Company: AEGOF
Filing Date: 2025-05-16
Form Type: 6-K
Source: 0001193125-25-121236
Chunk: 65

Company: AEGON LTD.
Filing Date: 2025-05-16
Form: 6-K
Chunk 65
---
) and EUR 610 million (2023: EUR 538 million) respectively, as reported in the Solvency balance sheet. The calculation of deferred tax follows the provisions of International Accounting Standard 12 Income Taxes. DTA and DTL are recognized on the basis of the temporary differences between the carrying amounts of the assets and liabilities in the economic balance sheet and the tax balance sheet value according to local tax regulations. A deferred tax asset or liability is calculated based on these temporary differences at the current corporate tax rate. Tax losses carried forward are recognized as deferred tax assets if their future benefit is probable. Regulations do not require discounting of deferred tax assets and liabilities. Derivatives Derivatives are presented at fair value based on market prices when available. Fair values for exchange-traded derivatives, principally futures and certain options, are based on quoted market prices in active markets. When market prices are not available, other valuation techniques, such as option pricing or stochastic modelling, are applied. The valuation techniques incorporate all factors that market participants would consider, and are based on observable market data to the extent possible. Models are validated before they are used and calibrated to ensure that outputs reflect actual experience and comparable market prices. Aegon normally mitigates counterparty default risk in derivative contracts by entering into collateral agreements where practical, and into ISDA master netting agreements for each of the Group’s legal entities to facilitate Aegon’s right to offset credit exposure. Changes in the fair value of derivatives attributable to changes in counterparty credit risk were not significant in 2024.

| 49 |     | | Aegon Financial Condition Report 2024 |

| Solvency valuation  Any other material information |

Payables A fair value approach is prescribed, excluding the effect of changes in Aegon’s own credit spread after initial recognition. Subordinated liabilities A fair value approach is prescribed, excluding the effect of changes in Aegon’s own credit spread after initial recognition. Other A fair value approach is prescribed, excluding the effect of changes in Aegon’s credit spread since initial recognition. D.5 Any other material information There is no other material information to report.

| 50 |     | | Aegon Financial Condition Report 2024 |

| Capital management |

E. Capital management Following the change in legal seat to Bermuda in September 2023, Aegon Ltd. is now regulated by the BMA. Aegon’s group solvency ratio and surplus under the Bermuda Solvency framework