Interested in buying Aviva stocks and shares? The British-based multinational insurance company is certainly worth looking at. But before you take the plunge it’s important to ensure you’re equipped to make a sound investment. Read on and we’ll help you get the skills and knowledge you need to do just that.
Buy Aviva stocks right now
Ready to invest in shares of Aviva? Click on the links below to choose which online broker best fits your needs. Our helpful guides will show you the best investment choices, and give you a fuller understanding of how they work.
Trade Aviva stocks right now
Long-term investing not for you? You can trade shares in Aviva instead, aiming for shorter-term profits by buying and selling in a limited amount of time. We’ve reviewed some of the best low-fee online brokers that are ideal for higher-volume trading.
How to buy Aviva stocks in 7 simple steps
Mastering how to buy shares of Aviva and make a big return takes hard work and patience. You’ll need to research the stock, then choose the investment method you want to use.
Often people start buying shares online with small amounts of capital. As you gain experience, you might choose to raise the amount of money you’re willing to risk, and perhaps even venture into more complex forms of investments. Here’s a quick checklist to follow as you consider investing in Aviva shares.
- Know the company. What is Aviva? What are the company’s origins? What’s led to its growth? Is the company’s revenue and profit growth accelerating, or decelerating? The more you know about the company, the better equipped you’ll be to make intelligent investment decisions when deciding whether or not to buy shares.
- Learn the basics. You should know all the terms that go with buying stocks. These include bid price, ask price, and more. A solid basic understanding also requires familiarity with the different ways you can invest in a stock, such as share-dealing, trading, and more.
- Share-dealing vs Trading. Share-dealing is a form of investing that involves buying shares of a company. There are two ways you can make money from share-dealing. You can sell your shares at a higher price than when you bought them, or you can make money from dividends, assuming it’s a company that issues dividends. Trading is a shorter-term approach to investing – often buying and selling shares in a company on the same day (known as day trading). If you day-trade shares of Aviva, you’re more concerned with reading the stock’s chart than you are with forecasting the company’s long-term future.
- Set a budget. When you first start investing in stocks, it’s a good idea to wade in with a smaller budget, say, around £1000. Aviva currently trades above £400 a share, so you can buy a couple of shares with that amount. As your experience grows, you can start to get more aggressive.
- Choose a broker. There are many different online brokers you can use to buy and sell shares of Aviva. That includes plenty of brokers that won’t charge much to trade. Find a broker that combines an easy-to-use platform with low fees and a strong reputation.
- Evaluate market conditions. When the stock market rises for a long period of time (a “bull” market), most stocks will rise; when the stock market falls for a long period of time (a “bear” market), most stocks will fall. Follow the broader market trend, rather than trying to fight it.
- Make your first investment. You’ve learned all about how Aviva operates, and the basics of stock investing. You’ve figured out your budget, found a broker you like, and ensured that the market is working in your favor. Log onto your online brokerage account, type in Aviva’s ticker symbol (AV), make sure the price Aviva is trading at isn’t too steep for your liking, then hit Buy. Within seconds, you’ll be the proud owner of Aviva shares.
Ways to invest in Aviva – share-dealing vs trading
There are a few options to buy, sell, and trade shares of Aviva online, depending on your preferred investing strategy. Here are some options:
Share-dealing is a form of investing that entails buying shares of a company. It’s typically meant to signify a longer-term approach than trading shares for a quick profit.
- Pros: You won’t need to master the art of technical analysis; if Aviva starts rising, holding for a longer period of time could result in an impressive profit.
- Cons: You tie up your money for a longer period of time, instead of having it free to make multiple transactions; if Aviva moves into a downtrend right after you buy its stock, it could be difficult emotionally to sit through a major correction.
A CFD is a contract for difference. CFDs are investment derivatives that let you speculate on the price movement of a given asset (for example, forex, commodities, or shares of Aviva) without actually owning that particular asset (in this case, shares of Aviva).
- Pros: With a CFD, you only need to deposit a percentage of the total trade value, with the broker providing the rest (this is called leveraged trading); since you’re trading with leverage, if shares of Aviva rise, you make a bigger profit than you would if you only ventured your own money.
- Cons: Just as leveraged trading ups the size of your gain if Aviva’s stock goes up, it also raises the size of your loss if the stock goes down; if you leave a leveraged CFD position open for more than a day, you’ll pay overnight fees; while CFD trading can make sense in lieu of having to own and store, say, gold bars or piles of currency, it makes less sense for trading stocks, since you lose the voting rights and potential dividends that can come with owning actual shares.
