Aviva Investors has reported a 202% increase in net flows for 2025 compared with the previous year, driven by strong sales in fixed income and private market funds.
This comes as the wider Aviva group announced it has delivered on its 2026 targets a year early with group operating profit jumping 25% to £2.2bn.
Group CEO Amanda Blanc remarked on the business’ “fifth consecutive year of strong, profitable growth”.
“We have achieved our 2026 financial targets one year early, highlighting the rapid and sustained progress we are making.
“Results have been excellent right across Aviva.”
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At Aviva Investors, described as a “core enabler of growth for the group” in the results statement, the 202% net flows increase meant flows were recorded at £2.4bn for 2025, a reversal of the £2.3bn outflows seen in 2024.
The investment arm saw £8.2bn in internal net flows, and £900m in external net flows, but this was offset by £6.1bn outflows of legacy assets – this involved transfers from the Direct Line business.
The primary driver of external net inflows was fixed income and private market funds – in 2024 it was announced Fraser Lundie has been hired from Federated Hermes as global head of fixed income.
Assets under management (AUM) stood at £262bn, compared with £238bn the previous year, while Aviva Investors also reported an increase in operating profits of 18% up to £47bn.
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Looking again the wider group’s stats, Aviva’s IFRS return on equity climbed to 17.5%, up from 15.7% the previous year, and cash remittances were up 4% to £2.1bn.
Dividends have been hiked to 26.2p per share. Share buybacks of £350m were also announced to reflect the higher share count.
Blanc added: “We have transformed Aviva over the last five years and whilst we have made significant progress, there is so much more to come. Aviva has many in-built advantages which set us up well for future success, including our unrivalled scale with almost 22 million UK customers, our diversified model and market-leading technology.
“We have clear strengths in artificial intelligence which are creating major opportunities to transform claims, underwriting and customer experience. We are in a very strong position to deliver long-term growth, especially in the capital-light markets of wealth and insurance, and unlock even more benefits for our customers and shareholders.”
Aviva shares were down 3.4% in early morning trading to trade at 644.80p.
See also: Aviva Investors outflows ease on multi-asset boost
