Sun Life Financial: Shareholders' Report (pa e q326 shrpt)

Shareholders Report

sunlife.com

2026

Sunlife

Sunlife's(1) Q3 results reflect growth across Canada, Asia, U.S. stop loss, and GreenOak, with double-digit growth in underlying EPS.

TORONTO, ON - (November 4, 2026) - Sun Life Financial Inc.(1) (TSX: SLF) (NYSE: SLF) announced its results for the third quarter ended September 30, 2026.

• Underlying net income(2) of $1,146 million increased $99 million or 9% from Q3'25.

• Reported net income(3) of $785 million decreased $321 million or 29% from Q3'25.

• Underlying EPS(2)(4) of $2.05 increased 10% from Q3'25; reported EPS(4) of $1.40 decreased 29% from Q3'25.

• Underlying return on equity ("ROE")(2) was 19.0%; reported ROE(2) was 13.0%.

• Assets under management ("AUM")(2) of $1,676 billion increased $53 billion or 3% from Q3'25.

• SLF Inc. LICAT ratio of 142%(5).

• Increase to common share dividend from $0.96 to $1.00 per share.

  "Sunlife delivered a solid third quarter, with growth across Canada, Asia, U.S. stop loss, and GreenOak. Our diversified global strategy delivered robust continued momentum in insurance and wealth led by Canada and Asia, and new sources of growth in asset management," said Kevin Strain, President and CEO of Sunlife.

  "Our Purpose remains at the heart of how we create value for Clients. We're using AI and digital capabilities to create better outcomes and more seamless experiences for our Clients. Our new Sunlife and GreenOak brands align to our Purpose and strategy and reflect how our businesses have evolved over the last decade, positioning us to accelerate into our next chapter."

  Financial and Operational Highlights

  Quarterly results Year-to-date

  Profitability Q3'26 Q3'25 2026 2025

  Underlying net income ($ millions)(2)	1,146	1,047	3,319	3,107
  Reported net income - Common shareholders ($ millions)	785	1,106	2,258	2,750
  Underlying EPS ($)(2)(4)	2.05	1.86	5.95	5.48
  Reported EPS ($)(4)	1.40	1.97	4.04	4.85
  Underlying ROE(2)	19.0%	18.3%	18.8%	17.8%
  Reported ROE(2)	13.0%	19.3%	12.8%	15.8%

  Growth Q3'26 Q3'25 2026 2025

  Asset management gross flows & wealth sales ($ millions)(2)(6)	54,437	63,056	199,457	178,713
  Asset management net flows & net wealth sales ($ millions)(2)(6)	(32,665)	3,149	(49,011)	(17,310)
  Group insurance sales ($ millions)(2)(7)	619	498	1,851	1,613
  Individual insurance sales ($ millions)(2)(8)	1,042	987	3,197	2,724
  Assets under management ("AUM") ($ billions)(2)(6)	1,676	1,623	1,676	1,623
  New business Contractual Service Margin ("CSM") ($ millions)(2)	385	446	1,214	1,287

  Financial Strength Q3'26 Q3'25

  LICAT ratios (at period end)(5)
  Sun Life Financial Inc.	142%	154%
  Sun Life Assurance(9)	130%	138%
  Financial leverage ratio (at period end)(2)(10)	24.1%	21.6%

  Financial and Operational Highlights - Quarterly Comparison (Q3'26 vs. Q3'25)

  ($ millions) Q3'26

  Sun Life Asset

  Sunlife Management Canada U.S. Asia Corporate

  Underlying net income(2)	1,146	416	422	197	226	(115)
  Reported net income (loss) - Common shareholders	785	293	418	107	123	(156)
  Change in underlying net income (% year-over-year)	9%	7%	6%	34%	7%	nm(11)
  Change in reported net income (% year-over-year)	(29)%	(19)%	11%	9%	(66)%	nm(11)
  Asset management gross flows & wealth sales(2)	54,437	48,285	4,855	-	1,297	-
  Group insurance sales(2)	619	-	123	466	30	-
  Individual insurance sales(2)	1,042	-	107	-	935	-
  Change in asset management gross flows & wealth sales (% year-over-year)	(14)%	(17)%	21%	-	35%	-
  Change in group insurance sales (% year-over-year)	24%	-	26%	24%	20%	-
  Change in individual insurance sales (% year-over-year)	6%	-	(18)%	-	9%	-

  Underlying net income(12) of $1,146 million increased $99 million or 9% from prior year, driven by:

• Strong business growth across Canada, the U.S. and Asia, higher fee-related earnings in GreenOak(13), and favourable net investment results; partially offset by

• Less favourable insurance experience in Canada and higher financing costs supporting the acquisition of our remaining interests in GreenOak subsidiaries.

  Reported net income of $785 million decreased $321 million or 29% from prior year, driven by:

• Unfavourable interest rate impacts;

• Acquisition and restructuring charges primarily in Sun Life Asset Management related to the integration of GreenOak subsidiaries and the Bell Partners Inc. acquisition(14); and

• A prior year gain from increased ownership interest in Bowtie(15); partially offset by

• The increase in underlying net income.

  Foreign exchange translation led to an increase of $7 million in underlying net income and an increase of $8 million in reported net income.

  Underlying ROE was 19.0% and reported ROE was 13.0% (Q3'25 - 18.3% and 19.3%, respectively). SLF Inc. ended the quarter with a LICAT ratio of 142%.

  Business Group Highlights

  Sun Life Asset Management: A global leader in asset management

  Sun Life Asset Management underlying net income of US$297 million increased US$16 million or 6% from prior year, driven by:

• MFS(16) down US$1 million, as lower fee income, impacted by average fee rates, was offset by lower operating expenses and higher net investment income. Pre-tax net operating profit margin(2) improved to 40.7% for Q3'26, compared to 39.2% in the prior year, primarily driven by the impact from the sale of closed-end funds(17).

• GreenOak up US$13 million, reflecting higher fee-related earnings(2), which increased 39%, driven by the acquisition of Bell Partners Inc.(14) and lower compensation expenses, partially offset by lower net seed investment income. Fee-related earnings margin(2) was 27.8% for Q3'26, compared to 25.7% in the prior year.

• Solutions & Other up US$4 million, reflecting improved credit experience.

  Reported net income of US$209 million decreased US$55 million or 21% from prior year, driven by:

• Acquisition and restructuring charges primarily related to the integration of GreenOak subsidiaries and the Bell Partners Inc. acquisition(14); and

• Unfavourable ACMA(18) impacts in Solutions & Other; partially offset by

• The increase in underlying net income and a gain on sale of MFS' closed-end funds(17).

  Foreign exchange translation led to an increase of $5 million in underlying net income and an increase of $4 million in reported net income.

  Sun Life Asset Management gross flows(2) decreased US$7.7 billion or 18% from prior year, reflecting lower gross flows in MFS, partially offset by higher gross flows in GreenOak and Solutions & Other.

  Total Sun Life Asset Management AUM(2) at Q3'26 was US$903.7 billion (Q3'25 - US$903.3 billion), consisting of:

• MFS: US$618.7 billion (Q3'25 - US$658.7 billion);

• GreenOak: US$205.2 billion (Q3'25 - US$186.0 billion); and

• Solutions & Other: US$79.8 billion (Q3'25 - US$58.6 billion).

  Total Sun Life Asset Management managed assets(2) at Q3'26 of US$1,018.6 billion was in line with prior year.

  Total Sun Life Asset Management net outflows(2) of US$22.8 billion in Q3'26 (Q3'25 - net inflows of US$3.0 billion) reflected:

• MFS net outflows of US$26.9 billion (Q3'25 - net outflows of US$0.9 billion) from retail net outflows of US$22.6 billion (Q3'25 net outflows of US$4.7 billion) from continued outflows in U.S. equity markets by retail investors, and institutional net outflows of US$4.2 billion (Q3'25 net inflows of US$3.8 billion) from portfolio rebalancing; partially offset by

• GreenOak net inflows of US$4.0 billion (Q3'25 - net inflows of US$3.8 billion) from capital raising.

• No significant impact from Solutions & Other net flows in Q3'26 (Q3'25 - net inflows of US$0.1 billion).

  On August 25, 2026, Sunlife entered into a definitive agreement with Wilton Re(19) to establish a strategic reinsurance and asset management partnership. The arrangement combines Wilton Re's liability management expertise with Sunlife's insurance and asset management capabilities. Wilton Re will establish Windsor Life Re, a U.S. and Bermuda-domiciled reinsurer, with GreenOak serving as lead asset manager, leveraging its insurance asset management expertise and multi-asset investment platform. The partnership is expected to increase our scale and presence in insurance asset management while providing strategic access to permanent capital to accelerate the growth of GreenOak. The partnership is expected to launch in the first half of 2027, subject to required regulatory approvals and customary closing conditions.

  On October 26, 2026, we launched GreenOak, SLC Management's new global brand. Our ambition is to become a leading global alternative asset manager, bringing the strength of our five businesses together as one enterprise. GreenOak, our new brand, is the first visible expression of the integrated platform we are becoming.

  Canada: A leader in health, wealth, and insurance

  Canada underlying net income of $422 million increased $25 million or 6% from prior year, driven by:

• Business growth reflecting higher fee income from increased Group Wealth(20) AUMA(21) and higher premiums in Sun Life Health, and favourable investment earnings; partially offset by

• Less favourable insurance experience reflecting higher morbidity gains in the prior year.

  Reported net income of $418 million increased $40 million or 11% from prior year, driven by:

• Favourable ACMA impacts and the increase in underlying net income; partially offset by

• Unfavourable interest rate impacts. Canada's sales(22):

• Asset management gross flows & wealth sales of $5 billion increased 21%, driven by higher mutual fund sales in Individual Wealth and increased rollover volumes in Group Wealth(20).

• Sun Life Health sales of $123 million increased 26%, driven by higher large case sales.

• Individual insurance sales of $107 million decreased 18%, reflecting lower participating life sales.

  We are making it seamless for Clients to manage their health, wealth, and insurance needs through our cohesive digital and AI ecosystem. During the quarter, we launched Online Counselling, by Dialogue, providing Clients convenient access to additional mental health support alongside a growing range of health services. By integrating care, coverage, and health expertise into one connected experience, we are contributing to healthier, more resilient workplaces and communities.

  Sunlife was recognized with two 2026 Global Insurance Innovation Awards: Best Mobile Insurance App (Canada) and Best Digital Insurance Company (Canada), presented by The Global Insurer. The recognition highlights Sunlife Canada as a leader in digital innovation, reimagining how Canadians engage with health, wealth and protection through innovative, digitally enabled experiences.

  U.S.: A leader in health and benefits

  U.S. underlying net income of US$141 million increased US$34 million or 32% from prior year, and includes:

• Strong medical stop-loss results reflecting double-digit premium growth and improved morbidity experience;

• Higher earnings in Dental reflecting improved morbidity experience and lower expenses, partially offset by lower revenue;

• Favourable In-force management results driven by mortality experience and net investment results; and

• Lower earnings in Employee Benefits reflecting unfavourable morbidity experience from higher long-term disability claims severity and volumes.

  Reported net income of US$77 million increased US$5 million or 7% from prior year, driven by:

• The increase in underlying net income and ACMA impacts; partially offset by

• Unfavourable interest rate impacts.

  Foreign exchange translation led to an increase of $3 million in underlying net income and an increase of $2 million in reported net income.

  U.S. sales of US$333 million were up 22% from prior year, primarily driven by:

• Higher medical stop-loss sales reflecting strong close rates, continued pricing discipline supported by our risk selection tools, and favourable market conditions.

• Higher commercial sales in Dental aligned with our strategic growth focus, reflecting higher average case sizes, were offset by lower Medicare Advantage sales.

  We are leveraging the strength of our U.S. health businesses and employee benefits capabilities to deliver a more connected and differentiated Client experience. During the quarter, we added Health Navigator to our disability offering to help members get the care they need sooner, which can drive better health outcomes and reduce the cost of care. Members facing potentially disabling health conditions will now have access to our personalized care advisory services. Paired with our return-to-work program, this provides a more holistic path to returning members to health and productivity after a major health event.

  We also began working with Claritev, a healthcare technology, data, and insights company, to help self-funded employers deliver a more seamless supplemental health benefits experience. Claritev's machine-learning technology identifies diagnosis connections between employees' medical claims and supplemental health coverages, enabling covered employees to efficiently access the benefits they are eligible for. This claims technology creates a more cohesive and proactive approach while accelerating employee supplemental health payments to get members care when they need it most.

  Asia: A regional leader focused on fast-growing markets

  Asia underlying net income of $226 million increased $15 million or 7% from prior year, driven by:

• Continued strong sales momentum and in-force business growth, favourable credit experience and lower expenses; partially offset by

• Lower contributions from joint ventures, less favourable mortality experience in High Net Worth, and lower fee income from the transitioning of the administration business to the centralized eMPF platform in Hong Kong.

  Reported net income of $123 million decreased $236 million or 66% from prior year, driven by:

• Unfavourable ACMA impacts and a prior-year gain from increased ownership interest in Bowtie; partially offset by

• Improved interest rate impacts and the increase in underlying net income.

  Foreign exchange translation led to a decrease of $1 million in underlying net income and reported net income, respectively. Asia's sales(22):

• Individual insurance sales of $935 million were up 9%, driven by:

  • Higher sales in Hong Kong across all channels; and

  • Strong growth in India and Malaysia, primarily from the bancassurance channel; partially offset by

  • Lower sales in China primarily from the broker channel.

• Asset management gross flows and wealth sales of $1 billion were up 35%, reflecting higher Mandatory Provident Fund ("MPF") sales in Hong Kong and higher group fund sales in India.

  New business CSM of $280 million in Q3'26 was down from $322 million in the prior year, reflecting an increasing competitive environment primarily in Hong Kong.

  We continue to strengthen our leadership in serving High-Net-Worth Clients through the launch of Sun Life Private Wealth, an integrated platform that brings together our global High-Net-Worth capabilities. Building on more than three decades of experience in High-Net-Worth insurance, Sun Life Private Wealth combines our financial strength, specialist expertise and deep local knowledge with integrated underwriting and servicing capabilities. This enables a more seamless experience across key global wealth hubs, helping Clients navigate increasingly complex cross-border wealth planning, preservation and intergenerational wealth transfer needs.

  We are also enhancing the Client and advisor experience through continued investments in our digital capabilities. In Indonesia, we implemented automated claims adjudication enhancements in the quarter for medical claims, increasing straight through processing by nearly 20% within two months, enabling a faster, more seamless experience for Clients. Additionally, we launched an AI-powered productivity assistant for advisors across the region, enabling more efficient performance of daily activities.

  Corporate

  Underlying net loss was $115 million compared to underlying net loss of $95 million in the prior year, reflecting higher financing costs supporting the acquisition of our remaining interests in GreenOak subsidiaries.

  Reported net loss was $156 million compared to reported net loss of $92 million in the prior year, driven by the estimated impact of changes in interest rates on tax-exempt investments and the change in underlying net loss.

  During the quarter, we announced a Commitment to Canadian Infrastructure Initiative, seeking to deploy $5 billion over five years into investments supporting Canada's economic growth and resilience, while delivering long-term returns. As part of this commitment, we intend to deploy $1.5 billion over five years into Canadian infrastructure equity overseen by GreenOak and originated, executed and managed by InfraRed Capital Partners. This part of the commitment relies on amendments to the Insurance Companies Act which would allow insurers to make equity investments in infrastructure. The investment capacity reflects Sunlife's role as a long-term institutional investor, and our ability to source and mobilize capital in support of Canadian infrastructure.

