Investor and Analyst briefing on Wealth Business

Aviva PLC

17 October 2023

 

17 October 2023

Aviva plc investor and analyst briefing on wealth business

Aviva plc ("Aviva" or the "Group") is today hosting an 'In Focus' investor and analyst briefing on its wealth business. The event, which commences at 10:00am (GMT), will be hosted by Amanda Blanc, Group CEO, and presented by Doug Brown, CEO, Insurance, Wealth & Retirement, and Michele Golunska, MD Wealth & Advice. 

Wealth is central to Aviva's strategy and plays a critical role in the Group. The wealth market presents significant opportunities for Aviva to generate sustainable, capital-light growth with an ambition to reach at least £250bn in assets and at least £280m in operating profit per annum in five years' time.

·    The UK wealth market is set to nearly triple to £4.3tn¹ in the next ten years, with double-digit annual growth.

·    Aviva is extremely well positioned to capitalise on this trend. Aviva is already a market leader in wealth by assets and flows, with the number one position in workplace and a leading adviser platform business.

·    Aviva's wealth business has a large and growing existing customer base, with 5m customers and which has grown by nearly 1m over the last three years. This provides a major opportunity to deepen customer relationships, grow Aviva's leading retirement businesses and generate additional flows to Aviva Investors.

·    Aviva is expanding its advice and direct wealth capabilities to take full advantage of the significant opportunities both within its unrivalled UK customer base of 15.5m, of whom 6m are mass-affluent, and the open market.

Presentation arrangements

Today's presentation and analyst Q&A will be live-streamed on www.aviva.com, and a recording will be made available on the website shortly after the event. Analysts are invited to attend in person. Presentation slides will be released on Aviva's website shortly before the event.

¹ Aviva analysis of market sources including Broadridge UK DC Navigator, Fundscape, Platforum, HMRC and Company reports.

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Enquiries:

Analysts & investors:                                                                                                        

Rupert Taylor Rea                                                                                          [phone]

Michael O'Hara                                                                                                                [phone]

Media:

Andrew Reid                                                                                                     [phone]

Sarah Swailes                                                                                                    [phone]

Marion Fischer                                                                                                 [phone]

Notes to editors:

·    We are one of the UK's leading Insurance, Wealth & Retirement businesses and we operate in the UK, Ireland and Canada. We also have international investments in India, China and Singapore.

·    We help our 18.7 million customers make the most out of life, plan for the future, and have the confidence that if things go wrong we'll be there to put it right.

·    We have been taking care of people for more than 325 years, in line with our purpose of being 'with you today, for a better tomorrow'. In 2022, we paid £23.2 billion in claims and benefits to our customers.

·    Aviva is a market leader in sustainability. In 2021, we announced our ambition to become Net Zero by 2040, the first major insurance company in the world to do so. This plan means Net Zero carbon emissions from our investments by 2040; setting out a clear pathway to get there with a cut of 25% in the carbon intensity of our investments by 2025 and of 60% by 2030; and Net Zero carbon emissions from our own operations and supply chain by 2030. Find out more about our climate goals at www.aviva.com/climate-goals and our sustainability ambition and action at www.aviva.com/sustainability

·    Aviva is a Living Wage and Living Hours employer and provides market-leading benefits for our people, including flexible working, paid carers leave and equal parental leave. Find out more at www.aviva.com/about-us/our-people

·    As at 30 June 2023, total Group assets under management at Aviva Group were £358 billion and our estimated Solvency II shareholder capital surplus as at 30 June 2023 was £7.8 billion. Our shares are listed on the London Stock Exchange and we are a member of the FTSE 100 index.

·    For more details on what we do, our business and how we help our customers, visit www.aviva.com/about-us

·    The Aviva newsroom at www.aviva.com/newsroom includes links to our spokespeople images, podcasts, research reports and our news release archive. Sign up to get the latest news from Aviva by email.

·    You can follow us on:

o  Twitter: www.twitter.com/avivaplc/  

o  LinkedIn: www.linkedin.com/company/aviva-plc 

o  Instagram: www.instagram.com/avivaplc

·    For the latest corporate films from around our business, subscribe to our YouTube channel: www.youtube.com/user/aviva 

