Insurance Financial Planning Retirement Investments Wealth investor presentation 2014 interim results 4 September 2014

agenda Operating environment Strategic overview Financial review Priorities and outlook 2014 interim resultsagenda

operating environment fundamentals remain weak

operating environment Challenging operating conditions Slow growth in global demand Weak economic growth in SA Industrial action, in particular platinum mines SA consumer under pressure SA economy Growth Interest rates Equity markets Currencies Africa/India/Malaysia 2014 interim resultsoperating environment

sa economy Growth in real retail sales, GDP and PDI (%) sub-2% growth outlook 2014 interim resultsoperating environment

sa interest rates SA 9-year bond yields and short-term interest rates higher LT rates had negative impact on RoGEV and VNB growth 2014 interim resultsoperating environment Impact on growth: Net VNB -4% New business margin -3%

sa equity and bond markets Higher average AuM (average Alsi up 20%) 2014 interim resultsoperating environment 2,3% 11,8% -1,3% 3,4%

average exchange rate benefiting non-sa results 2014 interim resultsoperating environment Contribution to growth: Net result from financial services 5% New business volumes 2% Net VNB 1%

rest of africa/india/malaysia Botswana Resilient economy and consumer base Rest of Africa GDP growth prospects exceed SA, despite slow growth in global demand Ghana economy struggling; devaluation of currency India Below-trend economic growth Buoyant equity market Positive environment post elections Malaysia Growth prospects remain in place 2014 interim resultsoperating environment

strategic delivery value delivered

strategic focus remains unchanged maximise shareholder return 2014 interim resultsstrategic delivery Returns (ROGEV) Capital Efficiency Optimal Application Return of Excess Strategic Investments Growth / Operational Efficiency Net Business Flows Operational Efficiency Diversification

core strategic objectives progress in all areas during 2014, particularly growth markets 2014 interim resultsstrategic delivery South Africa Delivery of sustainable growth International Creating a platform for future growth Maximising return on Investment in existing business Efficient and effective management Identification of core markets for growth & expansion Effective capital management Sourcing new growth opportunities

top-line earnings growth Earnings per share Net operating profit per share increased by 43% Normalised headline earnings per share up 27% Business volumes New business volumes increased by 8% to R82bn (excl white label) Net fund inflows of R19bn (excl white label), up 40% Net life VNB up 7% to R626m Net VNB margin of 2,68% – maintained on per product basis Group Equity Value of cents per share Annualised RoGEV per share of 18% (15,3% adjusted) financial performance in 1H interim resultsstrategic delivery

operational efficiencies Gross VNB grew by 9%; 13% on comparable economic basis profitable volume growth 2014 interim resultsstrategic delivery

operational efficiencies Persistency – SA middle-income market focus on quality 2014 interim resultsstrategic delivery

operational efficiencies Persistency – SA lower income market focus on quality 2014 interim resultsstrategic delivery

investment performance Percentage of SIM’s AUM to exceed benchmark focus on long-term performance track record 2014 interim resultsstrategic delivery

operational efficiencies Focus on quality, costs + prudence = consistent positive experience experience variances 2014 interim resultsstrategic delivery

Group Equity ValueNet operating profit diversification diversified earnings base 2014 interim resultsstrategic delivery * General insurance

diversification international positioning 2014 interim resultsstrategic delivery RSA based Rest of Africa Botswana Ghana Kenya Lesotho Malawi Mozambique Namibia Nigeria Rwanda South Sudan Swaziland Tanzania The Gambia Uganda Zambia South-East Asia India Malaysia Philippines Developed markets UK / Ireland Switzerland Australia USA Emerging Markets - Direct presence Emerging Markets - Indirect presence Developed Markets

diversification growth markets delivering value 2014 interim resultsstrategic delivery Net VNB – 1H03 (R100m)Net VNB – 1H14 (R626m)

