Operating result
The operating result increased by € 39 million to € 78 million, driven by the addition of Aegon Nederland (mainly the mortgage business).
Assets under Management
Total AuM for third parties increased by € 0.8 billion to € 29.3 billion (2022: € 28.5 billion). This increase reflects the addition of AuM from the Aegon Nederland businesses (mainly pension DC), positive revaluations and net inflows in the other portfolios. This was partly offset by the (yet to be transferred) third-party AuM that is part of the transaction with Aegon Ltd. (€ 11.7 billion).
The real estate portfolio managed for third-parties increased by € 0.2 billion to € 2.6 billion (2022: € 2.4 billion), driven by new participants in the real estate funds (primarily in the ASR Dutch Farmland Fund), which was partly offset by negative revaluations (mainly in the ASR Dutch Core Residential Fund and non-a.s.r. real estate investment funds).
Mortgage origination
Mortgage origination increased by € 0.8 billion to € 6.1 billion (2022: € 5.3 billion), mainly driven by the addition of Aegon Nederland (€ 3.0 billion). a.s.r.'s own (label) mortgage origination showed a decrease of € 2.2 billion compared to 2022 due to declining appetite for mortgages as a result of rising mortgage rates. The combined market share at the end of 2023 was approximately 11% and stable compared to 2022. The assets under administration of the combined mortgage business amounted to € 88.3 billion as at 31 December 2023.
The quality of the mortgage portfolio remains very strong. Payments in arrears (>three months) amounted to less than 0.07% for the combined mortgage portfolios. Credit losses on mortgages were below 0.04 bps.
Operating expenses
Operating expenses increased to € 172 million (2022: € 107 million), mainly as a result of the higher cost base related to Aegon Nederland. The increase was also driven by higher personnel costs (including the acquisition of a real estate consultancy company in 2022) and higher license costs (inflation and expansion of license services).
Result before tax
The IFRS result before tax increased to € 92 million (2022: € 38 million), mainly as a result of the increased operating result. In addition, this increase was driven by a net positive impact from incidentals related to the Aegon transaction and the exchange of investment portfolios.