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
Can the beaten-down Aviva share price ever reach £7 again?
Investing Articles
2 ultra-high-yield FTSE 100 stocks to consider for a SIPP
Investing Articles
3 top value FTSE 100 shares to consider buying right now
Investing Articles
How can I earn a £500 monthly passive income by investing in UK stocks?
Investing Articles
2 high-yield second income ideas for 2024
Investing Articles
A bull market is coming! Will the Aviva share price rocket?
Investing Articles
When will the Aviva share price hit £5?
Investing Articles
7 stocks that Fools have been buying!
Investing Articles
2 high-quality FTSE 100 shares I’d buy hand over fist for reliable passive income
Investing Articles
With the Aviva share price over £4, should investors consider buying?
Investing Articles
£0 in an ISA? Here’s how I’d aim to turn it into a second income of £500 per month