1H03 – R756 million diversification Contribution to group net operating profit increasing contribution from growth markets 2014 interim resultsstrategic delivery 1H13 – R2 409 million1H14 – R3 461 million

diversification contribution from businesses outside of South Africa 2014 interim resultsstrategic delivery South AfricaOther emerging marketsDeveloped markets Net operating profitNet VNBGroup Equity Value

capital efficiency Final SAM specifications expected towards end of the year SAM QIS3 results indicate that sufficient capital is allocated to life operations R1,8 billion of investments in growth opportunities finalised during 1H14 Discretionary capital of R3,3 billion earmarked for investment in growth opportunities optimising capital base 2014 interim resultsstrategic delivery

capital efficiency Balance 1 January Investments(1 761) SE Asia(1 258) Rwanda(255) Botswana(95) Rest of Africa(81) SEM/Santam co-investment43 Developed markets(25) South Africa(90) Investment return & other1 061 Balance 30 June discretionary capital 2014 interim resultsstrategic delivery

sanlam group financial review

changes in presentation / key assumptions Accounting policies & basis of presentation No change from 2013 Changes in RDR: (Sanlam Life 11,0%) 30 bps up from December bps up from June 2013 Negative impact on valuations and RoGEV 2014 interim resultsfinancial review

salient features  Group Equity Value*cps % Annualised RoGEV per share%18,014,3 Annualised RoGEV per share (adjusted)%15,315,1 CAR cover (Sanlam Life)*4,44,5 Net operating profitR mil % cps169,2118,143% Normalised Headline earningsR mil % cps214,8169,127% New business volumes +R mil % Net fund flows + R mil % New Life business EV (net)R mil % New Life EV margin%2,682, interim resultsfinancial review * Comparative information as at 31 December Excludes white label

sanlam personal finance R million  New business flows % Sanlam Sky % Individual Life % Glacier % Net flows Sanlam Sky Individual Life(859)(701) Glacier interim resultsfinancial review

sanlam personal finance R million  Value of new life business % Sanlam Sky % Individual Life % Glacier746416% Comparable economic basis % New business margin2,73%3,07% Sanlam Sky7,62%7,46% Individual Life2,59%2,89% Glacier1,37%1,45% Comparable economic basis2,89%3,07% 2014 interim resultsfinancial review

sanlam personal finance R million  Gross operating profit % Sanlam Sky % Individual Life life and investments % Glacier % Personal loans % Other % Net operating profit % Group Equity Value* RoGEV (six months)8,7%6,8% 2014 interim resultsfinancial review * Comparative information as at 31 December 2013ite label

sanlam emerging markets R million  New business flows % Namibia % Botswana % Rest of Africa % India/Malaysia % Net fund flows Namibia343(419) Botswana Rest of Africa India/Malaysia12736 Value of new life business % Margin7,30%6,52% 2014 interim resultsfinancial review

sanlam emerging markets R million  Gross operating profit % Namibia % Botswana % Rest of Africa % India/Malaysia % Corporate(13)(11)-18% Net operating profit % Group equity value* RoGEV (six months)12,3%22,0% 2014 interim resultsfinancial review * Comparative information as at 31 December 2013

sanlam investments R million  Net investment business flows Investment management SA3 883(810) Wealth management(457)2 457 International Capital management99- New life business % Employee benefits % Sanlam UK % Net life business Value of new life business645321% Margin1,16%1,13% 2014 interim resultsfinancial review

sanlam investments R million  Gross operating profit % Investment management % Employee benefits % Capital management % Net operating profit % Group Equity Value* Covered business Other RoGEV (six months)11,2%9,2% 2014 interim resultsfinancial review * Comparative information as at 31 December 2013

santam R million  Net earned premiums % Gross operating profit % Underwriting surplus % Working capital & other % Net operating profit % Underwriting margin7,4%1,3% Group Equity Value* RoGEV (six months)7,0%2,9% 2014 interim resultsfinancial review * Comparative information as at 31 December 2013

business flows GrossNet R million  by business Personal Finance % Emerging Markets % Sanlam Investments % Santam % by licence Life insurance % Investment % Short-term % Total % interim resultsfinancial review * Excludes white label