The more you know, the better equipped you’ll be to buy or trade shares of Aviva. Read our guides and courses to get up to speed. However, if you’re ready to give it a go, click on the above links.
How to buy, sell and trade Aviva shares for beginners
Are you considering buying shares for the first time, and want Aviva to be your first buy? Here are some basics you need to know:
Buying shares is recommended for investors who want to hold their shares for longer periods of time. The process usually involves an online broker.. Log onto your online brokerage account, type in the ticker symbol of the stock you want to purchase, click Buy, and within a couple of seconds you will own those shares.
When you decide to sell your shares you’ll ideally want to do so at a higher price than the sum you paid for them, thus earning yourself a profit. You might decide to hold for as long as possible, hoping to realise the biggest profit possible. On the other hand, if you see that your Aviva shares are already up a lot on the price you bought them at and the broader stock market is starting to tumble, it might make sense to sell and take your profits.
You can trade shares either through conventional transactions, or by using a CFD broker. If you opt for the latter, make sure you understand the risks that come with leveraged trading and the extra fees that CFD brokers charge.
Our top tips for investing in shares of Aviva
You now have a broad overview of how to invest in shares of Aviva. Here are some additional points to remember.
- Be sure about your budget. Make sure the amount you invest doesn’t exceed your means. You don’t want to end up in debt from trying your hand at investing.
- Choose the right approach. Make sure the investment strategy you’re pursuing fits your investment goals, and your level of risk tolerance.
- Stick to a logical investing plan, rather than reacting to emotions. If you follow a sound plan, you’ll be more likely to find success. Falling victim to emotions such as fear and greed can ruin your results.
- If market conditions change, have a plan for how to react. When financial markets rise or fall, you don’t need to get dragged along for the ride. Make decisions while keeping prevailing market conditions in mind.
- Learn from your mistakes. You could easily make a mistake when buying shares of Aviva, whether you’re a beginner or an expert investor. Take the time to go over your mistakes. Figure out what went wrong, and which different approaches you can take to fare better. That way, you can apply those lessons in the future, and hopefully produce better results.
Unsure which platforms to use?
Wondering where to go from here? Here’s a list of considerations to help you decide how to proceed:
- Budget size. If you have a budget of £1,000, you might want to limit the number of trades you make, starting simply by just buying a couple of shares, with an eye toward potential profit when you sell. Conversely, if you have a larger budget (say, greater than £10,000), you have a larger number of logical options to work with, including day-trading, CFD trading, and other approaches.
- Risk assessment. The more you know, the better equipped you’ll be to understand and deal with risk. If you take the time to learn, more complex investing options could make sense for you. For instance, you can choose to sell shares of Aviva short. When you sell shares of a stock short, you’re betting that their price will go down, not up. If you don’t feel you’re ready for that level of complexity, you can always try to protect your investment. For instance, if you buy shares in Aviva at £430 per share, you can put in a stop-loss order at £397 per share. That means that if the stock starts falling, you won’t lose more than 10% on your investment.
- Market conditions. Say stocks have tumbled into a declining market. At that point, more defensive investment strategies such as bonds or commodities (as opposed to growth stocks like Aviva) tend to make sense. On the flip side, if the stock market is performing well, you can take advantage by snapping up shares in Aviva or any other stock that might entice you.
- Know your investing goals. If you’re trying to make money quickly, learn the ins and outs of faster-moving investments such as day-trading Aviva. If your timeframe is more like 20 years, you can simply buy shares, and trust that the strength of the company will last.
- Keep track of emerging trends. Technology is always evolving, and with it comes exciting new investment opportunities. To succeed over the long haul, Aviva will need to adapt to those changing trends, or risk getting lapped by competitors.
What is Aviva?
Based in London, Aviva is a multinational insurance company with 33 million customers in 16 countries. Aviva is the largest insurer in the UK, the second-largest in Canada, and has progressively gained market share in China and in Southeast Asia. For more information on the company, including charts, live prices, analysis, and more, visit our Aviva stock price page.
Try some of our stock market courses for beginners
Still not feeling ready? We get it. Start here, learning stock investment fundamentals via our easy-to-understand educational courses. Learning all about stock investing will help you feel secure and ready to take the plunge by buying shares of Aviva.