NATIXIS -2020 Universal Registration Document

PRESENTATION OF NATIXIS Natixis’ businesses

Insurance division’s operating environment Launched at the end of 2017, the division’s strategic plan, New Dimension2018-2020, aimed to cement Natixis Assurances’position as a front-running insurer in France, by delivering a differentiated customer experience and top-flight operating performances. The new plan now spans the property & casualty arm’s entire value chain with the creation of a single management platform run by Natixis Assurances to better serve the Banque Populaire banks and the Caisse d’Epargne banks (the Innove#2020 project). Over the last few years, the Insurance division has been operating in unprecedented market conditions: macroeconomic and financial shifts have resulted in the implementationof monetary policies with significant impacts on life insurance policies for retirement savings, and, to a lesser extent, for the non-life insurance business. In particular, historically low interest rates, which are the main source of revenue for life insurance players, have led to significant changes in product and investment strategies: life insurance products were aimed to improve the sharing of V outcomes among the various stakeholders in order to ensure balance between sustainable business competitiveness and solvency protection in the medium term. Similarly, the Personal Insurance business line has responded to the sharp decline in market interest rates by lowering the revaluations incorporated into its policies. This has allowed it to accumulate a significant profit-sharing reserve representing over two years of revalued outstandings at the end of 2020. This reserve could be used as a significant cushion to supplement “policy” revaluationover the next eight years; a variety of commercial initiatives targeted at end-customers and V the business provider networks, aimed at increasing the share of inflows and assets invested in unit-linked products; the steady decline in returns from traditional fixed-rate assets has V led to a number of changes in asset management policy: the diversification of fixed-income investments towards private V debt, the gradual reallocation of the equity bucket towards V recurring-dividend shares, development of a bucket for unlisted investments in Private V Equity and real assets. In addition, the insurance business is monitored via prudential and regulatory oversight, a process that has seen significancthanges: since 2016, the Solvency II Directive has led to a change in the V organization, operating methods and the minimum solvency assessment system required by the activities developed. In the current environment of historically low interest rates, this change constitutes a major challenge. The division prepared for this challenge by modifying its governance and risk management processes; similarly, regulations have come into force in the insurance sector V (PRIIPS, IDD, GDPR, easier termination of payment protection insurance), all of which are likely to lead to changes to products and operating procedures; forthermore, the coming into force of IFRS 9 and IFRS 17 will V require the Insurance division to adapt its financial and technical oversight; Natixis Assurances is continuing its preparatorywork for the application of these standards expected as of January 1, 2023.

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Lastly, the rapid developmentof digital technologyand its application in the development of new methods of distribution and customer interaction is a source of opportunities that the Insurance division is closely monitoring.Accordingly, it has pursued a policy aimed at: digitize its management processes: the business intends to V continue the digitization and automation of low value-added processes, in order to position itself among the most efficient players in terms of management costs in relation to outstandings. In life and health insurance, a multi-site, multi-brand customer relationship model was rolled out in 2018, with identical organization, tools and customer relationship processes for Banque Populaire and Caisse d’Epargne. A platform for managing estates was also created; adapting subscription processes to incorporate new digital tools V and customer behaviors. A significant share of non-life subscriptions is already carried out and formalized remotely using an electronic signature. Steps have been taken to preempt rapid development in these approaches; continuing to scale down administrativemanagement activities in V favor of in-branch transactions using applications installed on workstations and customer-initiated transactions through the self-care options gradually being rolled out for many products and management operations; continue to adapt information systems with a view to operational V efficiency and enhanced quality of service: the transformationand digitization process for claims management at BPCE Assurances (Purple#Care project) resulted in the completion of the rollout of the new claims management IT system at the end of June 2020. Finally, plans to modernize Natixis Life’s IT system, with a view to speedingup growth in the business line, increasingprofitabilityand operating performance through process digitization and automation, and improving risk control, were put into action in 2018 and rolled out in 2020; outsourcing low-value-added operations to address variations in V business activity or to process specific operations for which adequate in-houseskills or expertise is not immediately available; implementing a single operating model for non-life insurance V across all Groupe BPCE networks. Project #Pop’Timiz, aimed at pooling non-life middle- and back-office activities for the Banque Populaire and Caisse d’Epargne banks, was successfully finalized. The Innove#2020program, in which BPCE Assurance is to become the sole non-life insurance platform for Banque Populaire and Caisse d’Epargne retail customers and the BPCE IARD the dedicated platform for professionalsof both the Caisse d’Epargne and Banque Populaire networks, was successfully rolled out in 2020 with positive production momentum for the new Auto and MRH offerings in Banque Populaire banks and the new MRH offering in Caisses d’Epargnebanks. Now all Banque Populaireand Caisse d’Epargne banks benefit from the work carried out under the program: newly-designed experiences, new offerings, new information system. Natixis Assurances’ strategy for these two business lines is therefore to develop a sustainable level of business activity, by maintainingthe right balance between price competitivenessand the preservationof fundamental technical parameters.

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NATIXIS UNIVERSAL REGISTRATION DOCUMENT 2020