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American International Group (AIG) has entered a new partnership with CVC that reshapes how AIG handles parts of its investment book, particularly legacy private equity holdings and future credit allocations.

Under the arrangement, AIG plans to contribute up to US$1.5b from its existing private equity portfolio into CVC’s private equity secondaries evergreen platform, becoming a cornerstone investor and providing immediate scale for that strategy.

Alongside this, AIG intends to allocate up to US$2b to separately managed accounts and funds run by CVC, with an initial US$1b expected to be deployed through 2026 into diversified private and liquid credit strategies.

For shareholders, the announcement is mainly about how AIG structures and sources returns from its investment portfolio, and how it aims to handle regulatory and capital efficiency considerations while managing risk across different asset classes.

See our latest analysis for American International Group.

AIG’s new arrangement with CVC lands at a time when the share price, now at US$73.79, shows mixed momentum, with a 1 day share price return of 2.03% but a 30 day share price return decline of 14.67%, and a 1 year total shareholder return decline of 0.97% versus a much stronger 121.01% total shareholder return over five years, hinting that recent weakness contrasts with longer term compounding.

If this shift in AIG’s investment mix has you thinking about where else capital might work harder, it could be worth scanning fast growing stocks with high insider ownership as a way to spot other ideas.

So with AIG trading at US$73.79, showing recent share price weakness but a much stronger five year total return and an apparent intrinsic discount, is there still a genuine opportunity here, or is the market already pricing in future growth?

With American International Group last closing at $73.79 against a narrative fair value of $86.95, the current setup hinges on how earnings, margins and capital discipline play out over time.

The acceleration of digitalization and artificial intelligence initiatives such as the Gen AI deployment across underwriting and claims positions AIG to enhance operational efficiency, improve underwriting precision, reduce fraud, and offer more tailored insurance products, supporting improved net margins and sustained earnings growth.