  (1) Sun Life Financial Inc. ("SLF Inc."), its subsidiaries and, where applicable, its joint ventures and associates are collectively referred to as "the Company", "Sunlife", "we", "our", and "us". We manage our operations and report our financial results in five business groups: Sun Life Asset Management, Canada, United States ("U.S."), Asia, and Corporate.

  (2) Represents a non-IFRS financial measure (International Financial Reporting Standards ("IFRS")). For more details, see the Non-IFRS Financial Measures section of this document and in our Management's Discussion and Analysis ("MD&A") for the period ended September 30, 2026 ("Q3'26 MD&A").

  (3) Reported net income (loss) refers to Common shareholders' net income (loss) determined in accordance with IFRS.

  (4) All earnings per share ("EPS") measures refer to fully diluted EPS, unless otherwise stated.

  (5) Life Insurance Capital Adequacy Test ("LICAT") ratio. Our LICAT ratios are calculated in accordance with the Office of the Superintendent of Financial Institutions ("OSFI")-mandated guideline, Life Insurance Capital Adequacy Test.

  (6) Prior period amounts have been updated.

  (7) "Group insurance sales" include sales from Sun Life Health in Canada, Group Benefits and Dental in the U.S., and Group businesses in Asia.

  (8) "Individual insurance sales" include sales from Individual Insurance in Canada as well as sales from individual insurance businesses in ASEAN, Hong Kong, Joint Ventures and High Net Worth in Asia.

  (9) Sun Life Assurance Company of Canada ("Sun Life Assurance") is SLF Inc.'s principal operating life insurance subsidiary.

  (10) The calculation for the financial leverage ratio includes the CSM balance (net of taxes) in the denominator. The CSM (net of taxes) was $11.1 billion as at September 30, 2026 (September 30, 2025 - $11.2 billion).

  (11) Not meaningful.

  (12) See section C - Profitability in the Q3'26 MD&A for more information on notable items attributable to reported and underlying net income items and the Non-IFRS Financial Measures in this document for a reconciliation between reported net income and underlying net income.

  (13) Effective Q3'26, we launched GreenOak, SLC Management's new global brand, bringing together our alternative asset management businesses under a unified platform. As a result, references to SLC Management have been updated to GreenOak.

  (14) For more details, see the "Other Transactions" heading in section F - Financial Strength of the Q3'26 MD&A.

  (15) On July 15, 2025, we acquired an additional interest in Bowtie Life Insurance Company Limited ("Bowtie"), which increased our ownership interest, excluding dilution, by approximately 11% and resulted in a total ownership interest of 55.8%. Total consideration was cash of $55 million. Our previously held interest in Bowtie was remeasured to its fair value which resulted in a gain of $176 million recognized in reported net income in Q3'25 ("gain from increased ownership interest in Bowtie"). For more details, see Note 3 of our 2025 Annual Consolidated Financial Statements.

  (16) MFS Investment Management ("MFS").

  (17) Reflects the reorganization of certain MFS closed-end funds and the related change in investment advisor in Q3'26 ("sale of MFS' closed-end funds").

  (18) Assumptions changes and management actions ("ACMA").

  (19) Wilton Re is a leading provider of in-force and reinsurance solutions in the North American life insurance industry.

  (20) Effective Q1'26, we report our Group Retirement Services business unit under "Group Wealth".

  (21) Assets under management and administration ("AUMA") is a non-IFRS measure that consists of both AUM and assets under administration ("AUA"). For more details, see the Non-IFRS Financial Measures section of this document and in the Q3'26 MD&A.

  (22) Compared to the prior year.

  Sun Life Financial Inc.

  Management's Discussion and Analysis

  For the period ended September 30, 2026 Dated November 4, 2026

  Table of Contents

  1. How We Report Our Results ........................................................................................................................................................................... 7

  2. Financial Summary 8

  3. Profitability 9

  4. Growth 12

  5. Contractual Service Margin 14

  6. Financial Strength 16

  7. Performance by Business Segment 18

     1. Sun Life Asset Management 19

     2. Canada 21

     3. U.S. 23

     4. Asia 24

     5. Corporate 25

  8. Investments 26

  9. Risk Management 29

  10. Additional Financial Disclosure 34

  11. Legal and Regulatory Proceedings 38

  12. Changes in Accounting Policies 38

  13. Internal Control Over Financial Reporting 38

  14. Non-IFRS Financial Measures 39

  15. Forward-looking Statements 51

  About Sunlife

  Sunlife is a leading international financial services organization providing asset management, wealth, insurance and health solutions to individual and institutional Clients. Sunlife has operations in a number of markets worldwide including Canada, the United States, the United Kingdom, Ireland, Hong Kong, the Philippines, Japan, Indonesia, India, China, Australia, Singapore, Vietnam, Malaysia, and Bermuda. As of September 30, 2026, Sunlife had total assets under management ("AUM")(1) of $1.68 trillion. For more information, please

  visit https://www.sunlife.com.

  Sun Life Financial Inc. trades on the Toronto (TSX), New York (NYSE) and Philippine (PSE) stock exchanges under the ticker symbol SLF.

  A. How We Report Our Results

Sun Life Financial Inc. ("SLF Inc."), its subsidiaries and, where applicable, its joint ventures and associates are collectively referred to as "the Company", "Sunlife", "we", "our", and "us". We manage our operations and report our financial results in five business groups/segments: Sun Life Asset Management, Canada, United States ("U.S."), Asia, and Corporate. Information concerning these segments is included in our annual and interim consolidated financial statements and accompanying notes ("Annual Consolidated Financial Statements" and "Interim Consolidated Financial Statements", respectively, and "Consolidated Financial Statements" collectively) and interim and annual management's discussion and analysis ("MD&A"). We prepare our unaudited Interim Consolidated Financial Statements using International Financial Reporting Standards ("IFRS"), the accounting requirements of the Office of the Superintendent of Financial Institutions ("OSFI") and in accordance with the International Accounting Standard ("IAS") 34 Interim Financial Reporting. Reported net income (loss) refers to Common shareholders' net income (loss) determined in accordance with IFRS.

Unless otherwise noted, all amounts are in Canadian dollars. Amounts in this document may be impacted by rounding.

We have updated our disclosures for 2026 to reflect the implementation of the new Sun Life Asset Management structure, effective January 1, 2026, and other refinements to enhance the understanding of our financial results. The following outlines updates to our MD&A commencing Q1'26 and applicable to comparative results in this document:

• Sun Life Asset Management comprises MFS Investment Management ("MFS"), GreenOak, and the newly established Solutions & Other business unit. The following businesses have transitioned to Solutions & Other:

  • Defined Benefit Solutions (from Canada);

  • Sunlife's stake in Aditya Birla Sun Life Asset Management Company (from Asia); and

  • Asia asset management (from Asia).

• Sun Life Asset Management and its business units report financial results in U.S. dollars as the primary reporting currency.

• Results are reported by business group and, where applicable, by business unit. Reporting by business type is disclosed only in the "Financial Highlights" page of the Supplementary Financial Information package for the quarter.

• Refinements have been applied to Canada and U.S. business group reporting to better reflect how the businesses are managed.

• Refinements have been applied to the allocation methodology for expenses from the Corporate to the Asia business group, enhancing comparability.

Prior period results have been updated to reflect current presentation.

Effective Q3'26, we launched GreenOak, SLC Management's new global brand, bringing together our alternative asset management businesses under a unified platform. As a result, references to SLC Management in this MD&A have been updated to GreenOak.

1. Use of Non-IFRS Financial Measures

   We report certain financial information using non-IFRS financial measures, as we believe that these measures provide information that is useful to investors in understanding our performance and facilitate a comparison of our quarterly and full year results from period to period. These non-IFRS financial measures do not have any standardized meaning and may not be comparable with similar measures used by other companies. For certain non-IFRS financial measures, there are no directly comparable amounts under IFRS. These non-IFRS financial measures should not be viewed in isolation from or as alternatives to measures of financial performance determined in accordance with IFRS. For more details concerning non-IFRS financial measures and, if applicable, reconciliations to the closest IFRS measures, see section N - Non-IFRS Financial Measures of this document and the Supplementary Financial Information package on https://www.sunlife.com under Investors -Financial results and reports.

2. Forward-looking Statements

   Certain statements in this document are forward-looking statements within the meaning of certain securities laws, including the

   "safe harbour" provisions of the United States Private Securities Litigation Reform Act of 1995 and applicable Canadian securities legislation. For more details concerning forward-looking statements and important risk factors that could cause our assumptions, estimates, expectations and projections to be inaccurate and our actual results or events to differ materially from those expressed in or implied by such forward-looking statements, see section O - Forward-looking Statements of this document.

3. Additional Information

   Additional information about SLF Inc. can be found in the Consolidated Financial Statements, the annual and interim MD&A, and SLF Inc.'s Annual Information Form ("AIF") for the year ended December 31, 2025. These documents are filed with securities regulators in Canada and are available at https://www.sedarplus.ca. SLF Inc.'s Annual Consolidated Financial Statements, annual MD&A and AIF are filed with the United States Securities and Exchange Commission ("SEC") in SLF Inc.'s annual report on Form 40-F and SLF Inc.'s interim MD&A and Interim Consolidated Financial Statements are furnished to the SEC on Form 6-Ks and are available at https://www.sec.gov.

   (1) Represents a non-IFRS financial measure. For more details, see section N - Non-IFRS Financial Measures of this document.

   B. Financial Summary

($ millions, unless otherwise noted) Quarterly results Year-to-date

Profitability Q3'26 Q2'26 Q3'25 2026 2025

Growth Q3'26 Q2'26 Q3'25 2026 2025

Financial Strength Q3'26 Q2'26 Q3'25

(1) Represents a non-IFRS financial measure. For more details, see section N - Non-IFRS Financial Measures of this document.

(2) Prior period amounts have been updated.

(3) "Group insurance sales" include sales from Sun Life Health in Canada, Group Benefits and Dental in the U.S., and Group businesses in Asia.

(4) "Individual insurance sales" include sales from Individual Insurance in Canada as well as sales from individual insurance businesses in ASEAN, Hong Kong, Joint Ventures and High Net Worth in Asia.

(5) Life Insurance Capital Adequacy Test ("LICAT") ratio. Our LICAT ratios are calculated in accordance with the OSFI-mandated guideline, Life Insurance Capital Adequacy Test.

(6) Sun Life Assurance is SLF Inc.'s principal operating life insurance subsidiary.

(7) The calculation for the financial leverage ratio includes the CSM balance (net of taxes) in the denominator. The CSM (net of taxes) was $11.1 billion as at September 30, 2026 (June 30, 2026 - $11.9 billion; September 30, 2025 - $11.2 billion).

The following table reconciles our Common shareholders' net income ("reported net income") and underlying net income. All factors discussed in this document that impact underlying net income are also applicable to reported net income. Certain adjustments and notable items also impact the CSM, such as mortality experience and assumption changes; for more details, see section E - Contractual Service Margin of this document.

Quarterly results Year-to-date

($ millions, after-tax) Q3'26 Q2'26 Q3'25 2026 2025

(1) Represents a non-IFRS financial measure. For more details, see section N - Non-IFRS Financial Measures of this document.

(2) Net credit includes rating changes on assets measured at Fair value through profit or loss ("FVTPL"), and the Expected credit loss ("ECL") impact for assets measured at Fair value through other comprehensive income ("FVOCI"). Included in this balance are also the release of credit risk adjustments, which are reported in Expected Investment Earnings in the Drivers of Earnings analysis.

(3) Other notable items are recorded in Net Insurance Service Result and Net Investment Result in the Drivers of Earnings analysis. For more details, see section N - Non-IFRS Financial Measures of this document.

Underlying net income(1) of $1,146 million increased $99 million or 9%, driven by:

(1) For a reconciliation between reported net income and underlying net income, see section N - Non-IFRS Financial Measures of this document.

(2) For more details, see the "Other Transactions" heading in section F - Financial Strength of this document.

(3) On July 15, 2025, we acquired an additional interest in Bowtie Life Insurance Company Limited ("Bowtie"), which increased our ownership interest, excluding dilution, by approximately 11% and resulted in a total ownership interest of 55.8%. Total consideration was cash of $55 million. Our previously held interest in Bowtie was remeasured to its fair value which resulted in a gain of $176 million recognized in reported net income in Q3'25 ("gain from increased ownership interest in Bowtie"). For more details, see Note 3 of our 2025 Annual Consolidated Financial Statements.

Foreign exchange translation led to an increase of $7 million in underlying net income and an increase of $8 million in reported net income. Underlying ROE was 19.0% and reported ROE was 13.0% (Q3'25 - 18.3% and 19.3%, respectively).

1. Market-related impacts

   Market-related impacts represent the difference between actual versus expected market movements(1). Market-related impacts resulted in a decrease of $162 million to reported net income, reflecting unfavourable interest rate and other market-related impacts.

2. Assumption changes and management actions

   The net impact of assumption changes and management actions was a decrease of $33 million to reported net income and includes methods and assumptions changes on insurance contracts as well as related impacts. These included unfavourable impacts from policyholder behaviour updates mainly in High Net Worth in Asia, partially offset by favourable financial updates across all business groups. For additional details, refer to "Assumption Changes and Management Actions by Type" in section E - Contractual Service Margin of this document.

3. Other adjustments

   Other adjustments decreased reported net income by $166 million, driven by:

   • Acquisition and restructuring charges primarily in Sun Life Asset Management related to the integration of GreenOak subsidiaries and the Bell Partners Inc. acquisition(2); and

   • DentaQuest acquisition, integration and restructuring costs and amortization of acquired intangible assets; partially offset by

   • A gain on sale of MFS' closed-end funds(3).

4. Experience-related items

   In the third quarter of 2026, notable experience items included:

   • Favourable mortality experience primarily in Canada and the U.S.;

   • Unfavourable morbidity experience largely from U.S. Employee Benefits in long-term disability, partially offset by favourable morbidity experience in Canada; and

   • Net credit was favourable in Sun Life Asset Management, the U.S., and Asia.

5. Income taxes

   The statutory tax rate is impacted by various tax items, such as lower taxes on income subject to tax in foreign jurisdictions, tax-exempt or low-taxed investment income, and other sustainable tax benefits.

   The Q3'26 effective income tax rate(4) on underlying net income and reported net income was 19.1% and 29.4%, respectively.

6. Impacts of foreign exchange translation

   Foreign exchange translation led to an increase of $7 million in underlying net income and an increase of $8 million in reported net income.

   Year-to-Date Comparison - Q3'26 vs. Q3'25

   Underlying net income of $3,319 million increased $212 million or 7%, driven by:

   • Strong performance in Canada, from business growth including higher fee income from higher AUMA(5), U.S. medical stop-loss, from double-digit premium growth and improved morbidity experience, U.S. In-force Management, from favourable experience, and Asia reflecting business growth in Hong Kong; partially offset by

   • Lower U.S. Employee Benefits earnings reflecting unfavourable morbidity experience, higher financing costs supporting the acquisition of our remaining interests in GreenOak subsidiaries, and unfavourable impacts from foreign exchange translation.

     (1) Except for risk-free rates which are based on current rates, expected market movements are based on our medium-term outlook which is reviewed annually.

     (2) For more details, see the "Other Transactions" heading in section F - Financial Strength of this document.

