AIG's Next Step in Preparing for Regulator Scrutiny

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Last October, American International Group and some other large companies were notified that they would be evaluated by the Fed to see if their operations fit the "systemically important financial institution" designation. In the past month, AIG was headed to the third stage of evaluation. As a means to begin monitoring large companies that derive much of their revenue from financial services, the SIFI designation is one that many companies would like to avoid.

But AIG has begun to prepare itself for the designation, if it comes, and taking steps to assure its investors that it can handle the heavier monitoring. In the video below, Motley Fool contributor Jessica Alling talks about the designation, what effects it might have on the companies, and what AIG is doing in order to prepare itself.

At the end of last year, AIG was the favorite stock among hedge fund managers. Have they identified the next big multi-bagger, or are the risks facing the insurance giant still too great? In The Motley Fool's premium report on AIG, Financials Bureau Chief Matt Koppenheffer breaks down the key issues that you need to know about if you want to successfully invest in this stock. Simply click here now to claim your copy, and you'll also receive a full year of key updates and expert analysis as news continues to develop.

The article AIG's Next Step in Preparing for Regulator Scrutiny originally appeared on

Fool contributor Jessica Alling has no position in any stocks mentioned -- you can contact her here. The Motley Fool recommends American International Group. The Motley Fool owns shares of American International Group and has the following options: Long Jan 2014 $25 Calls on American International Group. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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