based on information currently available to management, they may prove to be incorrect. Other than as specifically required by applicable Canadian law, the Corporation undertakes no obligation to update any forward-looking statement to reflect events or circumstances after the date on which such statement is made, or to reflect the occurrence of unanticipated events, whether as a result of new information, future events or results, or otherwise. Additional information about the risks and uncertainties of the Corporation s business and material factors or assumptions on which information contained in forward-looking statements is based is provided in its disclosure materials, including its most recent Management s Discussion and Analysis and its most recent Annual Information Form, filed with the securities regulatory authorities in Canada and available at Certain financial terms which may be included in statements today or in the accompanying materials, such as adjusted net earnings, are non-ifrs financial measures that do not have a standard meaning and may not be comparable to similar measures used by other entities. Please refer to the Corporation s annual and most recent interim Management s Discussion and Analysis for more information, including how such measures are defined, an explanation of their purpose and a reconciliation of the non-ifrs measures to the corresponding IFRS measures, where comparable IFRS measures exist.

3 Dividend Increases in 2016 Great-West Lifeco 6.1% Power Financial 5.4% Pargesa 4.8% Power Corporation 7.6%

4 Earnings Net Earnings 1,786 1,082 Adjusted Net Earnings 1,573 1,203 ATTRIBUTABLE TO PARTICIPATING SHAREHOLDERS [$ MILLION]

5 First 2017 Annual Shareholder Meeting Quarter Results

6 First Quarter Earnings Net Earnings Adjusted Net Earnings ATTRIBUTABLE TO PARTICIPATING SHAREHOLDERS [$ MILLION]

7 Quarterly Dividend $ per participating share an increase of 7%

8 2017 Annual Shareholder Meeting

9 Group 2017 Annual Shareholder Meeting Companies Results

10 2017 Annual Shareholder Meeting

11 Earnings Net Earnings 2,319 1,919 Adjusted Net Earnings 2,241 2,105 ATTRIBUTABLE TO COMMON SHAREHOLDERS [$ MILLION]

12 Dividends per Share $1.57 $

13 2017 Annual Shareholder Meeting

14 Earnings Net Earnings 2,762 2,641 ATTRIBUTABLE TO COMMON SHAREHOLDERS [$ MILLION]

15 2017 Annual Shareholder Meeting

16 Canada 2017 Annual Shareholder Meeting

17 Canada

18 more than 13 million people 1 in 3 Canadians

19 Canada 2017 Annual Shareholder Meeting

20 United States 2017 Annual Shareholder Meeting

21 United States

22 United States

23 United States Over 8.2 million individuals 2nd-largest record keeper of defined contribution pension plans in the U.S.

24 United States

25 Industry Recognition

26 United States

27 Europe 2017 Annual Shareholder Meeting

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29

30 2017 Annual Shareholder Meeting

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32 Earnings Net Earnings AVAILABLE TO COMMON SHAREHOLDERS [$ MILLION]

33

34 Certified Financial Planner

35 Managed Solutions Products

36 Assets in High-Net-Worth Solutions

37 Q Gross Sales $2.1 billion +15% Net Sales $261 million best since 2007

38 Strong Momentum Gross Sales [$ BILLION] Net Sales [$ MILLION] $2.9 $890 $2.3 29% $467 91% Q Q Q Q1 2017

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40 Mutual Fund Gross Sales YEARS ENDED DECEMBER 31 [$ BILLION] $6.9 $ % Industry peers 5.1%

41 Strong Momentum Mutual Fund Gross Sales [$ BILLION] Investment Fund Net Sales [$ MILLION] $1.84 $ % $444 $642 -$198 Q Q Q Q1 2017

42 Highest share of mutual fund assets rated 4 or 5 star since 2013

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44 Fintech 2017 Annual Shareholder Meeting

45 30,000 clients $1 billion in assets under administration

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47 Fintech 2017 Annual Shareholder Meeting

48 2017 Annual Shareholder Meeting

49 Portfolio Changes [ BILLION] Acquisitions SGS Umicore Sienna Capital Umicore Sienna Capital adidas Umicore Ontex Sienna Capital SGS adidas Umicore Ontex Burberry Sienna Capital Disposals Arkema Suez Environnement Pernod Ricard Total GDF Suez Iberdrola Total Iberdrola Total Total Engie

50 53.9% 9.4% 16.2% 7.5% 7.5% 17.0% 0.7%

51 2016 Adjusted Net Earnings SF321 million

52 Investment 2017 Annual Shareholder Meeting Activities

53 Value-Creating Pillars Entrepreneurial culture Long-term investment vision Active ownership Ongoing effort to analyze our environment

54 Sagard Investment Funds Sagard Europe Sagard Capital Sagard China

55 Sagard Europe

56 Sagard Europe $609 Investments $294 Gains $622 Distributions $281 Fair Value December 31, 2016 IRR of 16.4% since inception [$ MILLION]

57 Sagard Capital

58 Sagard Capital $49 Distributions $616 Investments $321 Gains $888 Fair Value December 31, 2016 IRR of 10.4% since inception [$ MILLION]

59 Sagard China

60 Sagard China $308 Investments $358 Gains $19 Distributions $647 Fair Value December 31, 2016 IRR of 13.5% since inception [$ MILLION]

61 Third-Party 2017 Annual Shareholder Meeting Private Equity Funds

62 Third-Party Private Equity Funds $607 Investments $521 Gains $955 Distributions IRR of 15.0% since 2002 [$ MILLION] $178 Value in 2002 $351 Fair Value December 31, 2016

63 Communications 2017 Annual Shareholder Meeting

64 Communications

65 Communications Daily Tablet Openings 273,000+

66 China 2017 Annual Shareholder Meeting Asset Management Company

67 13.9% Ownership Total investment $647 million

68 + = Combined Ownership of 13.9% 13.9% 27.8%

69 CHINA: 2nd-largest economy 2nd-largest stock market in the world

70 China AMC: 40 Million Individual Customers Over 8.2 million plan participants 2nd largest defined contribution record keeper in the U.S. by participants

71 Power 2017 Annual Shareholder Meeting Energy Corporation

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73 P OWE R CO R P O R AT I O N O F C ANADA ANNUAL S H ARE H O LDE R ME E T ING

74 Summary 2017 Annual Shareholder Meeting of Recent Developments

75 Recent Developments Divesting from third-party funds Doubling the fund size of Sagard 3 Acquisition of Performance Sports Group s assets Increasing our interest in China AMC, as a group, to 27.8% Acquisition of Lumenpulse

76 Recent Developments Transformation of Lifeco's Canadian operations Putnam expense reduction plan 1.6 billion of investments at Pargesa Continued investments in fintech

77 Summary 2017 Annual Shareholder Meeting of Recent Developments

78 Corporate 2017 Annual Shareholder Meeting Social Responsibility

79 PowerCorporationCSR.com WE SUPPORT

80 PowerCorporationCSR.com

81 PowerCorporationCSR.com

82 2017 Annual Shareholder Meeting