Why AIG Is the Biggest Position in My Portfolio

AIG (NYSE: AIG  ) has had an interesting (to say the least) run during the past 10 years, but the future looks surprisingly bright. The stock is the largest position in my personal portfolio. In this segment of The Motley Fool's financials-focused show, Where the Money Is, David Hanson and I discuss AIG's path to recovery and why the coming years are important.

Since the financial crisis and subsequent government bailout, AIG has divested non-core and unprofitable businesses to streamline its operations and strengthen its balance sheet. Although CEO Robert Benmosche isn't going to stick around forever, AIG has multiple executives waiting in the wings to fill Benmosche's big shoes. 

While the operating business continues to be encouraging, the reason AIG's stock is so compelling today is its cheaper valuation multiple, which has potential to creep higher as more investors gain confidence in the once-trouble insurance giant.

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