Manulife Announces Refreshed Enterprise Strategy to Deliver Sustainable, Long-Term Growth

Executive Summary

• Manulife announced a refreshed enterprise strategy aimed at delivering sustainable, long-term growth, with a new ambition to become the "number one choice for customers."
• The company outlined five strategic priorities: Winning Team and Culture, Diversified Business Portfolio, Empowering Customer Health/Wealth/Longevity, AI-Powered Organization, and Superior Distribution.
• Manulife confirmed its entry into the Indian insurance market through a joint venture with Mahindra, marking a significant expansion of its global footprint.

Key Details

• Strategic Ambition: The company aims to be the number one choice for customers, supported by five new and elevated strategic priorities.
• 2027 Financial Targets:
  • Core Return on Equity (ROE) of 18%+ by 2027.
  • Cumulative remittances of $22 billion+ between 2024 and 2027.
  • Asia region core earnings contribution of 50%.
• Strategic Priorities:
  1. Winning Team and Culture: Strengthening culture of performance, inclusion, and continuous learning; investing in skills and leadership.
  2. Diversified Business Portfolio: Capturing growth in Asia and Global WAM; investing in Canada (home market) and the U.S. (scaled presence).
  3. Empowering Customer Health, Wealth, and Longevity: Leveraging product, digital innovation, and partnerships to become the most trusted partner for customer well-being.
  4. AI-Powered Organization: Integrating AI-powered solutions at scale to drive growth, efficiency, and customer experience.
  5. Superior Distribution: Expanding and optimizing channels; utilizing AI to enhance distribution and provide frictionless interactions.
• Manulife Longevity Institute: Launch of a global research, advocacy, and community investment platform backed by a $350 million commitment through 2030 to help people live longer, healthier, and more financially secure lives.
• India Market Entry:
  • Entered the India insurance market via a joint venture with Mahindra.
  • This partnership positions Manulife to grow across the U.S., China, and India (the world's three most influential economies).
  • Subject to receipt of regulatory approvals.
• CEO Commentary: President and CEO Phil Witherington stated the strategy positions the company to capture opportunities for the next decade, emphasizing organic investments in all segments and sustained scale in the U.S.

Notable Quotes

• "We see tremendous growth potential across our entire portfolio and our refreshed strategy positions us to capture these opportunities for the next decade and beyond as we become the number one choice for customers," said Phil Witherington, President and CEO, Manulife.
• "Our expansion into the India insurance market will mark an important step to further strengthen our diversified global footprint – and we're pleased to be entering a market that offers remarkable growth potential," said Witherington.