value of new covered business Value of New BusinessMargin R million  Personal Finance %2,73%3,07% Emerging Markets %7,30%6,52% Employee Benefits423040%2,30%1,45% Sanlam UK2223-4%0,59%0,87% Total %2,88%2,98% Net of minorities %2,68%2,83% Comparable economic basis %2,77%2,83% 2014 interim resultsfinancial review

net operating profit R million  Personal Finance % Emerging Markets % Sanlam Investments % Santam % Corporate & other(6)(42)86% Total % 2014 interim resultsfinancial review

income statement R million  Net operating profit % Per share169,2118,143% Net investment return % Other(190)(110)-73% Normalised headline earnings % Per share214,8169,127% Fund transfers5425 Headline earnings % Per share220,2171,428% 2014 interim resultsfinancial review

group equity value Equity Value*RoGEV + R million Rm% Group operations ,5% Personal Finance ,7% Emerging Markets ,3% Investments ,2% Santam ,0% Discretionary & Other ,1% TOTAL ,6% cps ,6% Adjusted return7,4% Return target5,9% 2014 interim resultsfinancial review * Comparative information as at 31 December Return for six months

group equity value earnings R millionActualAdjusted Net value of new business Existing business Expected return on VIF Operating experience variance Operating assumption changes Inv variances in-force497(497)- Tax changes(3)3- Economic assumption changes(200) (294)2 886 Return on net worth765(189)576 EV earnings3 945(483)3 462 Non-life3 343(578)2 765 GEV earnings7 288(1 061) interim resultsfinancial review

summary Delivery on strategy: Shareholder value Cumulative RoGEV per share exceeds hurdle Profitable growth Strong growth in most markets and segments Net VNB +11% on comparable basis Net operating profit up 29% on comparable basis Diversification Increasing contribution from growth markets Capital management Investments in growth markets 2014 interim resultsfinancial review

rogev versus target Out perform cumulative growth target of long-bond rate + 400bps since listing 2014 interim resultsfinancial review

priorities for 2H14

sanlam personal finance Focus on sales growth and maintain margins on same discount rate Grow adviser force in all market segments Product innovation, particularly recurring premiums Improve Sanlam Sky broker channel performance Increased focus on persistency Continue focus on operational efficiency - manage costs Focus on transformation and employer of choice Meet regulatory obligations 2014 interim resultspriorities for 2014

sanlam emerging markets Focus remains on Africa, India and South-East Asia Continue focus on top-line growth, efficiencies and capital optimisation in current operations Bed down new acquisitions in Rwanda and Malaysia Unlock Shriram Capital synergies Bed down IT implementations Delivery on revenue diversification initiatives Bolt-on transactions/deepening existing partnerships in Africa, India and Malaysia Strong deal-making focus to remain the leading player in Africa Continuously refine organisational capacity to support growth Governance, ethics and values 2014 interim resultspriorities for 2014

sanlam investments Maintain consistent upper quartile investment performance Grow market share in higher margin areas Institutional fund flows Retail fund flows Large mandates from promising EB pipeline Provide appropriate, innovative and cost effective solutions to clients from across SI value chain Further leverage competitive active and passive management capabilities Accelerate efforts to grow a market leading African Investments proposition Continued focus on collaboration and efficiencies across businesses 2014 interim resultspriorities for 2014

santam Deliver on diversified growth Market diversification (specialist business, Santam Re, investment in SEM partners) Continued growth at MiWay Increased emphasis on quality of risk pool Ongoing segmented premium rate increases Underwriting actions to rectify unprofitable accounts Drive efficiency through value chain Focus on cost management and strategic sourcing to counter rand weakness Ongoing implementation of key strategic projects in Santam Commercial and Personal 2014 interim resultspriorities for 2014

outlook

outlook for 2014 Weak SA environment will continue to hamper new business growth Some market volatility likely in second half of 2014 Focus on bedding down new acquisitions Number of investment opportunities under consideration Compliance to regulatory changes 2014 interim resultsoutlook

questions THANK YOU

thank you