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
£13,000 stashed away? Here’s how I’d use it to target a £3,106-a-month passive income
Investing Articles
Could Aviva shares reach £5.84 in the next 12 months?
Investing Articles
3 reasons why Aviva’s share price still looks like a brilliant bargain to me!
Investing For Beginners
My Aviva share price prediction for the second half of 2024
Dividend Shares
Legal & General vs Aviva: which is the best share to buy today?
Investing Articles
Are Aviva shares a screaming buy right now?
Investing Articles
Nearing 500p, is the Aviva share price still cheap? Here’s what the charts say!
Investing Articles
7.1% yield! Would I be silly not to buy cheap Aviva shares?
Investing Articles
£15,000 in savings? 3 FTSE shares I’d buy to create lasting passive income
Investing Articles
The Aviva dividend yield is 7%. I think it could reach 8% — or even 9%!
Investing Articles
10 stocks that Fools have been buying!