     (3) Reflects the reorganization of certain MFS closed-end funds and the related change in investment advisor in Q3'26 ("sale of MFS' closed-end funds").

     (4) Our effective income tax rate on reported net income is calculated using Total income (loss) before income taxes, as detailed in Note 11 in our Interim Consolidated Financial Statements for the period ended September 30, 2026. Our effective income tax rate on underlying net income is calculated using pre-tax underlying net income, as detailed in section N - Non-IFRS Financial Measures of this document, and the associated income tax expense.

     (5) Assets under management and administration ("AUMA") is a non-IFRS measure that consists of both AUM and assets under administration ("AUA"). For more details, see the Non-IFRS Financial Measures section of this document.

     Reported net income of $2,258 million decreased $492 million or 18%, driven by:

   • Market-related impacts reflecting unfavourable interest rate impacts partially offset by improved real estate experience(1) and favourable public equity market performance;

   • A $165 million charge from the acquisition of remaining equity interests in GreenOak subsidiaries(2);

   • A $145 million charge reflecting the settlement of a legal matter in Canada(2);

   • Acquisition and restructuring charges primarily in Sun Life Asset Management related to the integration of GreenOak subsidiaries and the Bell Partners Inc. acquisition(2); and

   • A prior year gain from increased ownership interest in Bowtie; partially offset by

   • The increase in underlying net income; and

   • A prior year impairment charge of $61 million in U.S. Dental(3).

Foreign exchange translation led to a decrease of $30 million in underlying net income and a decrease of $9 million in reported net income. Underlying ROE was 18.8% and reported ROE was 12.8% (2025 - 17.8% and 15.8%, respectively).

1. Market-related impacts

   Market-related impacts represent the difference between actual versus expected market movements(4). Market-related impacts resulted in a decrease of $404 million to reported net income, reflecting unfavourable interest rate and other market-related impacts, and real estate experience.

2. Assumption changes and management actions

   The net impact of assumption changes and management actions was a decrease of $35 million to reported net income and includes methods and assumptions changes on insurance contracts as well as related impacts. These included unfavourable impacts from policyholder behaviour updates mainly in High Net Worth in Asia partially offset by favourable financial updates across all business groups.

3. Other adjustments

   Other adjustments decreased reported net income by $622 million, driven by:

   • A $165 million charge from the acquisition of remaining equity interests in GreenOak subsidiaries(2);

   • A $145 million charge reflecting the settlement of a legal matter in Canada(2);

   • Acquisition and restructuring charges primarily in Sun Life Asset Management related to the integration of GreenOak subsidiaries and the Bell Partners Inc. acquisition(2);

   • DentaQuest acquisition, integration and restructuring costs and amortization of acquired intangible assets; and

   • Share-based compensation expenses at MFS from accelerated vesting terms for retirement eligible plan members; partially offset by

   • A gain on sale of MFS' closed-end funds(5).

4. Experience-related items

   Notable experience items in the current year included:

   • Favourable mortality experience primarily in Canada, the U.S., and Asia;

   • Unfavourable morbidity experience primarily from U.S. Employee Benefits in long-term disability, largely offset by favourable morbidity experience in Canada;

   • Unfavourable expense experience largely in the U.S. and Asia;

   • Net credit was favourable in the U.S., Sun Life Asset Management, and Asia; and

   • Other experience was favourable primarily from the U.S. and Canada.

5. Income taxes

   The statutory tax rate is impacted by various tax items, such as lower taxes on income subject to tax in foreign jurisdictions, tax-exempt or low-taxed investment income, and other sustainable tax benefits.

   The effective income tax rate(6) for the current year on underlying net income and reported net income was 19.7% and 23.3%, respectively.

6. Impacts of foreign exchange translation

Foreign exchange translation led to a decrease of $30 million in underlying net income and a decrease of $9 million in reported net income.

(1) Real estate experience reflects the difference between the actual value of real estate investments compared to management's longer-term expected returns supporting insurance contract liabilities ("real estate experience").

(2) For more details, see the "Other Transactions" heading in section F - Financial Strength of this document.

(3) An impairment charge on a customer relationship intangible asset from the early termination of a U.S. group dental contract.

(4) Except for risk-free rates which are based on current rates, expected market movements are based on our medium-term outlook which is reviewed annually.

(5) Reflects the reorganization of certain MFS closed-end funds and the related change in investment advisor in Q3'26 and Q2'26 ("sale of MFS' closed-end funds").

(6) Our effective income tax rate on reported net income is calculated using Total income (loss) before income taxes, as detailed in Note 11 in our Interim Consolidated Financial Statements for the period ended September 30, 2026. Our effective income tax rate on underlying net income is calculated using pre-tax underlying net income, as detailed in section N - Non-IFRS Financial Measures of this document, and the associated income tax expense.

1. Sales and Gross Flows

   Quarterly results Year-to-date

   ($ millions) Q3'26 Q2'26 Q3'25 2026 2025

   Asset management gross flows & wealth sales by business group(1)
   Sun Life Asset Management gross flows(2)	48,285	74,168	58,087	177,760	161,050
   Canada asset management gross flows & wealth sales	4,855	7,374	4,010	18,106	14,849
   Asia asset management gross flows & wealth sales	1,297	1,113	959	3,591	2,814
   Total asset management gross flows & wealth sales(1)(2)	54,437	82,655	63,056	199,457	178,713
   Group insurance sales by business group(1)
   Canada	123	203	98	621	674
   U.S.	466	448	375	1,134	864
   Asia	30	29	25	96	75
   Total group sales(1)	619	680	498	1,851	1,613
   Individual insurance sales by business group(1)
   Canada	107	140	130	361	405
   Asia	935	862	857	2,836	2,319
   Total individual sales(1)	1,042	1,002	987	3,197	2,724
   CSM - Impact of new insurance business ("New business CSM")(1)	385	400	446	1,214	1,287

   (1) Represents a non-IFRS financial measure. For more details, see section N - Non-IFRS Financial Measures of this document.

   (2) Prior period amounts have been updated.

   Total asset management gross flows & wealth sales decreased $8.6 billion or 14% from prior year ($9.2 billion(1) or 15%(1), excluding foreign exchange translation).

   • Sun Life Asset Management gross flows decreased $10.4 billion(1) or 18%(1), from prior year, reflecting lower gross flows in MFS, partially offset by higher gross flows in GreenOak and Solutions & Other.

   • Canada asset management gross flows & wealth sales increased $0.8 billion or 21%, driven by higher mutual fund sales in Individual Wealth and increased rollover volumes in Group Wealth(2).

   • Asia asset management gross flows & wealth sales increased $0.3 billion(1) or 35%(1), reflecting higher Mandatory Provident Fund ("MPF") sales in Hong Kong and higher group fund sales in India.

     Total group insurance sales increased $121 million or 24% from prior year ($116 million(1) or 23%(1), excluding foreign exchange translation).

   • Canada group sales increased $25 million or 26%, primarily driven by higher large case sales.

   • U.S. group sales increased $83 million(1) or 22%(1), primarily driven by:

     • Higher medical stop-loss sales reflecting strong close rates, continued pricing discipline supported by our risk selection tools, and favourable market conditions.

     • Higher commercial sales in Dental aligned with our strategic growth focus, reflecting higher average case sizes, were offset by lower Medicare Advantage sales.

       Total individual insurance sales increased $55 million or 6% from prior year ($57 million(1) or 6%(1), excluding foreign exchange translation).

   • Canada individual sales decreased $23 million or 18%, reflecting lower participating life sales.

   • Asia individual sales increased $80 million(1) or 9%(1), driven by:

     • Higher sales in Hong Kong across all channels; and

     • Strong growth in India and Malaysia, primarily from the bancassurance channel; partially offset by

     • Lower sales in China primarily from the broker channel.

       New business CSM represents growth derived from sales activity in the period. The impact of new insurance business drove a $385 million increase in CSM, compared to new business CSM of $446 million in the prior year, reflecting an increasing competitive environment primarily in Hong Kong.

       (1) This change excludes the impacts of foreign exchange translation. For more information about these non-IFRS financial measures, see section N -Non-IFRS Financial Measures of this document.

       (2) Effective Q1'26, we report our Group Retirement Services business unit under "Group Wealth".

2. Assets Under Management

AUM consists of general funds, the investments for segregated fund holders ("segregated funds") and third-party assets managed by the Company. Third-party and other AUM is comprised of institutional and managed funds, as well as other AUM related to our joint ventures.

Quarterly results

($ millions) Q3'26 Q2'26 Q1'26 Q4'25 Q3'25

(1) Represents a non-IFRS financial measure. For more details, see section N - Non-IFRS Financial Measures of this document.

(2) Prior period amounts have been updated.

AUM increased $71.6 billion or 4% from December 31, 2025, primarily driven by:

1. favourable market movements on the value of segregated, retail, institutional and managed funds of $65.6 billion;

2. an increase of $39.9 billion from foreign exchange translation (excluding the impacts of general fund assets);

3. an increase of $15.0 billion from other business activities, including $14.9 billion from the acquisition of Bell Partners Inc., partially offset by $2.3 billion from the sale of MFS' closed-end funds; and

4. an increase in AUM of general fund assets of $8.0 billion, primarily driven by business growth and favourable impacts from foreign exchange translation, partially offset by a decline in net fair value from changes in interest rates and credit spreads; partially offset by

5. net outflows from segregated funds and third-party and other AUM of $48.1 billion; and

6. Client distributions of $8.9 billion.

Segregated fund and third-party and other AUM net outflows of $32.2 billion during the quarter were comprised of:

Quarterly results

($ billions) Q3'26 Q2'26 Q1'26 Q4'25 Q3'25

Contractual Service Margin represents a source of stored value for future insurance profits and qualifies as available capital for LICAT purposes. CSM is a component of insurance contract liabilities. The following table shows the change in CSM including its recognition into net income in the period, as well as the growth from new insurance sales activity.

For the nine months ended For the full year ended

($ millions) September 30, 2026 December 31, 2025

(1) Represents a non-IFRS financial measure. For more details, see section N - Non-IFRS Financial Measures of this document.

(2) Organic CSM movement is a component of both total CSM movement and organic capital generation.

(3) Total company CSM presented above is comprised of CSM on Insurance contracts issued of $14,551 million (December 31, 2025 - $14,166 million), net of CSM Reinsurance contracts held of $473 million (December 31, 2025 - $(326) million).

Total CSM ended Q3'26 at $14.1 billion, a decrease of $0.4 billion or 3% for the first nine months of 2026.

• Organic CSM movement was driven by the impact of new insurance business, reflecting strong sales in Asia, primarily in Hong Kong.

• Unfavourable impact of markets and other mainly driven by unfavourable interest experience partially offset by favourable equity experience.

• Impact of change in assumptions includes the unfavourable impact of strengthening Par risk adjustments in Canada, partially offset by a release of Non-Par risk adjustments in all jurisdictions, and unfavourable refinements and policyholder behaviour impacts in Asia, primarily in Hong Kong.

• Favourable currency impacts primarily in Asia and the U.S.

• Unfavourable insurance experience in the U.S., Canada, and Asia.

The impact on CSM of ACMA is attributable to insurance contracts and related impacts under the general measurement approach ("GMA") and variable fee approach ("VFA"). For insurance contracts measured under the GMA, the impacts flow through the CSM at locked-in discount rates. For insurance contracts measured under the VFA, the impact flows through the CSM at current discount rates.

The following table sets out the impacts of ACMA on our reported net income and CSM in the third quarter of 2026.

As at September 30, 2026

($ millions)

Reported net income impacts (After-tax)(1)(2)

Deferred in CSM

(Pre-tax)(2)(3)(4) Comments

(1) In this document, the reported net income impact of ACMA is shown in aggregate for Net insurance service result and Net investment result, and excludes amounts attributable to participating policyholders.

(2) CSM is shown on a pre-tax basis as it reflects the changes in our insurance contract liabilities, while reported net income is shown on a post-tax basis to reflect the impact on capital.

(3) The impact of change in assumptions in the CSM rollforward of $(1,014) million is comprised of $(19) million for the three months ended March 31, 2026 from various small enhancements, $5 million for the three months ended June 30, 2026 from various small enhancements, and $(1,000) million for the three months ended September 30, 2026, as referenced in the table above.

(4) Total impact of change in assumptions represents a non-IFRS financial measure for amounts deferred in CSM. For more details, see section N - Non-IFRS Financial Measures of this document.

Quarterly results

($ millions, unless otherwise stated) Q3'26 Q2'26 Q1'26 Q4'25 Q3'25

(1) Our LICAT ratios are calculated in accordance with the OSFI-mandated guideline, Life Insurance Capital Adequacy Test.

(2) Innovative capital instruments consist of Sun Life ExchangEable Capital Securities ("SLEECS"). For more details, see section J - Capital and Liquidity Management in the 2025 Annual MD&A.

(3) Common shareholders' equity is equal to Total shareholders' equity less Preferred shares and other equity instruments.

(4) The calculation for the financial leverage ratio includes the CSM balance (net of taxes) in the denominator. The CSM (net of taxes) was $11.1 billion as at September 30, 2026 (June 30, 2026 - $11.9 billion, March 31, 2026 - $11.4 billion, December 31, 2025 - $11.3 billion, September 30, 2025 - $11.2 billion).

(5) Represents a non-IFRS financial measure. For more details, see section N - Non-IFRS Financial Measures of this document.

1. Life Insurance Capital Adequacy Test

   The Office of the Superintendent of Financial Institutions has developed the regulatory capital framework referred to as the Life Insurance Capital Adequacy Test for Canada. LICAT measures the capital adequacy of an insurer using a risk-based approach and includes elements that contribute to financial strength through periods when an insurer is under stress as well as elements that contribute to policyholder and creditor protection wind-up.

   SLF Inc. is a non-operating insurance company and is subject to the LICAT guideline. Sun Life Assurance, SLF Inc.'s principal operating life insurance subsidiary, is also subject to the LICAT guideline.

   SLF Inc.'s LICAT ratio of 142% as at September 30, 2026 decreased fifteen percentage points compared to December 31, 2025, driven by M&A(1) activity, shareholder dividend payments, and market impacts, partially offset by subordinated debt issuance.

   Sun Life Assurance's LICAT ratio of 130% as at September 30, 2026 decreased ten percentage points compared to December 31, 2025, driven by dividend payments to SLF Inc. and market impacts.

   The Sun Life Assurance LICAT ratios in both periods are well above OSFI's supervisory ratio of 100% and regulatory minimum ratio of 90%.

   (1) Mergers & Acquisitions ("M&A").

2. Capital

   Our total capital consists of subordinated debt and other capital instruments, CSM, equity in the participating account and total shareholders' equity which includes common shareholders' equity, preferred shares and other equity instruments, and non-controlling interests ("NCI"). As at September 30, 2026, our total capital was $50.2 billion, an increase of $1.9 billion compared to December 31, 2025. The increase to total capital included reported net income of $2,258 million, the issuance of $750 million principal amount of Series 2026-1 Subordinated Unsecured 4.21% Fixed/Floating Debentures, which is detailed below, favourable impacts from foreign exchange translation of $642 million included in other comprehensive income (loss) ("OCI"), an increase of $437 million from the net impact of initial subscription to the GreenOak Management Equity Plan during Q1'26, and a $404 million increase from the issuance of common shares for the acquisition of Bell Partners Inc., which are detailed below. This was partially offset by the payment of $1,576 million of dividends on common shares of SLF Inc. ("common shares"), a decrease of $414 million in CSM, a decrease of $330 million from the repurchase and cancellation of common shares, net unrealized losses on FVOCI assets of $329 million, and a $163 million decrease from the acquisition of the remaining equity interests in GreenOak subsidiaries, which is detailed below.

