Financial investments involve an element of risk. For further information, please see the risk warning section.

Managing €24 billion* in Alternative Income, Aviva Investors can deliver a broad range of tailored alternative income solutions to meet each client’s specific objectives and requirements.

They offer a pick-up in yield over traditional credit without significantly increasing risk. This makes them particularly attractive for long-term investors such as pension schemes and insurance companies. The higher yield is to compensate for the illiquid and often complex nature of these investments.

* Source: Aviva Investors as at 30 September 2015

Our Alternative Income Solutions platform offers a multi-strategy approach that harnesses our expertise across a wide range of asset classes.

These assets can complement any traditional fixed income mandate or integrate into a wider liability-aware strategy.

Benefits

With alternative income solutions, investors benefit from:

  • Strength and scale of Aviva plc by co-investing with one of the UK’s largest insurance companies enabling access to opportunities that might otherwise not be unavailable.
  • Access to our in-house expertise in an exceptionally wide range of alternative asset classes.
  • Extensive history of investing for pension and insurance markets means uniquely qualified to understand both the assets involved and the liabilities.
  • Understand importance of providing ongoing world-class service in the form of reporting, operational and legal support.

Why an alternative income strategy?

Some of the reasons to consider an alternative income strategy:

  • A range of alternative income streams.
  • Provides sustainable cash flows against pension liabilities.
  • A risk profile comparable to traditional corporate bond investments.
  • Diversifies counterparty risk away from traditional senior unsecured corporate bonds.
  • Typically employs covenants and collateral to contain losses in the event of default.
  • An enhanced yield compensates for the complexity and illiquidity of the assets.
  • Co-invest alongside Aviva Investors.

Aviva Investors also has an alternative income solutions platform allowing for a multi-strategy approach. It is one of our core business strengths and is populated with many assets due to well-established origination and deal pipelines.

Alternative assets available on the platform

  • Long-lease real estate
  • Real estate debt financing
  • Infrastructure assets
  • Social housing
  • Ground rents
  • Whole loans
  • Securitisations
  • Government-guaranteed loans
  • SME loans
  • Trade finance
  • Negative basis packages
  • Corporate private placements
  • Collateralised loan obligations (CLOs)
  • Private equity financing
  • Forward bonds