AIG has done the heavy lifting and sold off non-core assets. They have stabilized and fixed problems. Management has spent much distracted time stick handling the sales. Now AIG can go back to work at what they know best insurance.
New management is better focused on organic growth rather than a quick growth at any cost acquisition mentality.
AIG does have a superior brand reputation in the insurance business. They will now be able to leverage reputation into value and wealth generating operations.
AIG has been on the sick list for a long time. Many investors steered clear. Many institutions did not want it listed as a holding for fear of embarrassment. This will dissipate and the buy and hold mentality will dominate.
<strong>George Gutowski writes from a caveat emptor perspective.