   In 2026, organic capital generation(1) was $1,135 million, which measures the change in capital, net of dividends, above LICAT requirements excluding the impacts of markets and other non-recurring items. Organic capital generation was driven by underlying net income and new business CSM.

   Our capital and liquidity positions remain strong with a LICAT ratio of 142% at SLF Inc., a financial leverage ratio of 24.1%(1) and $2.0 billion in cash and other liquid assets(1) as at September 30, 2026 in SLF Inc.(2) (December 31, 2025 - $2.4 billion).

   Capital Transactions

   On June 19, 2026, SLF Inc. issued $750 million principal amount of Series 2026-1 Subordinated Unsecured 4.21% Fixed/Floating Debentures due 2038. The net proceeds will be used for general corporate purposes, which may include investments in subsidiaries, repayment of indebtedness and other strategic investments.

   On June 29, 2026, the interest rate on SLF Inc.'s $1.0 billion principal amount of Limited Recourse Capital Notes Series 2021-1 (Subordinated Indebtedness) was reset from 3.60% to 5.614% per annum for the five-year period from and including June 30, 2026 to, but excluding, June 30, 2031.

   On September 30, 2026, after taking into account all conversion election notices received from holders, all remaining 1.2 million Class A Non-Cumulative Floating Rate Preferred Shares Series 11QR (the "Series 11QR Shares") were converted into Class A Non-Cumulative Rate Reset Preferred Shares Series 10R (the "Series 10R Shares") on a one-for-one basis. As a result, as of September 30, 2026, SLF Inc. has 8 million Series 10R Shares and no Series 11QR Shares issued and outstanding. The dividend rate on the Series 10R Shares for the five-year period commencing on September 30, 2026 to but excluding September 30, 2031, is 5.519% per annum, as determined in accordance with the terms of the Series 10R Shares.

   On September 21, 2026, SLF Inc. announced its intention to redeem all of the outstanding $500 million principal amount of Series 2021-1 Subordinated Unsecured 2.46% Fixed/Floating Debentures on November 18, 2026, in accordance with the redemption terms attached to such debentures. The redemption will be funded from existing cash and other liquid assets.

3. Other Transactions

   In Q1'26, we completed the acquisition of the remaining equity interests in BentallGreenOak ("BGO") and Crescent Capital Group ("Crescent"), reinforcing our conviction in their leadership, performance, and long-term growth potential. As part of the transaction, we paid $1.59 billion (US$1.16 billion) for the remaining 44% interest stake in BGO and $829 million (US$608 million) for the remaining 49% stake in Crescent.

   These payments settle the outstanding put liability on our financial statements and were funded through debt issuances in 2025 in anticipation of the transactions. The net impact to reported net income in Q1'26 was a post-tax charge of $165 million (US$119 million) ($277 million (US$200 million) pre-tax charge). For more details, see Note 3 of our Interim Consolidated Financial Statements for the period ended September 30, 2026.

   We introduced the GreenOak Management Equity Plan ("MEP"), which was effective during Q1'26. The MEP offers certain key personnel in our GreenOak subsidiaries with share-based equity, providing participants with an option to acquire preferred equity interests in GreenOak, receive restricted share units of GreenOak, or a combination thereof. Once issued, the equity vests over a period of 3 to 5 years from the grant date. Participants in the MEP are generally required to provide continued service during the vesting period to receive the full benefits of the equity. The equity is ultimately settled in common shares of SLF Inc. The net impact of initial subscription to the MEP during Q1'26 was an increase of $437 million to Contributed surplus in our Interim Consolidated Financial Statements for the period ended September 30, 2026.

   On July 2, 2026, we completed the acquisition of Bell Partners Inc. ("Bell Partners"), a leading U.S. multifamily real estate investment manager and vertically integrated property management business. Sunlife acquired a 100% interest in Bell Partners for a purchase price of $522 million (US$367 million), with approximately 80% paid in Sunlife common shares. Operating as a distinct, vertically integrated business under BentallGreenOak ("BGO"), Bell Partners will oversee the broader company's U.S. multifamily assets. The acquisition combines complementary real estate investment and operating capabilities, expanding our presence in the U.S. multifamily sector and strengthening our ability to provide institutional Clients with access to multifamily investment opportunities. For more details, see Note 3 of our Interim Consolidated Financial Statements for the period ended September 30, 2026.

   On September 8, 2026, the Court approved the settlement of a class action relating to individual life insurance policies sold and issued by the Metropolitan Life Insurance Company ("MetLife") in the 1980s and 1990s, which Sunlife inherited through historical Canadian acquisitions ("settlement of a legal matter"). MetLife provided an indemnity relating to these policies, and Sunlife is seeking full recourse pursuant to the indemnity. This matter does not involve any policies or products sold by Sunlife. The net impact to reported net income in Q1'26 was a charge of $145 million. For more details, see Note 17 of our Interim Consolidated Financial Statements for the period ended September 30, 2026.

   (1) Represents a non-IFRS financial measure. For more details, see section N - Non-IFRS Financial Measures of this document.

   (2) SLF Inc. (the ultimate parent company) and its wholly-owned holding companies.

4. Normal Course Issuer Bids

On May 26, 2026, SLF Inc. announced that OSFI and the Toronto Stock Exchange ("TSX") had approved the renewal of its previously announced normal course issuer bid (the "2026 NCIB"). Under the 2026 NCIB, SLF Inc. is permitted to purchase up to 10,000,000 common shares. The 2026 NCIB commenced on May 29, 2026 and will continue until May 28, 2027 or such earlier date as SLF Inc. may determine. Any common shares purchased by SLF Inc. pursuant to the 2026 NCIB will be cancelled or used in connection with certain equity settled incentive arrangements. Under its prior normal course issuer bid (the "2025 NCIB"), which commenced on June 9, 2025 and expired on May 21, 2026, SLF Inc. purchased 10,570,915 common shares. Common shares purchased by SLF Inc. pursuant to the 2025 NCIB were either subsequently cancelled or used in connection with certain equity settled incentive arrangements.

Shares purchased and subsequently cancelled under both bids were as follows:

Quarterly results Year-to-date Aggregate(1)

Q3'26 2026

(1) Represents the balance of common shares purchased and subsequently cancelled under the life of the normal course issuer bid to-date.

(2) Excludes the impact of excise tax on net repurchases of equity.

Quarterly results Year-to-date

($ millions) Q3'26 Q2'26 Q3'25 2026 2025

(1) Represents a non-IFRS financial measure. For more details, see section N - Non-IFRS Financial Measures of this document.

All factors discussed in this document that impact our underlying net income are also applicable to reported net income.

1. Sun Life Asset Management

   Quarterly results Year-to-date

   Sun Life Asset Management (US$ millions) Q3'26 Q2'26 Q3'25 2026 2025

   Underlying net income(1)	297	262	281	824	805
   Add: Market-related impacts	(7)	2 (1)		(19)	(18)
   ACMA	(13)	-	7	(12)	2
   MFS shares owned by management	4	(17) (2)		(12)	1
   Acquisition, integration and restructuring(2)(3)	(62)	4 (15)		(176)	(38)
   Intangible asset amortization	(10)	(8) (6)		(26)	(16)
   Reported net income - Common shareholders	209	243	264	579	736
   MFS (US$ millions)
   Underlying net income(1)	214	187	215	600	585
   Reported net income - Common shareholders	225	184	213	609	586
   Pre-tax net operating margin for MFS(1)	40.7%	35.7%	39.2%	37.0%	36.6%
   GreenOak (US$ millions)
   Underlying net income(1)	52	43	39	127	131
   Reported net income (loss) - Common shareholders	(18)	29	17	(90)	55
   Fee-related earnings(1)	78	62	56	192	188
   Pre-tax fee-related earnings margin(1)(4)	27.8%	26.3%	25.7%	27.8%	25.7%
   Pre-tax net operating margin(1)(4)	25.4%	25.0%	27.5%	25.4%	27.5%
   Solutions & Other (US$ millions)
   Underlying net income (1)	31	32	27	97	89
   Reported net income - Common shareholders	2	30	34	60	95
   Sun Life Asset Management
   Assets under management (US$ billions)(1)	903.7	917.7	903.3	903.7	903.3
   Sun Life Asset Management managed assets (US$ billions)(1)	1,018.6	1,034.9	1,018.6	1,018.6	1,018.6
   Gross flows (US$ billions)(1)(5)	34.5	53.6	42.2	128.4	115.2
   Net flows (US$ billions)(1)(5)	(22.8)	1.5	3.0	(34.4)	(13.2)
   Assets under management (C$ billions)(1)	1,285.8	1,302.6	1,257.4	1,285.8	1,257.4
   Sun Life Asset Management managed assets (C$ billions)(1)	1,449.3	1,469.1	1,417.9	1,449.3	1,417.9
   Gross flows (C$ billions)(1)(5)	48.3	74.2	58.1	177.8	161.1
   Net flows (C$ billions)(1)(5)	(31.9)	2.0	4.1	(47.7)	(18.6)
   MFS (US$ billions)
   Average net assets (US$ billions)(1)	642.3	646.6	642.6	647.1	622.1
   Assets under management (US$ billions)(1)(6)	618.7	644.7	658.7	618.7	658.7
   Gross flows (US$ billions)(1)	25.5	24.8	34.1	81.9	92.7
   Net flows (US$ billions)(1)	(26.9)	(22.9) (0.9)		(66.0)	(23.3)
   Asset appreciation (depreciation) (US$ billions)	1.3	46.7	24.1	34.9	76.1
   GreenOak (US$ billions)
   Assets under management (US$ billions)(1)	205.2	193.6	186.0	205.2	186.0
   Gross flows - AUM (US$ billions)(1)	7.0	7.6	6.5	21.6	17.3
   Net flows - AUM (US$ billions)(1)	4.0	4.6	3.8	12.6	8.8
   Fee earning assets under management ("FE AUM") (US$ billions)(1)	151.7	146.6	143.3	151.7	143.3
   Gross flows - FE AUM (US$ billions)(1)	5.6	6.5	5.7	18.2	20.5
   Net flows - FE AUM (US$ billions)(1)	3.5	4.0	3.6	11.7	13.6
   Assets under administration ("AUA") (US$ billions)(1)	14.5	14.6	12.9	14.5	12.9
   Capital raising (US$ billions)(1)	3.5	4.7	4.1	12.6	11.5
   Deployment (US$ billions)(1)	7.1	6.2	5.4	18.6	17.1
   Solutions & Other (US$ billions)
   Assets under management (US$ billions)(1)	79.8	79.4	58.6	79.8	58.6

   (1) Represents a non-IFRS financial measure. For more details, see section N - Non-IFRS Financial Measures of this document.

   (2) Amounts relate to acquisition costs for our GreenOak subsidiaries, which include the unwinding of the discount for Other financial liabilities of

   US$ nil in Q3'26 and US$1 million for the first nine months of 2026 (Q2'26 - US$1 million, Q3'25 - US$9 million; the first nine months of 2025 - US$30 million). The unwinding relates to Advisors Asset Management, Inc. for 2026 reporting periods and to BentallGreenOak, Crescent Capital Group LP, and Advisors Asset Management, Inc. for 2025 reporting periods.

   (3) Q1'26 includes a US$119 million charge from the acquisition of remaining equity interests in GreenOak subsidiaries. For more details, see the "Other Transactions" heading in section F - Financial Strength of this document.

   (4) Based on a trailing 12-month basis. For more details, see section N - Non-IFRS Financial Measures of this document.

   (5) Prior period amounts have been updated.

   (6) Monthly information on AUM is provided by MFS in its Corporate Fact Sheet, which can be found at https://www.mfs.com/CorpFact. The Corporate Fact Sheet also provides MFS' U.S. Generally Accepted Accounting Principles ("GAAP") assets and liabilities as at December 31, 2025.

   Profitability

   Quarterly Comparison - Q3'26 vs. Q3'25

   Sun Life Asset Management underlying net income of US$297 million increased US$16 million or 6%, driven by:

   • MFS down US$1 million, as lower fee income, impacted by average fee rates, was offset by lower operating expenses and higher net investment income. Pre-tax net operating profit margin(1) improved to 40.7% for Q3'26, compared to 39.2% in the prior year, primarily driven by the impact from the sale of closed-end funds.

   • GreenOak up US$13 million, reflecting higher fee-related earnings(1), which increased 39% driven by the acquisition of Bell Partners Inc.(2) and lower compensation expenses, partially offset by lower net seed investment income. Fee-related earnings margin(1) was 27.8% for Q3'26, compared to 25.7% in the prior year.

   • Solutions & Other up US$4 million, reflecting improved credit experience.

     Reported net income of US$209 million decreased US$55 million or 21%, driven by:

   • Acquisition and restructuring charges primarily related to the integration of GreenOak subsidiaries and the Bell Partners Inc. acquisition(2); and

   • Unfavourable ACMA impacts in Solutions & Other; partially offset by

   • The increase in underlying net income and a gain on sale of MFS' closed-end funds.

     Foreign exchange translation led to an increase of $5 million in underlying net income and an increase of $4 million in reported net income.

     Year-to-Date Comparison - Q3'26 vs. Q3'25

     Sun Life Asset Management underlying net income of US$824 million increased US$19 million or 2%, driven by:

   • MFS up US$15 million, reflecting higher fee income from higher average net assets ("ANA") partially offset by higher operating expenses.

   • GreenOak down US$4 million, reflecting lower net seed investment income, partially offset by higher fee-related earnings. Fee-related earnings(1) increased 2% driven by the acquisition of Bell Partners Inc.(2) and lower expenses, partially offset by higher catch-up fees in the prior year.

   • Solutions & Other up US$8 million, reflecting favourable net investment results.

     Reported net income of US$579 million decreased US$157 million or 21%, driven by:

   • A US$119 million charge from the acquisition of remaining equity interests in GreenOak subsidiaries(2);

   • Acquisition and restructuring charges primarily related to the integration of GreenOak subsidiaries and the Bell Partners Inc. acquisition(2);

   • Unfavourable ACMA impacts in Solutions & Other; and

   • Share-based compensation expenses at MFS from accelerated vesting terms for retirement eligible plan members; partially offset by

   • A gain on sale of MFS' closed-end funds; and

   • The increase in underlying net income.

     Foreign exchange translation led to a decrease of $12 million in underlying net income and an increase of $1 million in reported net income.

     Growth

     Sun Life Asset Management AUM of US$903.7 billion increased US$2.9 billion from December 31, 2025, driven by:

   • Net asset value changes of US$43.7 billion, including an increase of US$10.6 billion from the Bell Partners Inc. acquisition(2), partially offset by US$1.6 billion from the sale of MFS' closed-end funds;

   • Net outflows of US$34.4 billion; and

   • Client distributions in GreenOak of US$6.4 billion.

     Sun Life Asset Management managed assets of US$1,018.6 billion decreased US$0.6 billion from December 31, 2025. MFS' AUM decreased US$32.7 billion or 5% from December 31, 2025, driven by:

   • Net outflows of US$66.0 billion and US$1.6 billion from the sale of MFS' closed-end funds, partially offset by the increase in asset values from higher equity markets of US$34.9 billion.

     GreenOak's AUM increased US$15.8 billion or 8% from December 31, 2025, driven by:

   • Net inflows of US$12.6 billion and an increase of US$10.6 billion from the Bell Partners Inc. acquisition(2), partially offset by Client distributions of US$6.4 billion and asset value changes of US$1.0 billion.