Cautionary statements

This document should be read in conjunction with the documents distributed by Aviva plc (the 'Company' or 'Aviva') through The Regulatory News Service (RNS). This announcement contains, and we may make other verbal or written 'forward-looking statements' with respect to certain of Aviva's plans and current goals and expectations relating to future financial condition, performance, results, strategic initiatives and objectives (including, without limitation, climate-related plans and goals). Statements containing the words 'believes', 'intends', 'expects', 'projects', 'plans', 'will', 'seeks', 'aims', 'may', 'could', 'outlook', 'likely', 'target', 'goal', 'guidance', 'trends', 'future', 'estimates', 'potential', 'objective', 'predicts', 'ambition' and 'anticipates', and words of similar meaning, are forward-looking. By their nature, all forward-looking statements involve risk and uncertainty. Accordingly, there are or will be important factors that could cause actual results to differ materially from those indicated in these statements. Aviva believes factors that could cause actual results to differ materially from those indicated in forward-looking statements in the announcement include, but are not limited to: the impact of ongoing uncertain conditions in the global financial markets and the national and international political and economic situation generally (including those arising from the Russia-Ukraine and Israel-Palestine conflicts and uncertainty over the US Debt Ceiling); market developments and government actions; the effect of credit spread volatility on the net unrealised value of the investment portfolio; the effect of losses due to defaults by counterparties, including potential sovereign debt defaults or restructurings, on the value of our investments; the impact of changes in short or long-term interest rates and inflation reduce the value or yield of our investment portfolio and impact our asset and liability matching; the impact of changes in equity or property prices on our investment portfolio; fluctuations in currency exchange rates; the effect of market fluctuations on the value of options and guarantees embedded in some of our life insurance products and the value of the assets backing their reserves; the amount of allowances and impairments taken on our investments; the effect of adverse capital and credit market conditions on our ability to meet liquidity needs and our access to capital; changes in, or restrictions on, our ability to initiate capital management initiatives; changes in or inaccuracy of assumptions in pricing and reserving for insurance business (particularly with regard to mortality and morbidity trends, lapse rates and policy renewal rates), longevity and endowments; a cyclical downturn of the insurance industry; the impact of natural and man-made catastrophic events (including the longer-term impact of COVID-19) on our business activities and results of operations; the transitional, litigation and physical risks associated with climate change; failure to understand and respond effectively to the risks associated with environmental, social or governance ('ESG') factors; our reliance on information and technology and third-party service providers for our operations and systems; the impact of the Group's risk mitigation strategies proving less effective than anticipated, including the inability of reinsurers to meet obligations or unavailability of reinsurance coverage; poor investment performance of the Group's asset management business; the withdrawal by customers at short notice of assets under the Group's management; failure to manage risks in operating securities lending of Group and third-party client assets; increased competition in the UK and in other countries where we have significant operations; regulatory approval of changes to the Group's internal model for calculation of regulatory capital under the UK's version of Solvency II rules; the impact of recognising an impairment of our goodwill or intangibles with indefinite lives; changes in valuation methodologies, estimates and assumptions used in the valuation of investment securities; the effect of legal proceedings and regulatory investigations; the impact of operational risks, including inadequate or failed internal and external processes, systems and human error or from external events and malicious acts (including cyber attack and theft, loss or misuse of customer data); risks associated with arrangements with third parties, including joint ventures; our reliance on third-party distribution channels to deliver our products; funding risks associated with our participation in defined benefit staff pension schemes; the failure to attract or retain the necessary key personnel, including quality financial advisers; the effect of systems errors or regulatory changes on the calculation of unit prices or deduction of charges for our unit-linked products that may require retrospective compensation to our customers; the effect of simplifying our operating structure and activities; the effect of a decline in any of our ratings by rating agencies on our standing among customers, broker-dealers, agents, wholesalers and other distributors of our products and services; changes to our brand and reputation; changes in tax laws and interpretation of existing tax laws in jurisdictions where we conduct business; changes to International Financial Reporting Standards relevant to insurance companies and their interpretation ; the inability to protect our intellectual property; the effect of undisclosed liabilities, separation issues and other risks associated with our business disposals; and other uncertainties, such as diversion of management attention and other resources, relating to future acquisitions, combinations or disposals within relevant industries; the policies, decisions and actions of government or regulatory authorities in the UK, the EU, the US, Canada or elsewhere, including changes to and the implementation of key legislation and regulation (for example, FCA Consumer Duty and Solvency II). Please see Aviva's most recent Annual Report and Accounts for further details of risks, uncertainties and other factors relevant to the business and its securities. The information in this document is unaudited.

Aviva undertakes no obligation to update the forward looking statements in this announcement or any other forward-looking statements we may make. Forward-looking statements in this report are current only as of the date on which such statements are made.

This report has been prepared for, and only for, the members of the Company, as a body, and no other persons. The Company, its directors, employees, agents or advisers do not accept or assume responsibility to any other person to who this document is shown or into whose hands it may come, and any such responsibility or liability is expressly disclaimed

 

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