"Who saw the financial Apocalypse coming? Cramer said his sources did, and that's why he started pounding the table and sounding the alarm in August, 2007. Cramer said he tries to bring both his experience and sources to "Mad Money" each night, in an effort to couch viewers into becoming the best investors possible.
He said that while many on Wall Street were blinded by misleading financials, dishonest executives and a faulty buy-and-hold manta, his sources were right on the money.
"We did see it coming," said Cramer, who replayed a clip from July 8, 2008 where he warned of large-scale bank collapses.
Since that show, Citigroup (C Quote - Cramer on C - Stock Picks) fell 83%, Bank Of America (BAC Quote - Cramer on BAC - Stock Picks) fell 70%, Fannie Mae (FNM Quote - Cramer on FNM - Stock Picks) and Freddie Mac (FRE Quote - Cramer on FRE - Stock Picks) both lost 96%.
Cramer also cited his "stress index," which was started on Aug. 3, 2007, as another example of his foresight. The index of banks, insurers and home builders, which started at 100, is now down 95.5% since its inception.
So what are Cramer's sources telling him now? He said the same ones who were sounding the alarm in 2007 are now scrambling to get back into the markets."
Remember the C and BAC share prices reflects the back bone of financial and insurance market. To make it simpler if C and BAC recover from this turmoil, AIG do so as well. AIG also has been above the 20 and 50 Day moving averages for the first time cosecutively since September of 2008.
btw, Government will not allow AIG to fail. AIG failure means global economy collaps. AIG has 74,000,000 police holders. AIG insures indivisuals as well as big firms such as major airloines, pensio funds, mutual funds, DOW JONES Industrial avg., 401K's and much more... Failure of AIG will effect 15,000 major Co.'s (all these statistics are facts) and USA ans well as US government cannot afford to fail AIG; other wise U.S. will certainly go to depression.
At the end, BUY as much as AIG shares as you can right now and try to hold them lnog time for a better future.