   • Net inflows were comprised of capital raising and Client contributions, totaling US$21.6 billion, partially offset by outflows of US$9.0 billion.

     (1) Represents a non-IFRS financial measure. For more details, see section N - Non-IFRS Financial Measures of this document.

     (2) For more details, see the "Other Transactions" heading in section F - Financial Strength of this document.

     GreenOak's FE AUM increased US$6.2 billion or 4% from December 31, 2025, driven by:

   • Net inflows of US$11.7 billion and an increase of US$6.4 billion from the Bell Partners Inc. acquisition(1), partially offset by Client distributions of US$6.4 billion and asset value changes of US$5.5 billion.

   • Net inflows were comprised of capital deployment and Client contributions, totaling US$18.2 billion, partially offset by outflows of US$6.4 billion.

     Solutions & Other AUM increased US$19.9 billion or 33% from December 31, 2025, driven by:

   • Net inflows of US$19.1 billion from a large public fixed income mandate funded at ABSLAMC(2), and net asset value changes of US$0.8 billion.

   Acquisition of Bell Partners Inc.

   On July 2, 2026, we completed the acquisition of Bell Partners, a leading U.S. multifamily real estate investment manager and vertically integrated property management business. Sunlife acquired a 100% interest in Bell Partners for a purchase price of US$367 million, with approximately 80% paid in Sunlife common shares. Operating as a distinct, vertically integrated business under BentallGreenOak ("BGO"), Bell Partners will oversee the broader company's U.S. multifamily assets. The acquisition combines complementary real estate investment and operating capabilities, expanding our presence in the U.S. multifamily sector and strengthening our ability to provide institutional Clients with access to multifamily investment opportunities. For more details, see Note 3 of our Interim Consolidated Financial Statements for the period ended September 30, 2026 and the "Other Transactions" heading in section F - Financial Strength of this document.

2. Canada

   Quarterly results Year-to-date

   ($ millions) Q3'26 Q2'26 Q3'25 2026 2025

   Underlying net income by business unit(1)
   Individual Insurance(1)	116	117	105	352	325
   Sun Life Health(1)	170	199	197	510	495
   Asset management and wealth(1)(2)(3)	136	111	95	357	270
   Underlying net income(1)	422	427	397	1,219	1,090
   Add: Market-related impacts	(87)	28	(9)	(189)	(67)
   Assumption changes and management actions	92	(4)	(4)	87	3
   Acquisition, integration and restructuring	(3)	(2) -		(6)	(11)
   Intangible asset amortization	(6)	(6)	(6)	(18)	(18)
   Other	-	-	-	(145)	-
   Items excluded from underlying net income	(4)	16	(19)	(271)	(93)
   Reported net income (loss) - Common shareholders by business unit
   Individual Insurance	163	111	43	165	235
   Sun Life Health	150	221	239	486	506
   Asset management and wealth(3)	105	111	96	297	256
   Reported net income - Common shareholders	418	443	378	948	997
   Underlying ROE (%)(1)	34.5%	36.6%	30.7%	34.6%	27.6%
   Reported ROE (%)(1)	34.1%	37.9%	29.1%	26.9%	25.2%
   Sales by business unit(1)
   Individual Insurance sales(1)	107	140	130	361	405
   Sun Life Health sales(1)	123	203	98	621	674
   Individual Wealth sales(1)	3,042	3,122	2,629	9,784	8,528
   Group Wealth sales(1)(2)	1,813	4,252	1,381	8,322	6,321

   (1) Represents a non-IFRS financial measure. For more details, see section N - Non-IFRS Financial Measures of this document.

   (2) Effective Q1'26, we report our Group Retirement Services business unit under "Group Wealth".

   (3) "Asset management and wealth" includes Individual Wealth and Group Wealth.

   Profitability

   Quarterly Comparison - Q3'26 vs. Q3'25

   Underlying net income of $422 million increased $25 million or 6%, driven by:

   • Business growth reflecting higher fee income from increased Group Wealth AUMA and higher premiums in Sun Life Health, and favourable investment earnings; partially offset by

   • Less favourable insurance experience reflecting higher morbidity gains in the prior year.

     (1) For more details, see the "Other Transactions" heading in section F - Financial Strength of this document.

     (2) Aditya Birla Sun Life AMC Limited ("ABSLAMC").

     Reported net income of $418 million increased $40 million or 11%, driven by:

   • Favourable ACMA impacts and the increase in underlying net income; partially offset by

   • Unfavourable interest rate impacts.

     Year-to-Date Comparison - Q3'26 vs. Q3'25

     Underlying net income of $1,219 million increased $129 million or 12%, driven by:

   • Business growth reflecting higher fee income from increased Group Wealth AUMA and higher premiums in Sun Life Health;

   • Favourable mortality experience and investment earnings; partially offset by

   • Lower earnings on surplus reflecting lower surplus asset balances and returns, and less favourable morbidity experience.

     Reported net income of $948 million decreased $49 million or 5%, driven by:

   • A $145 million charge in Q1'26 reflecting the settlement of a legal matter(1); and

   • Unfavourable interest rate impacts; partially offset by

   • The increase in underlying net income and favourable ACMA impacts.

     Growth

     Quarterly Comparison - Q3'26 vs. Q3'25

     Canada's sales included:

   • Asset management gross flows & wealth sales of $4.9 billion increased 21%, driven by higher mutual fund sales in Individual Wealth and increased rollover volumes in Group Wealth.

   • Sun Life Health sales of $123 million increased 26%, driven by higher large case sales.

   • Individual insurance sales of $107 million decreased 18%, reflecting lower participating life sales.

     Year-to-Date Comparison - Q3'26 vs. Q3'25

     Canada's sales included:

   • Asset management gross flows & wealth sales of $18.1 billion increased 22%, driven by higher mutual fund sales in Individual Wealth, and increased rollover volumes and higher large case defined contribution sales in Group Wealth.

   • Sun Life Health sales of $621 million decreased 8%, reflecting lower large case sales compared to a strong prior year.

   • Individual insurance sales of $361 million decreased 11%, reflecting lower participating life sales.

   (1) For more details, see the "Other Transactions" heading in section F - Financial Strength of this document.

3. U.S.

   Quarterly results Year-to-date

   (US$ millions) Q3'26 Q2'26 Q3'25 2026 2025

   Underlying net income by business unit(1)
   Group Health & Benefits(1)(2)	92	118	63	329	315
   In-force Management(1)	49	46	44	136	86
   Underlying net income(1)	141	164	107	465	401
   Add: Market-related impacts	(27)	(12) 27		(65)	38
   Assumption changes and management actions	(10)	1	(39)	(9)	(39)
   Acquisition, integration and restructuring(3)	(13)	(14)	(9)	(36)	(38)
   Intangible asset amortization	(14)	(14)	(14)	(42)	(87)
   Items excluded from underlying net income	(64)	(39)	(35)	(152)	(126)
   Reported net income - Common shareholders by business unit
   Group Health & Benefits(2)	48	90	43	229	197
   In-force Management	29	35	29	84	78
   Reported net income - Common shareholders	77	125	72	313	275
   Underlying ROE (%)(1)	11.5%	13.3%	8.8%	12.6%	11.0%
   Reported ROE (%)(1)	6.3%	10.1%	5.9%	8.5%	7.6%
   After-tax profit margin for Group Benefits (%)(1)(4)	7.2%	7.1%	6.9%	7.2%	6.9%
   Sales by business unit(1)
   Group Benefits sales(1)	260	292	201	679	483
   Dental sales(1)	73	32	72	138	139
   Sales(1)	333	324	273	817	622

   (1) Represents a non-IFRS financial measure. For more details, see section N - Non-IFRS Financial Measures of this document.

   (2) Effective Q1'26, we report our Group Benefits and Dental business units under "Group Health & Benefits".

   (3) Includes acquisition, integration and restructuring costs associated with DentaQuest, acquired on June 1, 2022.

   (4) Based on underlying net income, on a trailing four-quarter basis. For more details, see section N - Non-IFRS Financial Measures of this document.

   Profitability

   Quarterly Comparison - Q3'26 vs. Q3'25

   Underlying net income of US$141 million increased US$34 million or 32%, and includes:

   • Strong medical stop-loss results reflecting double-digit premium growth and improved morbidity experience;

   • Higher earnings in Dental reflecting improved morbidity experience and lower expenses, partially offset by lower revenue;

   • Favourable In-force management results driven by mortality experience and net investment results; and

   • Lower earnings in Employee Benefits reflecting unfavourable morbidity experience from higher long-term disability claims severity and volumes.

     Reported net income of US$77 million increased US$5 million or 7%, driven by:

   • The increase in underlying net income and ACMA impacts; partially offset by

   • Unfavourable interest rate impacts.

     Foreign exchange translation led to an increase of $3 million in underlying net income and an increase of $2 million in reported net income.

     Year-to-Date Comparison - Q3'26 vs. Q3'25

     Underlying net income of US$465 million increased US$64 million or 16%, driven by:

   • Higher medical stop-loss earnings reflecting higher premiums and improved morbidity experience; and

   • Higher In-force Management results reflecting favourable experience; partially offset by

   • Lower Employee Benefits results largely reflecting unfavourable morbidity experience; and

   • Lower Dental earnings reflecting lower revenue and the impact of a retroactive premium payment in the prior year, partially offset by improved morbidity experience.

     Reported net income of US$313 million increased US$38 million or 14%, driven by:

   • The increase in underlying net income, ACMA impacts; and

   • A prior-year impairment charge of US$45 million in Dental(1); partially offset by

   • Unfavourable interest rate and other market-related impacts.

     Foreign exchange translation led to a decrease of $7 million in underlying net income and reported net income, respectively.

     (1) An impairment charge on a customer relationship intangible asset from the early termination of a U.S. group dental contract.

     Growth

     Quarterly Comparison - Q3'26 vs. Q3'25

     U.S. sales of US$333 million were up 22%, primarily driven by:

   • Higher medical stop-loss sales reflecting strong close rates, continued pricing discipline supported by our risk selection tools, and favourable market conditions.

   • Higher commercial sales in Dental aligned with our strategic growth focus, reflecting higher average case sizes, were offset by lower Medicare Advantage sales.

     Year-to-Date Comparison - Q3'26 vs. Q3'25

     U.S. sales of US$817 million were up 31%, primarily driven by:

   • Higher medical stop-loss sales reflecting strong close rates, continued pricing discipline supported by our risk selection tools, and favourable market conditions.

   • Higher commercial sales in Dental aligned with our strategic growth focus, reflecting higher average case sizes, were offset by lower Medicare Advantage and Medicaid sales.

4. Asia

   Quarterly results Year-to-date

   ($ millions) Q3'26 Q2'26 Q3'25 2026 2025

   Underlying net income (loss) by business unit(1)
   ASEAN(1)	52	47	45	144	133
   Hong Kong(1)	100	102	100	302	254
   Joint Ventures(1)	32	36	51	101	129
   High Net Worth(1)	53	58	45	156	140
   Regional Office(1)	(11)	(21)	(30)	(39)	(72)
   Underlying net income(1)	226	222	211	664	584
   Add: Market-related impacts	11	(11)	(43)	(28)	(166)
   Assumption changes and management actions	(92)	(2)	33	(90)	32
   Acquisition, integration and restructuring	(17)	(2)	162	(23)	155
   Intangible asset amortization	(5)	(5)	(4)	(15)	(9)
   Other	-	-	-	-	(3)
   Items excluded from underlying net income	(103)	(20)	148	(156)	9
   Reported net income (loss) - Common shareholders by business unit
   ASEAN	37	46	19	113	100
   Hong Kong	19	105	258	215	376
   Joint Ventures	54	36	34	118	70
   High Net Worth	23	35	90	109	142
   Regional Office	(10)	(20)	(42)	(47)	(95)
   Reported net income - Common shareholders	123	202	359	508	593
   Underlying ROE (%)(1)	15.6%	15.7%	15.8%	15.6%	14.9%
   Reported ROE (%)(1)	8.5%	14.3%	26.8%	11.9%	15.1%
   Individual insurance sales by business unit(1)
   ASEAN sales(1)	99	100	100	293	297
   Hong Kong sales(1)	629	588	585	1,933	1,508
   Joint Ventures sales(1)	148	123	123	445	376
   High Net Worth sales(1)	59	51	49	165	138
   Individual insurance sales(1)	935	862	857	2,836	2,319
   Group insurance sales(1)	30	29	25	96	75
   Asset management gross flows & wealth sales(1)	1,297	1,113	959	3,591	2,814
   New business CSM(1)	280	277	322	877	894

   (1) Represents a non-IFRS financial measure. For more details, see section N - Non-IFRS Financial Measures of this document.

   Profitability

   Quarterly Comparison - Q3'26 vs. Q3'25

   Underlying net income of $226 million increased $15 million or 7%, driven by:

   • Continued strong sales momentum and in-force business growth, favourable credit experience and lower expenses; partially offset by

   • Lower contributions from joint ventures, less favourable mortality experience in High Net Worth, and lower fee income from the transitioning of the administration business to the centralized eMPF platform in Hong Kong.

     Reported net income of $123 million decreased $236 million or 66%, driven by:

   • Unfavourable ACMA impacts and a prior-year gain from increased ownership interest in Bowtie; partially offset by

   • Improved interest rate impacts and the increase in underlying net income.

     Foreign exchange translation led to a decrease of $1 million in underlying net income and reported net income, respectively.

     Year-to-Date Comparison - Q3'26 vs. Q3'25

     Underlying net income of $664 million increased $80 million or 14%, driven by:

   • Continued strong sales momentum and in-force business growth in Hong Kong, lower expenses, and favourable credit experience; partially offset by

   • Lower fee income from the transitioning of the administration business to the centralized eMPF platform in Hong Kong, and lower contributions from joint ventures.

     Reported net income of $508 million decreased $85 million or 14%, driven by:

   • Unfavourable ACMA impacts and a prior-year gain from increased ownership interest in Bowtie; partially offset by

   • Improved other market-related impacts and favourable equity market impacts, and the increase in underlying net income.

     Foreign exchange translation led to a decrease of $17 million in underlying net income and a decrease of $15 million in reported net income.

     Growth

     Quarterly Comparison - Q3'26 vs. Q3'25

     Asia's sales included:

   • Individual insurance sales of $935 million were up 9%(1), driven by:

     • Higher sales in Hong Kong across all channels; and

     • Strong growth in India and Malaysia, primarily from the bancassurance channel; partially offset by

     • Lower sales in China primarily from the broker channel.

   • Asset management gross flows and wealth sales of $1.3 billion were up 35%(1), reflecting higher MPF sales in Hong Kong, and higher group fund sales in India.

     New business CSM of $280 million in Q3'26 was down from $322 million in the prior year, reflecting an increasing competitive environment primarily in Hong Kong.

     Year-to-Date Comparison - Q3'26 vs. Q3'25

     Asia's sales included:

   • Individual insurance sales of $2.8 billion were up 25%(1), driven by:

     • Higher sales in Hong Kong across all channels;

     • Strong growth in India, Malaysia and Indonesia, primarily from the bancassurance channel; and

     • Higher High Net Worth sales, primarily from the broker channel.

   • Asset management gross flows and wealth sales of $3.6 billion were up 31%(1), driven by increased MPF sales in Hong Kong and group fund sales in India.

