Growth initiatives

In 2006, AEGON set out three major new strategic objectives:

• To expand the Group’s international presence;
• To extend its network of bank distribution agreements;
• To invest in its global pension business.

AEGON took a number of steps in 2007 to meet these objectives. The Group:

• Expanded its activities in Central and Eastern Europe, agreeing a new joint venture in Romania and further expanding its pension business in Poland;
• Signed a new asset management joint venture in China and extended its reach in the country to provinces with a combined population of more than 200 million people;
• Strengthened its distribution networks by agreeing new partnerships in the United States, the United Kingdom, Spain and Taiwan;
• Invested in its core businesses by acquiring Dutch life insurer OPTAS, entering into a strategic relationship with US financial services group Merrill Lynch and agreeing a life insurance and variable annuities joint venture with Sony Life in Japan.

In November last year, AEGON raised its medium-term financial target – a reflection of better-than-expected performances and the confidence the Group has in the growth potential of its core businesses. AEGON is aiming to increase its value of new business (VNB) by 2010 to EUR 1.25 billion, up from its 2005 level of EUR 550 million. In 2007, thanks to strong growth from the Group’s country units, VNB rose 20% to EUR 927 million.