1

Enterprise Risk Management

Ron HarasymVice-President Risk Management

2

Agenda

� Overview of AEGON Canada Inc

� Overview of Tools & Metrics

� Integration into the Decision Making Process

� ERM in Practice

3

Overview of AEGON Canada Inc

Transamerica InternationalHoldings Inc.

AEGON Canada Inc.

AEGONInternational N.V.

Transamerica LifeCanada

AEGON CapitalManagement Inc.

AEGON FundManagement Inc.

National FinancialCorporation

National FinancialInsurance Agency Inc.

AEGON DealerServices Canada Inc.

Money Concepts(Canada) Limited

27%

100%

73%

100% 100% 100%

100% 100%

50% 50%

4

Overview of Tools & Metrics

� Business Plan

� Dynamic Capital Adequacy Testing

� Embedded Value

� Shock Testing

� Economic Capital

5

Integration into the Decision Making Process

� Accountabilities

� Risk Categorization

� Risk Triggers

� Exposure & Consequences

� Potential Risk Mitigation

6

ERM in Practice

� Pre-Emptive Strikes

� Fire-Fighting