     New business CSM of $877 million was down from $894 million in the prior year, reflecting an increasing competitive environment primarily in Hong Kong.

5. Corporate

Quarterly results Year-to-date

($ millions) Q3'26 Q2'26 Q3'25 2026 2025

(1) Represents a non-IFRS financial measure. For more details, see section N - Non-IFRS Financial Measures of this document.

Quarterly Comparison - Q3'26 vs. Q3'25

Underlying net loss was $115 million compared to underlying net loss of $95 million in the prior year, reflecting higher financing costs supporting the acquisition of our remaining interests in GreenOak subsidiaries.

Reported net loss was $156 million compared to reported net loss of $92 million in the prior year, driven by the estimated impact of changes in interest rates on tax-exempt investments and the change in underlying net loss.

(1) This change excludes the impacts of foreign exchange translation. For more information about these non-IFRS financial measures, see section N - Non-IFRS Financial Measures of this document.

Year-to-Date Comparison - Q3'26 vs. Q3'25

Underlying net loss was $349 million compared to underlying net loss of $251 million in the prior year, reflecting higher financing costs supporting the acquisition of our remaining interests in GreenOak subsidiaries.

Reported net loss was $430 million compared to reported net loss of $256 million in the prior year, driven by the change in underlying net loss and unfavourable market-related impacts, which includes the estimated impact of changes in interest rates on tax-exempt investments.

Total general fund invested assets of $200.4 billion as at September 30, 2026, were up $7.4 billion from December 31, 2025. The increase was primarily from business growth and favourable impacts from foreign exchange translation, partially offset by a decline in net fair value from changes in interest rates and credit spreads. Our general fund invested assets are well-diversified across investment types, geographies and sectors with the majority of our portfolio invested in high quality fixed income assets.

The following table sets out the composition of our general fund invested assets(1):

September 30, 2026 December 31, 2025

($ millions)

Carrying

value

% of Total carrying

value

Carrying

value

% of Total carrying

value

(1) The values and ratios presented are based on the fair value of the respective asset categories. Generally, the carrying values for invested assets are equal to their fair values. For invested assets supporting insurance contracts, in the event of default, if the amounts recovered are insufficient to satisfy the related insurance contract liability cash flows that the assets are intended to support, credit exposure may be greater than the carrying value of the assets.

(2) Prior period balances related to Collateralized Loan Obligations ("CLOs") have been reclassified from Invested assets to Other assets to conform with current period presentation changes. For more details, see Note 7 of the Interim Consolidated Financial Statements for the period ended

September 30, 2026.

1. Debt Securities

   The debt securities portfolio is actively managed through a regular program of purchases and sales aimed at optimizing yield, quality, and liquidity, while ensuring that it remains well-diversified and duration-matched to insurance contract liabilities. As at September 30, 2026, with the exception of certain countries where we have business operations, including Canada, the United States, the United Kingdom and the Philippines, our exposure to debt securities from any single country did not exceed 1% of total invested assets.

   Debt Securities by Geography

   The carrying value of our debt securities by geographic location is presented in the following table.

   	September 30, 2026			December 31, 2025
   ($ millions)	FVTPL debt FVOCI debt securities securities Total	% of Total	FVTPL debt securities	FVOCI debt securities Total	% of Total

   Debt securities by geography:
   Canada	35,827	3,250	39,077	43%	35,582	3,288	38,870	45%
   United States	26,760	5,908	32,668	36%	23,389	6,060	29,449	34%
   Europe	4,767	1,369	6,136	7%	4,329	1,451	5,780	7%
   Asia	8,093	942	9,035	10%	7,230	971	8,201	10%
   Other	2,274	1,090	3,364	4%	2,069	1,249	3,318	4%
   Total debt securities	77,721	12,559	90,280	100%	72,599	13,019	85,618	100%

   Our gross unrealized losses as at September 30, 2026 for FVTPL and FVOCI debt securities were $10,148 million and $514 million, respectively (December 31, 2025 - $6,284 million and $241 million, respectively). The increase in gross unrealized losses was largely due to the impact from interest rates.

   Debt Securities by Credit Rating

   Debt securities with a credit rating of "A" or higher represented 77% of the total debt securities as at September 30, 2026 (December 31, 2025

   - 77%). Debt securities with a credit rating of "BBB" or higher represented 99% of total debt securities as at September 30, 2026 (December 31, 2025 - 99%).

2. Mortgages and Loans

   Our mortgage portfolio consisted almost entirely of first mortgages and our loan portfolio consisted of private placement loans.

   Mortgages and Loans by Geography

   The carrying value of mortgages and loans by geographic location is presented in the following table(1).

   	September 30, 2026	December 31, 2025
   ($ millions)	Mortgages Loans	Total Mortgages Loans	Total

   Canada	8,575	13,017	21,592	9,135	12,880	22,015
   United States	3,887	19,848	23,735	4,335	20,044	24,379
   Europe	47	9,854	9,901	135	9,234	9,369
   Asia	-	510	510	-	678	678
   Other	-	2,002	2,002	-	2,992	2,992
   Total mortgages and loans	12,509	45,231	57,740	13,605	45,828	59,433
   % of Total invested assets	6%	23%	29%	7%	24%	31%

   (1) The geographic location for mortgages is based on the location of the property and for loans it is based on the country of the creditor's parent.

   Mortgage Portfolio

   As at September 30, 2026, we held $12.5 billion of mortgages (December 31, 2025 - $13.6 billion). Our mortgage portfolio consists entirely of commercial mortgages, as presented in the following table.

   	September 30, 2026		December 31, 2025
   ($ millions)	Insured Uninsured	Total	Insured Uninsured	Total

   Mortgages:
   Retail	-	2,071	2,071	-	2,336	2,336
   Office	-	1,995	1,995	-	2,364	2,364
   Multi-family residential	2,534	1,161	3,695	2,953	1,250	4,203
   Industrial	-	3,914	3,914	-	3,793	3,793
   Other	385	449	834	408	501	909
   Total mortgages	2,919	9,590	12,509	3,361	10,244	13,605
   % of Total mortgages	23%	77%	100%	25%	75%	100%

   Our mortgage portfolio consists entirely of commercial mortgages, including retail, office, multi-family, and industrial properties. As at September 30, 2026, 30% of our commercial mortgage portfolio consisted of multi-family residential mortgages; there are no single-family residential mortgages. Our uninsured commercial portfolio had a weighted average loan-to-value ratio of approximately 53% as at September 30, 2026 (December 31, 2025 - 54%). While we generally limit the maximum loan-to-value ratio to 75% at issuance, we may invest in mortgages with a higher loan-to-value ratio in Canada if the mortgage is insured by the Canada Mortgage and Housing Corporation ("CMHC"). The estimated weighted average debt service coverage for our uninsured commercial portfolio is 1.79 times. Of the $2.9 billion of multi-family residential mortgages in the Canadian commercial mortgage portfolio, 88% were insured by the CMHC.

   As at September 30, 2026, we held $45.2 billion of loans (December 31, 2025 - $45.8 billion). Private placement loans provide diversification by type of loan, industry segment and borrower credit quality. The private placement loan portfolio consists of senior secured and unsecured loans to large- and mid-market corporate borrowers, securitized lease/loan obligations secured by a variety of assets, and project finance loans in sectors such as power and infrastructure.

   As at September 30, 2026, our impaired mortgages and loans, net of allowances for losses, were $10 million (December 31, 2025 - $24 million).

3. Derivatives

   The values associated with our derivative instruments are presented in the following table. Notional amounts serve as the basis for payments calculated under derivatives contracts and are generally not exchanged.

   ($ millions) September 30, 2026 December 31, 2025

   Net fair value asset (liability)	(1,134)	(531)
   Total notional amount	92,711	83,571
   Credit equivalent amount(1)	1,091	1,266
   Risk-weighted credit equivalent amount(1)	23	27

   (1) Amounts presented are net of collateral received.

   The net fair value of derivatives was a liability of $1,134 million as at September 30, 2026 (December 31, 2025 - liability of $531 million). The decrease in net fair value was driven by a decrease in foreign exchange contracts due to the depreciation of the Canadian dollar against the

   U.S. dollar.

   The total notional amount of our derivatives increased to $92.7 billion as at September 30, 2026 (December 31, 2025 - $83.6 billion). The change in notional amount is mainly attributable to an increase in equity and other contracts driven by additional listed options trading, and foreign exchange contracts used for hedging foreign currency assets.

4. Investment Properties

   As at September 30, 2026, we held $10.0 billion of investment properties (December 31, 2025 - $9.4 billion). The increase in our investment property portfolio is predominantly driven by net property purchases in Canada and Asia, partially offset by declines in market value.

   Investment Properties by Type and Geography

   September 30, 2026 Multi-family

   % of Total by

   ($ millions) Office Industrial Retail residential Other Total

   Geography

   Canada	1,729	3,446	1,065	1,849	366	8,455	85%
   United States	357	925	125	39	2	1,448	14%
   Asia	-	-	-	60	-	60	1%
   Total	2,086	4,371	1,190	1,948	368	9,963	100%
   % of Total by Type	21%	43%	12%	20%	4%	100%

   ($ millions)	Office	Industrial	Retail	residential	Other	Total	Geography
   Canada	1,432	3,503	1,023	1,684	386	8,028	85%
   United States	354	897	114	37	2	1,404	15%
   Asia	-	-	-	-	-	-	-%
   Total	1,786	4,400	1,137	1,721	388	9,432	100%
   % of Total by Type	19%	47%	12%	18%	4%	100%

   December 31, 2025 Multi-family

   % of Total by

5. Loss Allowance and Provision for Credit Losses

The balance of the total loss allowance was $89 million(1) as at September 30, 2026 (December 31, 2025 - $93 million) and the provision for credit losses decreased by $3 million(1) for the nine months ended September 30, 2026 (increased by $10 million for the nine months ended September 30, 2025).

(1) For more details, see Note 6 of the Interim Consolidated Financial Statements for the period ended September 30, 2026.

We have established a Risk Management Framework to assist in identifying, measuring, managing, monitoring and reporting risks. The Risk Management Framework covers all risks and these have been grouped into six major categories: market, insurance, credit, business and strategic, operational and liquidity risks. Through our enterprise risk management processes, we oversee the various risk factors identified in the Risk Management Framework and provide reports to senior management and to the Board Committees at least quarterly. Our enterprise risk management processes and risk factors are described in our 2025 Annual MD&A.

This section includes our disclosure on market risks and should be read in conjunction with our unaudited Interim Consolidated Financial Statements for the quarter ended September 30, 2026. When referring to segregated funds in this section, it is inclusive of segregated fund guarantees, variable annuities and investment products.

Equity risk is the potential for financial loss arising from declines or volatility in public or private equity market prices. We are exposed to equity risk from a number of sources.

We generate revenue in our asset management businesses and from certain protection and wealth contracts where fees are levied on account balances that are affected directly by equity market levels. Accordingly, we have further exposure to equity risk as adverse fluctuations in the market value of such assets will result in corresponding adverse impacts on revenue, income, the contractual service margin, and capital. In addition, declining and volatile equity markets may have a negative impact on sales and redemptions (surrenders) in these businesses, and this may result in further adverse impacts on net income, the contractual service margin, and capital.

A portion of our exposure to equity risk arises in connection with benefit guarantees on segregated fund products, some participating insurance contracts, some adjustable insurance contracts, and some universal life contracts. These benefit guarantees may be triggered upon death, maturity, withdrawal or annuitization. The cost of providing these guarantees is uncertain and depends upon a number of factors, including general capital market conditions, our hedging strategies, policyholder behaviour and mortality experience, each of which may result in negative impacts on net income, the contractual service margin, and capital.

We also have direct exposure to equity markets from the investments supporting other general account liabilities, surplus, and employee benefit plans. These exposures fall within our risk-taking philosophy and appetite, and are therefore generally not hedged.

Interest rate and spread risk includes the potential for financial loss arising from changes in the value of insurance and investment contract liabilities and financial assets due to changes or volatility in interest rates or spreads. In practice, when asset cash flows and the policy obligations they support are not matched, this may result in the need to either sell assets to meet policy payments and expenses or reinvest excess asset cash flows in unfavourable interest rate or spread environments. This risk is managed in our asset-liability management program. For more details on the asset-liability management program, see the heading "Market Risk Management Strategies" in section K - Risk Management in the 2025 Annual MD&A.

Our primary exposure to interest rate and spread risk arises from insurance and investment contracts that contain guarantees in the form of minimum crediting rates, maximum premium rates, settlement options, guaranteed annuitization options and minimum benefits. If investment returns fall below guaranteed levels, we may be required to increase liabilities or capital in respect of these contracts. The guarantees attached to these products may be applicable to both past premiums collected and future premiums not yet received. Segregated fund contracts provide benefit guarantees that are linked to underlying fund performance and may be triggered upon death, maturity, withdrawal or annuitization. Exposure to guarantees is managed within our risk appetite limits through our asset-liability management program, which may include the use of hedging strategies utilizing interest rate derivatives such as interest rate floors, swaps, forwards, futures and swaptions. The impact of these guarantees on net income, contractual service margin, and capital are included in the disclosed market risk sensitivities.

Significant changes or volatility in interest rates or spreads could have a negative impact on sales of certain protection and wealth products, and adversely impact the expected pattern of redemptions (surrenders) on existing policies.

• Increases in interest rates or widening spreads may increase the risk that policyholders will surrender their contracts, potentially forcing us to liquidate assets at a loss. While we have established hedging programs in place and our protection and wealth products often contain surrender mitigation features, these may not be sufficient to fully offset the adverse impact of changes in interest rates or spreads.

• Declines in interest rates or narrowing spreads can result in compression of the net spread between interest earned on investments and interest credited to policyholders, increased asset calls, mortgage and structured security prepayments, and net reinvestment of positive cash flows at lower yields, and therefore can adversely impact our profitability and financial position.

• Negative interest rates may additionally result in losses on our cash and short-term deposits and low or negative returns on our fixed income assets impacting our profitability.

• A sustained low interest rate environment may additionally adversely impact our net income, CSM, capital, and our ability to implement our business strategy and plans. This may be realized through lower sales, less profitable new business, changes in the pattern of redemptions on existing policies, among other impacts.

We also have direct exposure to interest rates and spreads from investments supporting other general account liabilities, surplus and employee benefit plans. Higher interest rates or wider spreads will reduce the value of our existing assets. Conversely, lower interest rates or a narrowing of spreads will result in reduced investment income on new fixed income asset purchases. These exposures fall within our risk-taking philosophy and appetite and are therefore generally not hedged.

Real estate risk is the potential for financial loss arising from fluctuations in the value of, or future cash flows from, our investments in real estate. We are exposed to real estate risk and may experience financial losses resulting from the direct ownership of real estate investments or indirectly through fixed income investments secured by real estate property, leasehold interests, ground rents, and purchase and leaseback transactions.

Real estate price risk may arise from external market conditions, inadequate property analysis, inadequate insurance coverage, inappropriate real estate appraisals, or from environmental risk exposures.

We hold real estate investments that support general account liabilities and surplus, and fluctuations in value will affect our net income, CSM, and capital. A material and sustained increase in interest rates may lead to deterioration in real estate values.

Foreign currency risk is the result of mismatches in the currency of our assets and liabilities (inclusive of capital), and cash flows. This risk may arise from a variety of sources such as foreign currency transactions and services, foreign currency hedging, investments denominated in foreign currencies, investments in foreign subsidiaries and net income from foreign operations. Changes or volatility in foreign exchange rates, including a change to currencies that are fixed in value to another currency, could adversely affect our net income, contractual service margin and capital.

