|Bid||52.74 x 1000|
|Ask||54.45 x 800|
|Day's Range||53.63 - 54.73|
|52 Week Range||36.16 - 56.36|
|Beta (3Y Monthly)||1.10|
|PE Ratio (TTM)||N/A|
|Forward Dividend & Yield||1.28 (2.39%)|
|1y Target Est||N/A|
LONDON/NEW YORK, June 24 (Reuters) - Rivals to Lloyd's of London are riding a rising tide of marine insurance rates, leaving the 330-year-old market behind after it jettisoned sections of its oldest line of business last year. Premiums for marine insurance, which until 2018 had fallen for years due to rising competition and lower claims, are increasing after a surge in catastrophe losses in the past two years and growing geopolitical tensions.. For Lloyd's, still reeling from two years of losses due to the heavy claims from natural disasters, it will still take 12-24 months before the segment returns to profit, Chief Executive John Neal told Reuters in New York last week.
(Bloomberg) -- Want the lowdown on European markets? In your inbox before the open, every day. Sign up here.Two former American International Group Inc. employees won awards totaling about $10 million after French judges chastised the insurance giant for trying to avoid paying bonuses they’d already earned to help cover for losses during the financial crisis amid a wave of criticism over executive pay.The Paris court of appeals in March ordered the insurer to pay bonuses worth more than 2 million euros ($2.2 million) to Marc Alperovitch, a former managing director at AIG Management France SA. The AIG unit had no right to withhold the payments, the judges said in a previously unreported decision. That mirrors a ruling last year awarding 6.7 million euros to Amos Benaroch, who had also been a managing director at the unit.“It wasn’t allowed to reduce a bonus amount that had already been vested in order to make Alperovitch bear the bank’s losses,” the judges said in their ruling.The insurer’s insistence that employees share the pain from huge losses has also been rejected by a British judge in a separate court battle in London, where a group of 23 ex-AIG staff members are claiming $100 million in withheld bonuses. It’s one of the last great payday disputes stemming from the financial crisis, and a court is expected to rule next week whether AIG can re-argue some points before determining how much the group should get in damages.French AppealsAn AIG spokesman declined to comment on both the U.K. and French cases. The insurance firm has appealed both of the French rulings at the nation’s top court, the Cour de Cassation.Benaroch, who was fired in 2010, was awarded more than 1 million euros by the Paris employment tribunal in extra severance pay. That initial award was confirmed by the appellate court and adds to the bonus payout.In both French lawsuits, the Cour de Cassation judges will only focus on whether national law was properly interpreted. The top court has already reviewed the Alperovitch case in 2017, leading to its re-examination by lower judges and the March ruling. AIG will therefore have to bring up entirely new defense arguments to have a chance of overturning the award.Benaroch’s lawyer, Marie-Alice Jourde, and Guillaume Affri, an attorney for Alperovitch, declined to comment on the rulings.Billions in BailoutThe AIG rescue began on Sept. 16, 2008, the day after Lehman Brothers Holdings Inc. filed for bankruptcy. The Federal Reserve Bank of New York agreed to provide an $85 billion credit line, to expire within two years, in exchange for an equity stake of almost 80 percent.Its initial bailout failed to stabilize the company and was revised at least three times to give AIG more capital and additional time to repay. In March 2009, the insurer reported a record loss of more than $60 billion as mortgage-backed securities slumped. The same day, the Treasury boosted its support, pushing the rescue to $182.3 billion.Around that time, AIG disclosures on staff bonuses worth hundreds of millions of dollars created a furor in the U.S.Then-President Barack Obama blamed the company’s financial distress on “recklessness and greed” and said bonus payments to traders at the money-losing AIG Financial Products unit were an “outrage.”Edward Liddy, AIG’s chief executive officer at the time, told the government he would cut bonuses designed to keep employees from leaving the firm but added that while he found them “distasteful,” some payments couldn’t be stopped because they’re binding contracts.In the British case, the 23 taking the New York-based company to court have emphasized that none of them “were responsible for those parts of AIG’s CDO, CDS or mortgage-securities businesses which led to the bailout.”The judge previously ruled that the deferred compensation program called for “the restoration of payments.” AIG is separately appealing that decision, arguing that it didn’t have to pay the traders while the unit, AIG Financial Products, was still losing money.(Updates with AIG appeal of British case in final paragraph.)To contact the reporters on this story: Gaspard Sebag in Paris at firstname.lastname@example.org;Jonathan Browning in London at email@example.comTo contact the editors responsible for this story: Anthony Aarons at firstname.lastname@example.org, Christopher ElserFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
Riding high on strategic divestitures, buyouts and cost-cutting efforts, American International (AIG) holds potential to reap benefits for investors.
The Zacks Analyst Blog Highlights: Arconic, Roper Technologies, American International, Martin Marietta Materials and PulteGroup
More than years after the subprime meltdown, Goldman Sachs is a robust multi-billion-dollar company instead of a historical footnote. Here's why.
Lloyd's of London Ltd is meeting with major U.S. insurers about driving more business through its global insurance market, Chief Executive Officer John Neal said on Wednesday. The 330-year-old insurance market, which launched its most recent modernization effort in May, will meet with American International Group Inc on Thursday, and later with Chubb Ltd about potential opportunities for selling more of their insurance products through Lloyd's, Neal told Reuters. Neal, who took charge of Lloyd's in late 2018, is trying to drag Lloyd's into the 21st century, following combined losses of $3.9 billion over the last two years.
