Current 2023 Understanding the changes Strategic • Represents an index • No change (20%) • Continues to measure focus of measures used to progress against our five track performance strategic priorities against our ESG commitments and our five strategic priorities: Accelerate Growth, Digital Customer Leader, Portfolio Optimization, Expense Efficiency, and High Performing Team. Includes quantifiable goals, subject to a qualitative overlay, that are established at the beginning of the year and approved by the management resources and compensation committee (20%) Changes to the 2023 performance criteria for our PSU plan For 2023, we have updated our PSU plan to reflect the transition to IFRS 17. We adjusted the book value per share metric to also include the after-tax total CSM per share. We believe CSM is an important financial measure for shareholders to focus on because it represents a store of potential future profits, is treated as available capital under the LICAT regulatory capital regime, will measure of our ability to write profitable insurance sales, and is a key component of two of our externally disclosed medium-term growth targets. Current 2023 Understanding the changes Measures • Book value per share • Book value per share • Redefining book value per excluding AOCI (50%) (excluding share metric to be more • Core return on equity translation of foreign meaningful under IFRS 17. (50%) operations) plus Including after-tax total CSM • Relative TSR modifier after-tax total CSM (contractual service margin (+/-20% compared to (contractual service balance), as it is a Manulife’s margin balance) per fundamental concept of IFRS performance peer share (50%) 17 and represents the group) • Corereturnonequity unearned profits we expect to (50%) amortize into earnings. We • Relative TSR modifier exclude translation of foreign (+/-20% compared operations because currency to Manulife’s impacts can be volatile and performance peer distort results group) 46 Manulife Financial Corporation