Aviva Share Discussion Threads

[chinese investor] 09/4/2020 14:53

80p to 350p (my break even price) !

[spcecks] 09/4/2020 13:38

I think Aviva did the right thing to postpone the dividend when I think about it now.

[pooroldboy55] 09/4/2020 13:34

Also increased holding yesterday at 243p a bargain.

[pepi moon] 09/4/2020 11:49

Thanks - good luck all.

[spcecks] 09/4/2020 11:47

Pepsi moon Welcome aboard.

[pepi moon] 09/4/2020 11:45

I joined the AV share holders club - today.

My first buy in years.

[spcecks] 09/4/2020 10:53

whatsup32 Nothing wrong with that if you need the money....I hold four insurance shares Av.Lgen Phnx and Sla which i intend to keep for the long term.

[whatsup32] 09/4/2020 10:32

Sold 5% of my holding in Aviva (in leu of dividends). Not sure if it was the right decision but wanted a few quid in my back pocket.

Virus is bad but cure may be more painful

[wba1] 09/4/2020 09:41

cjac39; the fsa had other issues. I still recall the first visit of a new supervising director (we were a pure general insurer with a heavy motor book) and having to explain to her the absolute basics of motor insurance (including how the broker channel operated). She had come from a mortgage background with no GI experience whatsoever. :)
But I stick with my view that L&G are less exposed to the PR problem than Aviva. When this is all over I fully expect this episode to give the activist funds new impetus (which may be good for us as shareholders).

[cjac39] 09/4/2020 09:27

yes wba but its a different world now. ive been down to canary wharf when it was fsa and argued with them and you used to be able to get somewhere. nowadays they do not accept reason and have totally dispensed with consumer outcomes. any chance of a company not meeting its scr has to be completely removed so as to protect the reputation of the regulator over any other outcome. they are impossible to deal with, entirely operating behind closed doors and incredibly unreasonable. the old world pillar2 capital or ica used to be about right. the scr is now about double that and this feeds directly into annuity pricing as now insurers have to make 12% return on twice capital. this is why the pru no longer writes uk annuities. partly its a solvency2 issue but mainly its the pra interpretation and gold plating of solvency2 particularly with respect to internal models.

so my own 2p worth and i know a few folks at av is this is predominantly the stupid pra covering itself politically. mind you its also a deferral not a cancellation so economically im not that fussed as a shareholder.

[wba1] 09/4/2020 08:59

cjac39;
I take your point about how these decisions are made (and have previously when you made it)but it is not as black and white as you imply. L&G were in a similar position and resisted the political pressure and, as I have mentioned before, L&G have a history of being prepared to look at the facts rather than the politicians wishes, having taken the FSA to court (and won) with the recently departed David Prosser corralling his neds. Even in this crisis they are not alone, with Sabre having announced an increased divi (although passing the special divi). Admittedly not even the most incompetent and demented PRA functionary could object in the case of Sabre with over 200% solvency and a book which benefits from the crisis. I do not rule out that L&G may yet do an about turn, but if they do they can present it for what it is - a political instruction. That would not be a PR disaster because the shareholders will have seen they tried their best for them. The PR disaster is a board that are seen to have not even tried and to have misled their shareholders with their prior statements whilst engaging in share dealing which, at the very least, smells bad.

[gateside] 09/4/2020 08:58

Isn't hindsight wonderful!At least AV. is up today

[p0pper] 09/4/2020 08:38

Linton5, same here, stuck with av and lgen, why did I not buy shell at £9

[linton5] 09/4/2020 08:35

Sea of blue everywhere I'm see companies come up 100% unbelievable gutted not getting into gog at 550 now 1250 that was amazing bargain but I stuck to aviva what a plonker

[whatsup32] 09/4/2020 08:09

Seems a decent start to the day. Positive market and Aviva. Tomorrow is good Friday .
If we get over this weekend without shocks , it could be we start recovering from here on.

[uppompeii] 09/4/2020 08:07

Thanks Linton, I'm guessing they must have been 99% buys after the clear and prudent message from the board and the self sacrifice they are making by holding their shares and cancelling bonuses?

[yf23_1] 09/4/2020 07:58

furlong policy ??

Like flogging a dead horse in the final furlong ?

[gary1966] 09/4/2020 07:53

I think the unreported substantial sales by the directors didn’t help the cause here.

[linton5] 09/4/2020 07:52

Yesterday was the 2nd biggest volume day for aviva in 25 years just thought I'd give you guys some useless info 🍒good morning from fife

[2wild] 08/4/2020 22:44

Don't blame management, they can't help being gready, inept destroyers of capital. Amazingly only 2 posts on the RSA thread today. Probably due to a more sensible statement.

[chambersiain] 08/4/2020 22:23

Spud I'd agree if the PRA had told insurers to flush cash down toilet or set fire to it. Rather they are saying hold it until after the sh!t storm has settled, then distribute it. I think it's a good call but mainly because it gives those insurers who listened their own insurance policy of the furlong seem. My bet is that most Aviva staff are paid below £30K so they will benefit should it be required.

[salver2] 08/4/2020 22:20

Nicely put Cjac- at least they didn’t do a Barclays where 2 days before the dividend of 6 p a share they pulled it - not only did they shaft me for my 6 grand dividend they shafted me for another 10 grand as the market took 10 percent off the price - they effectively went down sixteen percent

[spud] 08/4/2020 22:17

All I'll say is that the PRA has well and truly opened Pandora's Box. spud

[cjac39] 08/4/2020 21:48

Everyone is saying it’s mgmt fault but that’s just not how these regulated companies work. Management are excluded as a minority from the boards and it’s the ned’s and the chairman that carry all board level decisions. The ned’s aren’t paid that much (relatively) and have full maximum regulatory downside. Therefore unless the PRA agree something the ned’s will kill it. The PRA is infested with derrière covering civil servants who will do everything they can to extract more capital from regulated entities even if it means great customer harm. Their mandate to balance customer outcomes with prudence in regulation has gone to the wall with conservative people that are so political they can never have any blame levelled at them. This in a microcosm is the aviva dividend deferral. So lay up on mgmt.

[chambersiain] 08/4/2020 21:43

I wouldn't blame the management here, they are only adhering with directive from regulators, who for whatever reason want to follow liquidity requirements of the banks, bearing in mind Insurers aren't looking at lending out their cash. I think L&G may have caused a PR disaster, unlike the bunch that deferred their divis today. positive move, cash in company should they need it and access to furlong scheme - smart move boys and the market liked it after it like we all did consumed the initial reservation