Aviva, the British-based multinational insurance giant might be a company you have thought of investing in. It is both well known and well established. If you are asking yourself, should I buy Aviva shares, what do you need to know in order to make an informed decision?
Aviva is the sixth largest insurance firm globally and is a market leader with over 43 million customers worldwide. All such facts may Aviva shares sound very attractive. However, to help you answer the question, should I buy Aviva shares, it is important to evaluate the potential limitations of Aviva shares. Such large companies often see their share prices are affected by a greater number of factors than smaller companies. Therefore, the price activity of Aviva shares may at times be significantly volatile. If you are interested in short-term trading and looking for varying share prices to make profits from, then perhaps, you could answer ‘yes’ to the question should I buy Aviva shares. As with all potential investments, everything depends on the current market conditions. All potential investors should check out all the latest developments surrounding Aviva and any other factors that could influence share price before making a purchase.
Those seeking a long-term investment that will yield dividends could also answer ‘yes’ to the question should I buy Aviva shares. However, once again, it is worth checking what the current situation before purchasing shares. Dividends have previously by cut by as much as 27% in order to reduce debts and build up capital reserves. However, as building up capital reserves means the bank will be more stable should another economic downturn take place, you could analyse this data in different ways. Various analysts at the time agreed the cut to dividends was a wise move for the company. Depending on what type of investment you want and what you want to get from your shares depends how you should answer the question, should I buy Aviva shares.
Many traders who were asking themselves should I buy Aviva shares could have spotted opportunities in 2012. This was a year that the firm revealed it had made losses, but also had taken a lot of steps as part of recovery strategy. This meant that share prices could be found cheaper than during other periods, but the firm showed signs of a future recovery. If you are wondering, should I buy Aviva shares, it is good to spot moments where uncertainty might make the share price fall but factors in the near-future or future will see those shares be worth far more.
Aviva is a firm that has divided investors. For some, it is a source of disappointing dividends and unappealing figures. However, for others it provides an attractive investment opportunity and commendable for reducing uncertainty. If you are wondering, should I buy Aviva shares, it is worth doing your research, having discussions with your broker or online trading company and evaluating whether such an investment can meet your needs.
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