The latest Investing Matters Podcast episode featuring financial educator and author Jared Dillian has been released. Listen here.
London South East prides itself on its community spirit, and in order to keep the chat section problem free, we ask all members to follow these simple rules. In these rules, we refer to ourselves as "we", "us", "our". The user of the website is referred to as "you" and "your".
By posting on our share chat boards you are agreeing to the following:
The IP address of all posts is recorded to aid in enforcing these conditions. As a user you agree to any information you have entered being stored in a database. You agree that we have the right to remove, edit, move or close any topic or board at any time should we see fit. You agree that we have the right to remove any post without notice. You agree that we have the right to suspend your account without notice.
Please note some users may not behave properly and may post content that is misleading, untrue or offensive.
It is not possible for us to fully monitor all content all of the time but where we have actually received notice of any content that is potentially misleading, untrue, offensive, unlawful, infringes third party rights or is potentially in breach of these terms and conditions, then we will review such content, decide whether to remove it from this website and act accordingly.
Premium Members are members that have a premium subscription with London South East. You can subscribe here.
London South East does not endorse such members, and posts should not be construed as advice and represent the opinions of the authors, not those of London South East Ltd, or its affiliates.
'It is my belief that AB is preparing to jump ship'
hmmm, that doesn't tally with Mr & Mrs Blanc collectively buying £ 130,000 of Av. stock last week.
Their buying also means that there are no current discussions between Av. and potential suitors.
Yes, especially as she was made Senior Independent Board Director last Friday. Next step taking over from where Looney left off perhaps??
(He who lost £32m bucks because of undisclosed romances with colleagues-you couldn't make it up!!)
Fred I think he/she is referring to a possible take over or maybe been on the sauce all night sure he/she will let us know....
??
It is my belief that AB is preparing to jump ship, having spotted the pirates ready to grapple and board the good ship Aviva. You can't have two skippers on the bridge.
Sorry THeTrotsky-didn't intend them to be the "butt" of my humour!!!
I notice my comment about the The Thought Police removing the word I used which rhymes with "bag" has also been removed.
How pathetic can you get- a sign of the humourless times in which we live
Probably review it nearer the time especially if current volatility continues
Massey will you keep reinvesting divis at this price ?
I wish I’d bought a bit more in the past before ex dates, as the divis and entries of 400 were great really in hindsight it’s always the way
Also really happy with my buys av average 401p and lgen 206p with all divis re-invested wish I bought lots more
Quite happy with my buys. 400p, 420p, 433p. Reinvested divis , 1300 shares in total, I have £6k in lgen also , avg 215p
Great post tophat.
TheTrotsky, think he was being polite and meant For Heavens Sake !!
Great post tophat !! I've PHNX and LGEN shares as well as AV. and wish Mr Market would 'cop onto' what you've written. These material accounting adjustments - my background is in Accounts - can be quite subjective, eg the old joke about asking 10 different Accountants to complete a same company's Accounts and all arriving at a different result !!
What shareholders in banks and insurance companies need to keep in mind is that the capital position is more important than the accountancy profit and loss.
Shareholder distributions such as dividends and buybacks, together with investment in new business, are paid out of excess capital, not profits.
For insurance companies the overall Solvency II Own Funds Capital Generation (OCG), Surplus and Cover Ratio are important. These are basically how much capital was generated, the surplus over the regulatory minimum capital required and the ratio of the surplus to the minimum. Slide 42 of the results presentation gives a good summary of the Capital position for Aviva.
Many things such as goodwill and fair value of own funds can make a big difference to the profit/loss figure but have absolutely no impact on the capital. As has been pointed out the change from IFRS4 to IFRS17 resulted in a loss for the restated 2022 accounts. However the capital position remained exactly the same. The change has no impact on capital which is what should be important to shareholders.
Quite right too Warthog4. How can you possibly refer to packet of cigarettes in such a derogatory manner! Cigarettes have feelings too you know ;-)
FHS? Did you mean FFS?
Been buying Pheonix for a rinse and repeat might be pushing my luck nice divi.
Thanks for the replies re IFRS, appreciated.
I see my comment has been censored by the ill-informed thought police at LSE. I used the word f.a.g. (without the punctuation), meaning of course the slang for cigarette.
What did they think I meant FHS?
“Can't she a cookery class, take up hill walking, or spend time with grandkids”
Amanda will have a middle aged white male to do all those menial tasks…Surely .!
Thedetector, considering Blanc's high level job with its high remuneration and all its responsibilities and pressures, I don't feel she should be allowed to do this extra work. Why does she need to do it anyway ? Can't she a cookery class, take up hill walking, or spend time with grandkids, etc...if her Aviva role doesn't excite her enough ?!!
thanks meconopsis-it did occur to me that in view of the apparent blatant discrepancies i might be oversimplifying the calculations and your knowledge of the ifrs has helped to dispel any reservations i may have had.
as a chap who used to do his finances on the back of a *** packet it's all a bit of a revelation i can tell you (joking)- a long time ago i had to read balance sheets as part of my job but now the accounting profession has gone on an ego trip by making annual accounts as complicated as possible, and aiding financial obfuscation big time, i wouldn't stand a chance!
What's this news about whitey Amanda and BP.
She seems to be very popular .She could get poached.
Personally, I think IFRS is a complete disaster. When your KPI's are always "adjusted" it tells you volumes about what the finance professionals and markets think about IFRS. As Meconpsis has already pointed out, a direct comparison between AV's 2023 results and their restated 2022 results with their 2021 and prior years results is nye of impossible (without those figures being restated too). Having said that, I think there are some positives for insurers (from the investors' perspective); under the previous accounting regime insurers used to fairly dissmissive of using mark-to-market valuations but I think the pendulum has now swung too far in the opposite direction (there is certainly some merit in the insurers' argurment that where they are intending to hold gilts and bonds to marturity, market price fluctuations in between are fairly irrelevant).
It seems wherever you look these days, IFRS is leaving investors and professionals scratching their heads and becoming increasingly reliant on alternative performance measures that often aren't audited! When a figure in the accounts isn't self-evident, and needs detailed explanation, alarms bells should be ringing loud and clear that IFRS is not fit for purpose and that rather than making accounts easier to understand it's often actually making them a lot more difficult to understand.
“… do you broadly think the IFRS standards are helpful / an improvement?”
They are helpful for what they are intended for. But not useful as management accounts.
One problem for investors is that they have made EPS and dividend cover numbers almost meaningless. If you look at at the restated 2022 numbers for Aviva you’ll see they made a “loss” - despite being operationally profitable.