All figures in Canadian dollars unless otherwise stated.
1 The full year 2021 results values have been rounded. For values to the nearest million, see section C - Financial Summary in our 2021 Annual Management’s Discussion and Analysis (“MD&A”).
2 Represents a non-IFRS financial measure. For additional information, see section L – Non-IFRS Financial Measures in our 2021 Annual MD&A.
3 Value of new business represents the present value of our best estimate of future distributable earnings, net of the cost of capital, from new business contracts written in a particular time period, except new business in our Asset management pillar. Value of new business was restated back to 2018, reflecting a change in the timing of recognition of U.S. group policies sold or renewed with an effective date of January 1, which will recognize Value of new business for these policies in the prior year rather than the first quarter, to align with the timing of U.S. renewals and reported insurance sales.
4 Although considered reasonable, we may not be able to achieve our medium-term financial objectives as our assumptions may prove to be inaccurate. Accordingly, our actual results could differ materially from our medium-term financial objectives as described on the slide. Our medium-term financial objectives do not constitute guidance. Our medium-term financial objectives are forward-looking non-IFRS financial measures and additional information is provided in section O - Forward-looking Statements - Medium-Term Financial Objectives in our 2021 Annual MD&A.
5 Underlying EPS growth is calculated using a compound annual growth rate. Underlying ROE and underlying dividend payout ratio are calculated using an average.
6 Underlying dividend payout ratio represents the ratio of common shareholders' dividends to diluted underlying EPS. See section I - Capital and Liquidity Management - 3 - Shareholder Dividends in our 2021 Annual MD&A for further information regarding dividends.