Mike Ward

Sullivan said the priority is building on PGIM's credit strength, then higher-growth areas like infrastructure equity and private equity, globalizing the platform beyond the ~25% of business currently sourced outside the US, and growing retail organically via ETFs.

Sullivan expressed confidence in Japan, a 40-year franchise where POJ was historically ~40% of Japan sales, citing resilient earnings, a broad product portfolio, expanded yen-based and retirement offerings selling well in other channels, and society's desire for Prudential to succeed.

Del Frias explained Japan cash flows follow statutory not GAAP, so $1B GAAP impact does not flow through. Once sales resume, LP subsidy ends and offsets new-business capital, limiting long-term impact.

Sullivan explained LTD incidence driven by large employer layoffs affecting white-collar book. Also cited lower claim resolutions in the quarter. Emphasized century of cycle experience.

Andy separated economic effects (FX/rates, directionally similar to 2025) from misconduct perception effects (new in 2026). Rising rates positive for yen product demand. Government incentivizing citizens to take investment risk. Surrender estimates informed by post-press release observations.

Yanela confirmed no expected liquidity impact, Japan portfolio majority in JGBs. Surrender financial impact roughly $30M (20% of $150-180M). Andy noted cessation impact is small relative to 40-year in-force blocks.

Yanela confirmed capital allocation unchanged: balancing financial strength, business investment, and shareholder distributions. ESR was planned for and doesn't alter dividend capacity or cash flows.

Yanela explained LRT is fee-based with lower capital requirements while PRT is spread-based with both longevity and asset risk. Both consistent with targeted returns. Mortality/longevity natural offset maintained. Andy cited $300B Netherlands DB-to-DC reform opportunity.

Caroline confirmed growth across all products with record Q4 sales of $325M, up 60% YoY. Seeing flight to quality across industry.

Deanna declined to comment on the report; Kamal described Korea as an attractive investing and retirement market.

Deanna said the M&A bar is unchanged, organic growth is primary, and Beam is the type of deal they would pursue.

Kamal said PFG plays data centers as a real estate equity investor in small/mid deals, avoiding riskier private credit.

Amy framed sustainability of underwriting and premium growth into H2 rather than giving a precise normalized figure.

Amy confirmed small Alabama dental network acquisition including renewal rights for group benefits block was not in Q1 results. Benefits from new business, cross-sales and network optimization will start showing up in Q2 and beyond. Deanna noted good to lean into small inorganic opportunities for growth.

Chris supported privates in retirement plans citing decades of real estate experience. DOL safe harbor creates complexity around performance, fees, liquidity and valuation. Client conference with 50 largest clients showed questions and interest but no rush to adopt. Expects introduction through target date and managed account vehicles first.

Kamal noted flight to conservative credit managers benefiting Principal. Increased activity in high yield, preferred, and infrastructure debt.

Joel confirmed $700M-$1B buyback guidance intact, active Q2 program in place. $200M executed in Q1. 1-cent dividend increase reflecting 9% trailing growth.

Max Broden said there has been no significant lapse uptick from inflation or rates, with the persistency decline driven mainly by product-launch-related lapse and reissue that should normalize.

Dan Amos reiterated Aflac is always looking but focused on turning around existing programs, weighing deals against distribution fit and disciplined guidelines.

Max reiterated IRR-driven capital deployment framework with organic growth as top priority. Buybacks will continue where they offer good returns.

Charles Lake emphasized deep US-Japan economic relationship with Japan as largest US investor, strong alliance, and booming inbound tourism showing no anti-American impact.

Yoshizumi confirmed Tsumitasu is a hook product for third sector cross-selling. Max added there is no sales cap and the product gets very good profitability on IRR basis post-reinsurance.