Insurance giant Aegon booked a 2% drop in net profit in the second quarter of this year due to ‘higher equity markets, increased equity market volatility and rising interest rates’.

Net profit reached €243m but the underlying result showed a 7% increase to €478m, the company said in a statement.

Turnover rose 23% to €2bn, driven in part by a 21% rise in new life insurance products. In particular, pension sales were up in the Netherlands and Britain, Aegon said.

In the statement, Aegon said it is on schedule to reach its 2015 target of annual underlying profit growth of 7% to 10% a year and is also looking at ways to boost profitability.