Banking, finance, and taxes

Uncle Sam Should Unload More AIG Shares

American International Group, Inc. (NYSE: AIG) has managed to hold up exceptionally well since its last secondary offering held by the U.S. Treasury.  We said it at the time of the offering that the market reaction was strong enough that the taxpayers could have sold more shares than what was sold. Could another share sale come sooner than expected?

The $5.75 billion offering was the best of the three government offerings if you consider how the market treated the sale.  Taxpayers (or the Treasury) saw their percentage of ownership go down from about 61% down to about 53% on this last offering.  After this offering, Uncle Sam has sold roughly 784 million common shares in AIG and it has received back some $23.3 billion since May of 2011.

CEO Robert Benmosche has proven to be a very capable leader for AIG.  In fact, that makes him the taxpayer’s champion because the taxpayers are selling shares at a profit.  What helped drive the gains in the shares was that AIG was actually buying shares directly to retire them.

The official sale was for 164 million shares and the price went off at $30.50 per share.  Shares had closed at $31.34 the session before, but a 2.5% gain on Tuesday now has the stock up 2.6% at $33.97 so far today.

If the market will endorse it with this much enthusiasm, maybe Uncle Sam should too.

JON C. OGG

100 Million Americans Are Missing This Crucial Retirement Tool

The thought of burdening your family with a financial disaster is most Americans’ nightmare. However, recent studies show that over 100 million Americans still don’t have proper life insurance in the event they pass away.

Life insurance can bring peace of mind – ensuring your loved ones are safeguarded against unforeseen expenses and debts. With premiums often lower than expected and a variety of plans tailored to different life stages and health conditions, securing a policy is more accessible than ever.

A quick, no-obligation quote can provide valuable insight into what’s available and what might best suit your family’s needs. Life insurance is a simple step you can take today to help secure peace of mind for your loved ones tomorrow.

Click here to learn how to get a quote in just a few minutes.

Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.

AI Portfolio

Discover Our Top AI Stocks

Our expert who first called NVIDIA in 2009 is predicting 2025 will see a historic AI breakthrough.

You can follow him investing $500,000 of his own money on our top AI stocks for free.