Some FTSE 100 shares appear like unmissable alternatives to me. Two picks I’ve obtained my eye on are Related British Meals (LSE: ABF) and Aviva (LSE: AV.).

Right here’s why I’d love to purchase some shares in each picks after I subsequent have some money to take a position.

Meals and clothes

Related British Meals – higher often called ABF – is probably finest recognized for manufacturing of in style meals manufacturers, in addition to sugar. Many individuals don’t know that it’s the proprietor of the favored Primark model too.

From a bearish view, I’m cautious that retail companies face important challenges. These embody inflation, which may take a chunk out of earnings, and these similar earnings underpin returns. Moreover, the altering face of retail linked to the e-commerce increase could also be trickier to navigate for extra established corporations like ABF, so competitors is one thing I’m cautious of.

Nonetheless, the professionals outweigh the cons by far, should you ask me. Firstly, I reckon ABF’s meals enterprise gives it defensive traits, as everybody must eat. Plus, it’s constructed up a wonderful repute via high quality, and that is proven via constant efficiency which exhibits model energy.

Subsequent, I’m notably buoyed by Primark’s progress so far, in addition to future prospects. The fast-fashion trade continues to develop, and Primark appears to be the chief of the motion. Continued enlargement domestically and globally may catapult earnings and returns to a different stage.

Lastly, the shares look nice worth for cash on a price-to-earnings development (PEG) ratio of simply 0.4. Any worth underneath one is often thought-about undervalued. Plus, a dividend yield of shut to three% is enticing. Though dividends are by no means assured, I can see this fee of return rising.

Insurance coverage and wealth administration

In some circumstances, I reckon shopping for shares within the largest and finest corporations of their respective industries is a no brainer. That is much more so when the basics look good too. Aviva ticks all these bins for me.

I’ll begin with the truth that a large presence, wonderful efficiency observe report, in addition to shareholder return coverage in years passed by is to not be sniffed at. Plus, the enterprise has not too long ago undergone a mini-transformation to make it leaner and extra worthwhile.

As a part of that transformation, the enterprise is seeking to hold up with the instances to make sure it’s one step forward of its opponents. A fantastic instance of that is utilizing synthetic intelligence (AI) to course of claims, as a part of its wider digitization overhaul.

Plus, I see future earnings and returns rising too. A giant a part of that is Aviva’s dominant market share within the life insurance coverage and wealth administration companies. Because the UK inhabitants is ageing, many people proceed to plan our retirement years. Aviva can capitalise on this pattern.

Nonetheless, there are dangers concerned that might harm the enterprise. From a shorter-term view, financial volatility means customers are battling with increased important payments similar to mortgages, power, and meals inflation. This might have an effect on new enterprise, total earnings, and even probably returns.

Talking of returns, I feel a mammoth dividend yield of seven.1% is just too enticing to disregard to assist me construct wealth via dividends.