LSE:AV. (Aviva plc)
About AV.
Aviva is the largest multi-line insurance company in the United Kingdom. It was founded in 1990 following the merger of Commercial General Union and Norwich Union.
The business provides a suite of financial services covering savings, retirement, and, of course, insurance. There are four divisions within the company targeted toward both businesses and consumers.
- UK & Ireland Life – provides life, long-term health, and accident insurance as well as savings, pensions, and annuity services.
- UK & Ireland General Insurance – provides various forms of insurance to individuals as well as businesses.
- Canada General Insurance – provides a portfolio of personal and commercial insurance products.
- Aviva Investors – provides investment management services to financial institutions such as pension funds.
Overall, only half the revenue stream originates from the UK, with the rest stemming from international markets like Canada and Europe.
Frequently Asked Questions
-
Investing in large insurance businesses is often regarded as safe. The steady stream of capital from policyholders provides ample cash flow to cover liabilities while also fuelling an investment portfolio to deliver growth.
That’s arguably why the Aviva share price has a history of relative stability, making it ideal for income investors. However, the inability to correctly judge the quality of policyholders before issuing insurance can quickly start building up bad clients, potentially compromising the precious cash flow.
Investors need to consider these risks before making an investment decision.
-
Yes. Aviva shares pay a cash dividend at an average 52% payout ratio. Dividends were temporarily postponed in early 2020 but were resumed before the end of the year. The stock has two years of consecutive dividend growth.
-
Aviva shares pay out a dividend twice a year, in April and August.
-
Aviva shares are listed on the London Stock Exchange. They can be bought from any investment account that provides access to this exchange platform.
Aviva plc (LSE: AV.) Latest News
Investing Articles
Are Aviva shares a screaming buy?
Investing Articles
I’d buy 2,750 Aviva shares for £1,000 a year in passive income
Investing Articles
Which is better value, the Aviva or Legal & General share price?
Investing Articles
This top savings account pays 6.15% a year! But I’d rather buy Aviva shares
Investing Articles
How Aviva shares could make me a second income of £910!
Investing Articles
My top 3 stocks to buy before August
Investing Articles
Does the Aviva share price make it the FTSE 100’s best value buy?
Investing Articles
This dividend stock is a no-brainer to boost passive income!
Investing Articles
3 high-yield FTSE 100 shares that could be too cheap to miss!
Investing Articles
Down 17% from their March high, Aviva shares look a bargain to me
Investing Articles
Aviva shares yield 8%+. Should investors buy?