As an international provider of financial services, we operate in a number of countries, with revenues and expenses denominated in several local currencies. In each country in which we operate, we generally maintain the currency profile of assets to match the currency of liabilities and required capital. This approach provides an operational hedge against disruptions in local operations caused by currency fluctuations. Foreign currency derivative contracts such as currency swaps and forwards are used as a risk management tool to manage the currency exposure in accordance with our Asset Liability Management Policy. As at September 30, 2026 and December 31, 2025, the Company did not have a material foreign currency risk mismatch exposure.

Changes in exchange rates can affect our net income and surplus when financial results in functional currencies are translated into Canadian dollars. Net income earned outside of Canada is generally not currency hedged and a weakening in the local currency of our foreign operations relative to the Canadian dollar can have a negative impact on our net income reported in Canadian currency. A strengthening in the local currency of our foreign operations relative to the Canadian dollar would have the opposite effect. Regulatory capital ratios could also be impacted by changes in exchange rates.

Inflation risk is the potential for financial loss arising from changes in inflation rates. This risk results from insurance contract liabilities that are linked to market measures of inflation such as the Consumer Price Index. The primary sources for this risk exposure are from certain group and retail annuity contracts and group long-term disability contracts. In these contracts, the annuity and disability benefit payments may be linked to an indexing formula containing an inflation price index. Benefit payments linked to inflation indices may also include various caps, floors and averaging mechanisms that vary across product designs.

Exposure to inflation risk is managed within our asset-liability management program, primarily by investing in inflation linked assets to match liability exposures.

We utilize a variety of methods and measures to quantify our market risk exposures. These include duration management, key rate duration techniques, convexity measures, cash flow gap analysis, scenario testing, and sensitivity testing of earnings and regulatory capital ratios versus risk appetite limits.

The measurement of liabilities and assets are affected by the level of equity market performance, interest rates, credit and swap spreads and other market risk variables. The following sections set out the estimated immediate impact on, or sensitivity of, our net income(1), contractual service margin, OCI and SLF Inc.'s LICAT ratio to certain instantaneous changes in market variables as at September 30, 2026 and

December 31, 2025.

The estimated sensitivities in the tables below reflect the impact of market movements on insurance and investment contracts, assets backing insurance contracts, assets backing investment contracts, assets backing the surplus segment, and seed investments in our asset management subsidiaries.

Net income sensitivities to equity and real estate market movements are driven primarily by changes in the value of investments backing general account liabilities and surplus. Net income sensitivities to interest rates and spreads are driven by the net impact on liabilities and the assets backing them. Lower interest rates or a narrowing of spreads will typically result in increased liabilities for insurance contracts, offset by increased values of the assets backing general account liabilities. Higher interest rates or a widening of spreads will typically result in decreased liabilities for insurance contracts, offset by decreased values of the assets backing general account liabilities. Further detail on the impact of changes or volatility in market prices on assets and liabilities is provided under the headings "Equity Risk", "Interest Rate and Spread Risk", "Real Estate Risk", and "Foreign Currency Risk" above.

OCI sensitivities are impacted by changes in the market value of assets classified as FVOCI. The market value of FVOCI fixed income assets, which are held primarily backing surplus, investment contracts and CSM liabilities, increases with lower interest rates or a narrowing of spreads, and decreases with higher interest rates or widening of spreads.

(1) Net income in section I - Risk Management of this document refers to common shareholders' net income.

As these market risk sensitivities reflect an instantaneous impact on net income, CSM, OCI and SLF Inc.'s LICAT ratio, they do not include impacts over time such as the effect on fee income in our asset management businesses.

For important additional information regarding these estimates, see the Additional Cautionary Language and Key Assumptions Related to Sensitivities in this section.

1. Private and Public Equity Market Sensitivities

   The following table sets out the estimated immediate impact on, or sensitivity of, our net income, CSM, OCI and SLF Inc.'s LICAT ratio to certain instantaneous changes in public or private equity market prices as at September 30, 2026 and December 31, 2025. The sensitivities shown outline the impact of the same percentage increase or decrease applied to each of private equity and public equity.

   ($ millions, unless otherwise noted) As at September 30, 2026

   Change in Private and Public Equity

   Markets(1)(2)(3) 25% decrease 10% decrease 10% increase 25% increase

   Potential impact on net income (after-tax)
   - Private equity	(425)	(175)	175	425
   - Public equity	(250)	(100)	100	275
   Potential impact on CSM (pre-tax)	(900)	(350)	350	875
   Potential impact on OCI(4)	-	-	-	-
   Potential impact on LICAT ratio(5)	1.5% point decrease	0.5% point decrease	0.5% point increase	1.0% point increase

   ($ millions, unless otherwise noted) As at December 31, 2025

   Change in Private and Public Equity

   Markets(1)(2)(3) 25% decrease 10% decrease 10% increase 25% increase

   Potential impact on net income (after-tax)

   - Private equity	(325)	(125)	125	325
   - Public equity	(225)	(100)	100	250
   Potential impact on CSM (pre-tax)	(900)	(350)	325	825
   Potential impact on OCI(4)	-	-	-	-
   Potential impact on LICAT ratio(5)	1.0% point decrease	0.5% point decrease	0.5% point increase	0.5% point increase

   (1) Represents the respective change across all equity exposures as at September 30, 2026 and December 31, 2025. Due to the impact of active management, basis risk, and other factors, realized sensitivities may differ meaningfully from expectations. Sensitivities include the impact of rebalancing equity hedges for hedging programs at 2% intervals (for 10% changes in equity markets) and at 5% intervals (for 25% changes in equity markets).

   (2) The market risk sensitivities include the estimated impact of our hedging programs in effect as at September 30, 2026 and December 31, 2025, and include new business added and product changes implemented prior to such dates.

   (3) Net income, CSM, and OCI sensitivities have been rounded in increments of $25 million. The sensitivities exclude the market impacts on the income from our joint ventures in China and India.

   (4) The market risk OCI sensitivities exclude the impact of changes in the defined benefit obligations and plan assets.

   (5) The LICAT sensitivities illustrate the impact on SLF Inc. as at September 30, 2026 and December 31, 2025. LICAT ratios are rounded in increments of 0.5%.

2. Interest Rate Sensitivities

   The following table sets out the estimated immediate impact on, or sensitivity of, our net income, CSM, OCI and SLF Inc.'s LICAT ratio to certain instantaneous changes in interest rates as at September 30, 2026 and December 31, 2025.

   ($ millions, unless otherwise noted) As at September 30, 2026 As at December 31, 2025

   Change in Interest Rates(1)(2)(3)

   50 basis point

   decrease

   50 basis point

   increase

   50 basis point

   decrease

   50 basis point

   increase

   Potential impact on net income (after-tax)	50	(75)	-	(25)
   Potential impact on CSM (pre-tax)	225	(225)	175	(200)
   Potential impact on OCI(4)	200	(200)	200	(200)
   Potential impact on LICAT ratio(5)	3.0% point increase	3.0% point decrease	3.0% point increase	3.0% point decrease

   (1) Interest rate sensitivities assume a parallel shift in assumed interest rates across the entire yield curve as at September 30, 2026 and December 31, 2025 with no change to the ultimate risk-free rate. Variations in realized yields based on factors such as different terms to maturity and geographies may result in realized sensitivities being significantly different from those illustrated above. Sensitivities include the impact of rebalancing interest rate hedges for hedging programs at 10 basis point intervals (for 50 basis point changes in interest rates).

   (2) The market risk sensitivities include the estimated impact of our hedging programs in effect as at September 30, 2026 and December 31, 2025, and include new business added and product changes implemented prior to such dates.

   (3) Net income, CSM, and OCI sensitivities have been rounded in increments of $25 million. The sensitivities exclude the market impacts on the income from our joint ventures in China and India.

   (4) The market risk OCI sensitivities exclude the impact of changes in the defined benefit obligations and plan assets.

   (5) The LICAT sensitivities illustrate the impact on SLF Inc. as at September 30, 2026 and December 31, 2025. The sensitivities reflect the worst scenario as at September 30, 2026 and assume that a scenario switch does not occur in the quarter. LICAT ratios are rounded in increments of 0.5%.

   The above sensitivities were determined using a 50 basis point change in interest rates and 10% and 25% changes in our equity markets because we believe that these market shocks were reasonably possible as at September 30, 2026. Significant changes in market variables may result in non-proportional impacts on our sensitivities.

3. Credit Spread and Swap Spread Sensitivities

   The following tables set out the estimated immediate impact on, or sensitivity of, our net income, CSM, OCI and SLF Inc.'s LICAT ratio to certain instantaneous changes in credit spreads and our net income, CSM, and OCI to certain changes in swap spreads as at September 30, 2026 and December 31, 2025.

   ($ millions, unless otherwise noted) As at September 30, 2026 As at December 31, 2025

   Change in Credit Spreads(1)(2)

   50 basis point

   decrease

   50 basis point

   increase

   50 basis point

   decrease

   50 basis point

   increase

   Potential impact on net income (after-tax)	150	(100)	125	(25)
   Potential impact on CSM (pre-tax)	200	(225)	100	(125)
   Potential impact on OCI(3)	200	(200)	200	(175)
   Potential impact on LICAT ratio(4)	2.0% point increase	2.5% point decrease	2.5% point increase	2.5% point decrease

   (1) The credit spread sensitivities assume a parallel shift in the indicated spreads across the entire term structure with no change to the ultimate liquidity premium. The sensitivities reflect a floor of zero on credit spreads where the spreads are not currently negative. Variations in realized spread changes based on different terms to maturity, geographies, asset classes and derivative types, underlying interest rate movements, and ratings may result in realized sensitivities being significantly different from those provided above.

   (2) Net income, CSM, and OCI sensitivities have been rounded in increments of $25 million. The sensitivities exclude the market impacts on the

   income from our joint ventures in China and India.

   (3) The market risk OCI sensitivities exclude the impact of changes in the defined benefit obligations and plan assets.

   (4) The LICAT sensitivities illustrate the impact on SLF Inc. as at September 30, 2026 and December 31, 2025. The sensitivities reflect the worst scenario as at September 30, 2026 and assume that a scenario switch does not occur in the quarter. LICAT ratios are rounded in increments of 0.5%.

   ($ millions, unless otherwise noted) As at September 30, 2026 As at December 31, 2025

   Change in Swap Spreads(1)(2)

   20 basis point

   decrease

   20 basis point

   increase

   20 basis point

   decrease

   20 basis point

   increase

   Potential impact on net income (after-tax)	-	-	-	-
   Potential impact on CSM (pre-tax)	-	-	-	-
   Potential impact on OCI	-	-	-	-

   (1) The swap spread sensitivities assume a parallel shift in the indicated spreads across the entire term structure. Variations in realized spread changes based on different terms to maturity, geographies, asset classes and derivative types, underlying interest rate movements, and ratings may result in realized sensitivities being significantly different from those provided above.

   (2) Net income, CSM, and OCI sensitivities have been rounded in increments of $25 million. The sensitivities exclude the market impacts on the income from our joint ventures in China and India.

4. Real Estate Sensitivities

   The following table sets out the estimated immediate impact on, or sensitivity of, our net income, OCI and CSM to certain instantaneous changes in the value of our real estate investments as at September 30, 2026 and December 31, 2025.

   ($ millions, unless otherwise noted)	As at September 30, 2026	As at December 31, 2025
   Change in Real Estate Values (1)	10% decrease 10% increase	10% decrease 10% increase

   Potential impact on net income (after-tax)	(475) 475	(475) 475
   Potential impact on CSM (pre-tax)	(100) 100	(100) 100
   Potential impact on OCI	- -	- -

   (1) Net income, CSM, and OCI sensitivities have been rounded in increments of $25 million. The sensitivities exclude the market impacts on the income from our joint ventures in China and India.

   LICAT Interest Rate Scenario Switch

   The LICAT interest rate risk is assessed under four different interest rate scenarios, and the scenario leading to the highest capital requirement is chosen as the worst scenario for each geographic region as defined by the LICAT guideline. Changes and interaction between the level and term movements in interest rates and spreads can shift the interest rate scenario applied in the LICAT calculation causing a discontinuity where capital requirements change materially. In 2020, OSFI updated the LICAT guideline for interest rate risk requirements for participating businesses to be smoothed over six quarters. As a result, the actual impact to the LICAT ratio from participating businesses in any quarter will reflect the scenarios from the current quarter as well as the prior five quarters, with any switching between scenarios having the effect of offsetting the previous impacts over time. It should be noted that switching of the scenario can also change the direction of our sensitivities.

   For SLF Inc., assuming no further scenario switches, there is no additional LICAT ratio impact expected over the next five quarters on a rounded basis.

   For Sun Life Assurance, assuming no further scenario switches, there is an additional one percentage point increase to the LICAT ratio impact expected over the next five quarters on a rounded basis.

5. Additional Cautionary Language and Key Assumptions Related to Sensitivities

Our market risk sensitivities are measures of our estimated change in net income, OCI, CSM and LICAT ratio for changes in market risk variables described above, based on market risk variables and business in force as at the reporting date. These sensitivities are calculated independently for each risk factor, generally assuming that all other risk variables stay constant. The sensitivities do not take into account indirect effects such as potential impacts on goodwill impairment or valuation allowances on deferred tax assets.

We have provided measures of our net income sensitivity to instantaneous changes in equity markets, interest rates, credit spreads, swap spreads, real estate price levels, and capital sensitivities to changes in equity price levels, interest rates and credit spreads. The LICAT ratio and CSM sensitivities are non-IFRS financial measures, and for more details, see section N - Non-IFRS Financial Measures of this document. The cautionary language which appears in this section is applicable to all net income, CSM, OCI and LICAT ratio sensitivities.

Actual results can differ materially from these estimates for a variety of reasons, including differences in the pattern or distribution of the market shocks, the interaction between these risk factors, model error, or changes in other assumptions such as business mix, effective tax rates, policyholder behaviour, currency exchange rates and other market variables relative to those underlying the calculation of these sensitivities. The extent to which actual results may differ from the indicative ranges will generally increase with larger movements in risk variables. Our sensitivities as at December 31, 2025 have been included for comparative purposes only.

Sensitivities to interest rates and spreads assume a parallel shift in assumed interest rates across the entire yield curve or a parallel shift in the indicated spreads across the entire term structure, with no change to the ultimate risk-free rate or ultimate liquidity premium. Realized sensitivities may be significantly different from those illustrated based on factors such as different terms to maturity, geographies, asset classes and derivative types, and ratings.

The sensitivities reflect the composition of our assets and liabilities as at September 30, 2026 and December 31, 2025, respectively. Changes in these positions due to new sales or maturities, asset purchases/sales, or other management actions could result in material changes to these reported sensitivities. In particular, these sensitivities reflect the expected impact of hedging activities based on the hedging programs in place as at the respective calculation dates. The actual impact of hedging activity can differ materially from that assumed in the estimated sensitivities due to ongoing hedge re-balancing activities, changes in the scale or scope of hedging activities, changes in the cost or general availability of hedging instruments, basis risk (i.e., the risk that hedges do not exactly replicate the underlying portfolio experience), model risk, and other operational risks in the ongoing management of the hedge programs or the potential failure of hedge counterparties to perform in accordance with expectations.

The sensitivities are based on methods and assumptions in effect as at September 30, 2026 and December 31, 2025, as applicable. Changes in the regulatory environment, assumptions or methods used to measure assets and liabilities after those dates could result in material changes to the estimated sensitivities. Changes in market risk variables in excess of the changes illustrated may result in other than proportionate impacts.