American International Group Inc NYSE:AIGView full report here! Summary * Perception of the company's creditworthiness is positive * ETFs holding this stock are seeing positive inflows * Bearish sentiment is low * Economic output for the sector is expanding but at a slower rate Bearish sentimentShort interest | PositiveShort interest is low for AIG with fewer than 5% of shares on loan. The last change in the short interest score occurred more than 1 month ago and implies that there has been little change in sentiment among investors who seek to profit from falling equity prices. Money flowETF/Index ownership | PositiveETF activity is positive. Over the last month, ETFs holding AIG are favorable, with net inflows of $8.71 billion. Additionally, the rate of inflows is increasing. Economic sentimentPMI by IHS Markit | NegativeAccording to the latest IHS Markit Purchasing Managers' Index (PMI) data, output in the Financials sector is rising. The rate of growth is weak relative to the trend shown over the past year, however, and is easing. Credit worthinessCredit default swap | PositiveThe current level displays a positive indicator. AIG credit default swap spreads are near the lowest level of the last one year and indicate improvement in the market's perception of the company's credit worthiness.Please send all inquiries related to the report to email@example.com.Charts and report PDFs will only be available for 30 days after publishing.This document has been produced for information purposes only and is not to be relied upon or as construed as investment advice. To the fullest extent permitted by law, IHS Markit disclaims any responsibility or liability, whether in contract, tort (including, without limitation, negligence), equity or otherwise, for any loss or damage arising from any reliance on or the use of this material in any way. Please view the full legal disclaimer and methodology information on pages 2-3 of the full report.
Every fund investor would like to see the manager of the actively managed funds that they own beat the market every year, but they've been left wanting for well over a decade. The lack of consistent outperformance on the part of large-cap active managers (the main contributors to the Ultimate Stock-Pickers concept) has been well documented by the S&P Indices Versus Active Funds (SPIVA) U.S. Scorecard. While five-year results have been poor for active management, there are some recent bright spots, particularly in large-cap value.
Radian Group (RDN) raised the size of the senior notes offering to $450 million from $350 million announced earlier and priced the same at a coupon rate of 4.875% per year.
Investors seeking financial stocks that can outperform amid the market's crosscurrents in 2019 might consider eight financial services companies in industries such as exchanges, property insurance, alternative asset management, and mortgages. While banks are currently rebounding in the latest rally, their profits are likely to be pressured by an inverted yield curve that will squeeze earnings.
The Zacks Analyst Blog Highlights: American International, Arconic, Hasbro, Illumina and Jefferies
Bigger M&A deals tend to lead to more insurance claims, data from AIG showed on Wednesday. M&A insurance, also known as warranty and indemnity cover, has been a booming market over the past few years, as buyers and sellers seek protection against the chance that problems arise after the deal closes. The main causes of claims on this type of insurance are problems with financial statements, tax, and compliance with laws.
Is American International Group Inc (NYSE:AIG) a good stock to buy right now? We at Insider Monkey like to examine what billionaires and hedge funds think of a company before doing days of research on it. Given their 2 and 20 payment structure, hedge funds have more incentives and resources than the average investor. The […]
(Bloomberg Opinion) -- Don’t let the rise of passive investing obscure the fundamental advantages of diversification. In our Masters in Business interview, Sharon French explains why active and passive approaches can complement each other in a portfolio.French will soon take the reins at American International Group Inc.’s life and retirement funds business, which manages more than $85 billion in assets. In her last job, she was director of beta solutions at Invesco Advisers Inc.'s Oppenheimer Funds, and ran the environmental, social and government effort there as well. Her approach is to use exchange-traded funds to create a portfolio that is anchored in low-cost, passive indexes. But at the same time, it employs other approaches ranging from fundamental weighted to quantitative analytics. This style diversification should lead to more balanced volatility and better risk-adjusted returns.French has spent the better part of her career on the ETF side, focusing primarily on enhanced indexes, which cover a full spectrum of noncapitalization-weighted indexes. She also worked at BlackRock Inc. as the head of private client and institutional sales.She is president of the Global Governance Committee for Women in ETFs and a member of the Investment Company Institute’s ETF governance committee.Her favorite books are here; a transcript of our conversation is here.You can stream/download the full conversation, including the podcast extras on Apple iTunes, Bloomberg, Overcast and Stitcher. All of our earlier podcasts on your favorite host sites can be found here.Next week we speak with Jonathan Stein, co-founder and chief executive officer of robo-adviser Betterment LLC,To contact the author of this story: Barry Ritholtz at firstname.lastname@example.orgTo contact the editor responsible for this story: James Greiff at email@example.comThis column does not necessarily reflect the opinion of the editorial board or Bloomberg LP and its owners.Barry Ritholtz is a Bloomberg Opinion columnist. He founded Ritholtz Wealth Management and was chief executive and director of equity research at FusionIQ, a quantitative research firm. He is the author of “Bailout Nation.”For more articles like this, please visit us at bloomberg.com/opinion©2019 Bloomberg L.P.
Here we take a look at whether MET or AIG is better poised in the multi-line insurance industry, which is benefiting from rate increase, business diversification and product innovation.