We have three strong businesses

Each of our Ongoing Businesses — Retirement Solutions, Investment Management and Insurance Solutions — improved their return on capital in 2014 compared with 2013 and 2012. This was accomplished through focused execution on more than 30 initiatives to make better use of capital, improve margins and accelerate growth. Whether through our value-added retirement readiness offerings in Retirement, broadened product portfolio and distribution in Annuities, strong performance in Investment Management, rebalanced mix of new business in Individual Life or our expanding Employee Benefits business, we are finding and taking advantage of ways to both improve the value of our businesses as well as help our 13 million customers become retirement ready.

We are effectively managing the Closed Block Variable Annuity segment

In 2014, we once again supported our primary goal of protecting regulatory and rating agency capital in the Closed Block Variable Annuity (CBVA) segment. In addition, we began an initiative to outsource the actuarial valuation, modeling and hedging functions for the CBVA segment to Milliman, Inc. to create a more streamlined framework and more variable cost structure for this run-off block. At the same time, Voya Financial is retaining full accountability for assumptions and methodologies, as well as the setting of hedge objectives and execution of hedge positions. In 2014, we also provided customers with increased flexibility and income by offering certain policyholders the option to receive additional guaranteed income and to annuitize their contracts prior to the end of the 10-year waiting period. We saw encouraging results as roughly 13% of the account value eligible for the offer elected to participate. This was a unique approach to reducing the size of the CBVA segment — one that was good for our customers, our shareholders and Voya Financial.

We have great people and a focus on doing what’s right

As a new kind of financial company, our employees have been a driving force behind what we have achieved not just in the office, but outside of it as well. Last year, Voya Financial employees raised more than $4.6 million for over 5,000 charitable organizations through our annual employee giving campaign. In addition, last May, I joined over 3,000 of our employees as we volunteered close to 9,000 hours of community service in our first-ever Voya Financial National Day of Service. The day was tremendous, it was inspirational and it demonstrated the genuine commitment of our people to corporate social responsibility. Recently, Voya Financial was once again recognized by the Ethisphere Institute as one of the World’s Most Ethical Companies. We first received this honor in 2014 and it’s a great endorsement of our company, our employees and our values.

We have a new culture

All of the achievements I have mentioned would not have been possible without the cultural transformation that we have driven over the past several years. Our new culture has been key to our improved financial performance. It also is the driver behind our Continuous Improvement efforts, a methodology that draws on the knowledge and experience of our front-line employees and managers, involving everyone in optimizing quality, efficiency and problem solving. As of the end of 2014, roughly 30% of our employees had been through a Continuous Improvement initiative and we expect this to increase to 45% by the end of 2015.

We have made great progress as an independent company

In 2014, ING Group reduced its ownership stake in Voya Financial from 57% at the beginning of the year to 19% in November. Following this, we reached a significant milestone in Voya Financial’s progress when ING Group sold its remaining 19% stake on March 9, 2015. As a result of ING Group’s reduced ownership stake in 2014, John Boers, Patrick Flynn, Dick Harryvan, Henny Koemans and Wilfred Nagel, who had each been designated by ING Group to serve on Voya Financial’s board, stepped down. I’m very grateful for the support and guidance they provided as members of our board. At the same time, I was very pleased to welcome Lynne Biggar, Jane Chwick and Debbie Wright to the board. Each of them — along with existing board members Barry Griswell, Fred Hubbell and David Zwiener — has a distinguished and unique background that I know will be extremely valuable as we pursue the next phase of our evolution.

As fulfilling as it has been to achieve all that we have, I and the entire management team at Voya Financial continue to challenge ourselves — every day. We are focused on building our momentum and raising the bar to drive further value improvement. In February 2015, we announced our new Adjusted ROE² targets of 13% to 14% by year-end 2018. To achieve this, we will continue to drive improvement in each of our businesses. We also plan to strategically invest $300 to $350 million over the next four years to develop next generation customer experiences and solutions. These investments are designed to drive ROE expansion, increase free cash flow and accelerate earnings growth. At our Investor Day meeting on June 2, 2015, we will provide more detail on our plans, which I look forward to sharing with you.

For those who have been a part of Voya Financial’s transformation over the past several years, you know our journey has been one filled with excitement, challenges, opportunities and value creation. Key to our approach has been the belief that transparency is crucial in our discussions with all of our stakeholders. That philosophy endures and, as we move forward, I’m confident that you will continue to see tangible evidence of our values, our energy and our commitment to results. Most important, you will see us changing the way you think of retirement.

Thank you for your support and for your confidence in Voya Financial.

Sincerely,

Rodney O. Martin, Jr.

Chairman of the Board and Chief Executive Officer
Voya Financial, Inc.

March 17, 2015

1 Ongoing Business Adjusted Operating Return on Equity is a non-GAAP financial measure. For more information, see “Non-GAAP Measures.”
2 Excludes expenses associated with investments in new ROE expansion plan.
3 Estimated combined risk-based capital ratio primarily for Voya Financial's four principal U.S. insurance subsidiaries.