The sensitivities reflect the CSM as at September 30, 2026 and December 31, 2025. For insurance contracts measured using the VFA, where the change in the effect of the time value of money and financial risk not arising from the underlying items adjusts the CSM, changes in the CSM balance will affect the sensitivity of income to changes in market risk variables.

Our LICAT sensitivities may be non-linear and can change due to the interrelationship between market rates and spreads, actuarial assumptions and our LICAT calculations.

For the reasons outlined above, our sensitivities should only be viewed as indicative estimates of the underlying sensitivities of each factor under these specialized assumptions, and should not be viewed as predictors of our future income, OCI, CSM or capital. Given the nature of these calculations, we cannot provide assurance that actual impacts will be consistent with the estimates provided.

Information related to market risk sensitivities should be read in conjunction with the information contained in section N - Accounting and Control Matters - 1 - Critical Accounting Policies and Estimates in the 2025 Annual MD&A. For more details on market risk, see Note 6 of the 2025 Annual Consolidated Financial Statements and the Risk Factors section in the 2025 AIF.

1. Revenue

   Quarterly results Year-to-date

   ($ millions) Q3'26 Q2'26 Q3'25 2026 2025

   Insurance revenue
   Annuities	674	661	635	1,988	1,887
   Life insurance	1,577	1,543	1,461	4,621	4,328
   Health insurance	4,157	4,035	3,905	12,181	11,761
   Total insurance revenue	6,408	6,239	6,001	18,790	17,976
   Net investment income (loss)	(4,881)	5,517	4,161	969	8,361
   Fee income	2,320	2,220	2,259	6,859	6,634
   Total revenue	3,847	13,976	12,421	26,618	32,971

   Total revenue decreased $8.6 billion compared to the prior year, primarily driven by net investment losses from fair value changes of invested assets, partially offset by higher insurance revenue. Foreign exchange translation led to a $49 million increase in revenue. By business group, total revenue reflected net investment losses from fair value changes of invested assets in Canada, Asia, the U.S. and Sun Life Asset Management. Higher insurance revenue was primarily driven by the U.S., Canada, and Asia.

   Total revenue decreased $6.4 billion in the first nine months of 2026 compared to the same period in 2025, primarily driven by lower net investment income from fair value changes of invested assets partially offset by higher insurance revenue. Foreign exchange translation led to a $228 million decrease in revenue. By business group, revenue reflected lower net investment income from fair value changes of invested assets primarily in Asia, Canada, the U.S. and Sun Life Asset Management. Higher insurance revenue was primarily driven by Canada, the U.S. and Asia.

2. Changes in the Statements of Financial Position and in Shareholders' Equity

   Total general fund assets were $239.9 billion as at September 30, 2026 (December 31, 2025 - $231.9 billion), primarily driven by business growth and favourable impacts from foreign exchange translation, partially offset by a decline in net fair value from changes in interest rates and credit spreads.

   The net liabilities balance for insurance contracts issued(1) was $162.6 billion as at September 30, 2026 (December 31, 2025 - $155.6 billion), primarily driven by cash flows and foreign currency translation, partially offset by insurance service result and insurance finance income and expenses.

   Total shareholders' equity, including preferred shares and other equity instruments, is $26.0 billion as at September 30, 2026 (December 31, 2025 - $24.5 billion). The change in total shareholders' equity included:

   1. total shareholders' net income of $2,328 million, before preferred share dividends of $70 million;

   2. favourable impacts from foreign exchange translation of $642 million included in OCI;

   3. an increase of $437 million from the net impact of initial subscription to the GreenOak Management Equity Plan during Q1'26(2); and

   4. an increase of $404 million from the issuance of common shares for the acquisition of Bell Partners Inc.(2); partially offset by

   5. common share dividend payments of $1,576 million;

   6. a decrease of $330 million from the repurchase and cancellation of common shares;

   7. net unrealized losses on FVOCI assets of $329 million; and

   8. a decrease of $118 million from the impact of the acquisition of the remaining equity interests in GreenOak subsidiaries(2).

      As at October 23, 2026, SLF Inc. had 554,869,690 common shares, 2,466,649 options to acquire SLF Inc. common shares, and 52,200,000 Class A Shares outstanding.

      (1) For more details about the changes in the net insurance contract liabilities, see Note 9 of the Interim Consolidated Financial Statements for the period ended September 30, 2026.

      (2) For more details, see the "Other Transactions" heading in section F - Financial Strength of this document.

3. Cash Flows

   Quarterly results Year-to-date

   ($ millions) Q3'26 Q2'26 Q3'25 2026 2025

   Net cash and cash equivalents, beginning of period	8,871	8,710	7,502	9,599	9,954
   Cash flows provided by (used in):
   Operating activities	612	116	1,180	2,903	1,598
   Investing activities	(173)	(69)	(43)	(332)	(176)
   Financing activities	(784)	18	(10)	(3,778)	(2,516)
   Changes due to fluctuations in exchange rates	27	96	124	161	(107)
   Increase (decrease) in cash and cash equivalents	(318)	161	1,251	(1,046)	(1,201)
   Net cash and cash equivalents, end of period	8,553	8,871	8,753	8,553	8,753
   Short-term securities, end of period	6,442	5,893	4,158	6,442	4,158
   Net cash, cash equivalents and short-term securities, end of period	14,995	14,764	12,911	14,995	12,911

   Our operating activities generate cash flows which include net premiums, net investment income, fee income, and the sale and maturity of investments. They are the principal source of funds to pay for policyholder claims and benefits, commissions, operating expenses, and the purchase of investments. Cash flows used in investing activities primarily include transactions related to associates, joint ventures and acquisitions. Cash flows provided by and used in financing activities largely reflect capital transactions including payments of dividends, the issuance and repurchase of shares, as well as the issuance and retirement of debt instruments and preferred shares.

   Q3'26 cash flows used in financing activities were higher year-over-year as the prior year included the issuance of $1 billion principal amount of Series 2025-1 Subordinated Unsecured 4.14% Fixed/Floating Debentures.

4. Quarterly Financial Results

The following table provides a summary of our results for the eight most recently completed quarters. A more complete discussion of our historical quarterly results can be found in our Interim and Annual MD&A for the relevant periods.

Quarterly results

($ millions, unless otherwise noted) Q3'26 Q2'26 Q1'26 Q4'25 Q3'25 Q2'25 Q1'25 Q4'24

(1) Represents a non-IFRS financial measure. For more details, see section N - Non-IFRS Financial Measures of this document.

Underlying net income of $1,123 million increased $108 million or 11%, driven by:

• Strong performance across Canada, reflecting business growth and favourable insurance experience, Asia, from business growth in Hong Kong, and the U.S., driven by medical stop-loss revenue growth and favourable experience in In-force Management; partially offset by

• Higher expenses reflecting top-line growth and financing costs supporting the acquisition of our remaining interests in GreenOak subsidiaries.

  Reported net income of $1,008 million increased $292 million or 41%, driven by favourable public equity market impacts, improved other market-related impacts primarily driven across Asia and Canada, and improved real estate experience; the increase in underlying net income; and a prior year impairment charge of $61 million in U.S. Dental.

  First Quarter 2026

  Underlying net income of $1,050 million increased $5 million, driven by:

• Strong performance in Asia reflecting business growth in Hong Kong, and Canada from higher fee income driven by higher AUM; mostly offset by

• Lower results in Sun Life Asset Management reflecting lower catch-up fees and net seed investment income at GreenOak, higher financing costs in Corporate supporting the acquisition of our remaining interests in GreenOak subsidiaries, and the unfavourable impacts from foreign exchange translation.

  Reported net income of $465 million decreased $463 million or 50%, driven by market-related impacts primarily reflecting unfavourable interest rate impacts, a $165 million charge from the acquisition of remaining interests in GreenOak subsidiaries, and a $145 million charge reflecting the proposed settlement of a legal matter in Canada.

  Effective January 1, 2026, we updated our underlying net income reporting view to remove business types and report on underlying net income by business group and business units, where applicable. The following commentary provides a summary of our results for the seven previously completed quarters reporting underlying net income by business type, as published in the respective period MD&A. For more details on Sun Life's business types, see section A - How We Report Our Results in the 2025 Annual MD&A.

  Fourth Quarter 2025

  Underlying net income of $1,094 million increased $129 million or 13% from prior year, driven by:

• Asset management & wealth up $48 million: Improved credit experience and fee income in Canada wealth, higher fee income, net of expenses, in MFS, and higher fee-related earnings, offset by lower net seed investment income, in GreenOak.

• Group - Health & Protection up $42 million: Improved U.S. medical stop-loss morbidity experience and business growth in Canada, partially offset by higher distribution costs in U.S. Group Benefits.

• Individual - Protection up $52 million: Business growth, favourable mortality experience and higher investment earnings in Asia, and favourable mortality experience in the U.S., partially offset by lower contributions from joint ventures in Asia.

• Corporate expenses & other $(13) million increase in net loss reflecting higher financing costs supporting the acquisition of our remaining interests in GreenOak subsidiaries.

  Reported net income of $722 million increased $485 million or 205% from prior year, driven by changes in tax-exempt investment income primarily in Corporate reflecting higher losses in the prior year, the increase in underlying net income; and the prior year impacts from an impairment charge of $186 million on an intangible asset related to bancassurance in Vietnam and a provision in U.S. Dental; partially offset by unfavourable ACMA impacts. Market-related impacts were in line with the prior year as favourable equity market impacts and improved real estate experience were offset by unfavourable other market-related and interest rate impacts.

  Third Quarter 2025

  Underlying net income of $1,047 million increased $31 million or 3%, driven by:

• Asset management & wealth up $26 million: Improved credit experience and higher fee income from higher AUM in Canada, and higher net seed investment income in GreenOak.

• Group - Health & Protection down $61 million: Unfavourable insurance experience across Group Benefits and Dental in the U.S., partially offset by business growth and favourable insurance experience in Canada.

• Individual - Protection up $72 million: Business growth and favourable mortality experience in Asia, higher contributions from our India joint venture, and higher investment earnings in Canada.

• Corporate expenses & other $(6) million increase in net loss reflecting timing of strategic investment spend.

  Reported net income of $1,106 million decreased $242 million or 18% from prior year, driven by the prior year decrease in GreenOak's estimated acquisition-related liabilities, unfavourable ACMA impacts and market-related impacts reflecting unfavourable other market-related impacts, primarily from Asia, and real estate experience, partially offset by favourable interest rate impacts, partially offset by a gain from increased ownership interest in Bowtie and the increase in underlying net income.

  Second Quarter 2025

  Underlying net income of $1,015 million increased $15 million or 2%, driven by:

• Asset management & wealth was in line with the prior year as higher fee-related earnings in GreenOak reflecting strong capital raising, and higher fee income in Asia from higher AUM, was offset by lower fee income in MFS from lower ANA, and lower investment contributions from lower yields.

• Group - Health & Protection up $21 million: Improved U.S. Dental results primarily reflecting Medicaid repricing, higher fee income and management actions, and favourable mortality experience in Canada.

• Individual - Protection down $33 million: Higher expenses in Asia primarily reflecting continued investments in the business, and unfavourable mortality experience in Canada and the U.S., partially offset by business growth in Asia.

• Corporate expenses & other $27 million decrease in net loss primarily driven by timing of strategic investment spend, and lower incentive compensation.

  Reported net income of $716 million increased $70 million or 11% from prior year, driven by a prior year restructuring charge of $108 million in Corporate and the increase in underlying net income partially offset by an impairment charge of $61 million on a customer relationship intangible asset from the early termination of a U.S. group dental contract and unfavourable other market-related impacts driven across Asia and Canada, partially offset by favourable interest rate impacts primarily from non-parallel curve changes in Canada, and improved real estate experience.

  First Quarter 2025

  Underlying net income of $1,045 million increased $170 million or 19% from prior year, driven by:

• Asset management & wealth up $79 million: Higher fee-related earnings from catch-up fees and strong performance of net seed investment income in GreenOak, and higher fee income in Canada and Asia.

• Group - Health & Protection up $50 million: Business growth and favourable protection experience in Canada primarily from morbidity and mortality experience, and higher U.S. Dental results, partially offset by moderately unfavourable morbidity experience in U.S. medical stop-loss.

• Individual - Protection up $55 million: Business growth and higher contributions from joint ventures in Asia, and improved protection experience in Canada largely from mortality experience.

• Corporate expenses & other $(14) million increase in net loss primarily reflecting lower investment income from surplus assets.

  Reported net income of $928 million increased $110 million or 13% from prior year, driven by the increase in underlying net income, market-related impacts primarily reflecting improved real estate experience and favourable interest rate impacts partially offset by unfavourable equity market impacts, and fair value changes in MFS shares owned by management, partially offset by prior year gains on partial sale of ABSLAMC and the early termination of a distribution agreement in Asset Management.

  Fourth Quarter 2024

  Underlying net income of $965 million decreased $18 million or 2%, driven by:

• Asset management & wealth up $47 million: Higher fee income in Asset Management, Canada, and Asia, partially offset by lower net investment results in Canada.

• Group - Health & Protection down $99 million: Unfavourable morbidity experience in U.S. medical stop-loss and less favourable morbidity experience in Canada, partially offset by business growth in Canada.

• Individual - Protection up $55 million: Improved protection experience in Asia and Canada and higher contributions from joint ventures in Asia.

• Corporate expenses & other $(21) million increase in net loss primarily reflecting higher expenses largely from continued investments in our Asia businesses and incentive compensation in Asia.

Reported net income of $237 million decreased $512 million or 68%, driven by lower tax-exempt investment income of $234 million in Corporate, an impairment charge of $186 million on an intangible asset related to bancassurance in Vietnam reflecting updates resulting from changes in regulatory and macro-economic factors, and a non-recurring provision in U.S. Dental, partially offset by market-related impacts primarily reflecting improved real estate experience.

Information concerning legal and regulatory matters is provided in our Annual Consolidated Financial Statements, our annual MD&A and the AIF, in each case for the year ended December 31, 2025, and in our Interim Consolidated Financial Statements for the period ended September 30, 2026.

In May 2024, the IASB issued amendments to IFRS 9 Financial Instruments and IFRS 7 Financial Instruments: Disclosures, clarifying derecognition timing for financial liabilities and allowing early derecognition via electronic payments when certain conditions are met. We have adopted this early derecognition policy. The amendments also clarify how to assess contractual cash flow features linked to ESG or similar contingent factors, and introduce new disclosure requirements for such instruments. These changes, effective January 1, 2026, are applied retrospectively without restating prior periods and did not have a material impact on our Consolidated Financial Statements.

In June 2026, the IASB issued targeted amendments to IAS 28 Investments in Associates and Joint Ventures. The amendments clarify the use and election of the fair value option for investments in associates or joint ventures. These amendments are effective, retrospectively, at the application of IFRS 18 Presentation and Disclosure in Financial Statements (annual periods beginning on or after January 1, 2027). We are currently assessing the impact these amendments will have on our Consolidated Financial Statements.

Management is responsible for establishing and maintaining adequate internal control over financial reporting to provide reasonable assurance regarding the reliability of the Company's financial reporting and the preparation of its financial statements in accordance with IFRS.

There were no changes to the Company's internal control over financial reporting during the three months ended September 30, 2026 that have materially affected, or are reasonably likely to materially affect, the Company's internal control over financial reporting.