American International Group, Inc. (AIG): Should You Fear the Sheriff of Wall Street?

A different tune
As comptroller, Spitzer would be in more of an oversight role — regardless of his platform of restoring confidence to Wall Street. While it holds some influence and is a crucial part of the state’s financial management, the office would not enable a full reinstatement of the Sheriff.

The state’s pension funds invest in thousands of companies, with few holding substantial influence. The state’s largest position is in ExxonMobil, with more than $1 billion invested — that’s 0.25% of the company. Reuters reported that current Comptroller John Liu filed 61 shareholder proposals during his tenure, only one-third of which were backed by other shareholders. Thirty-one proposals went to vote, and just eight passed.

There is quite a bit of chatter that the major financial institutions are trembling over Spitzer’s renewed political ambitions — but this may simply be media hype. As an investor, you have little to worry about: The former Sheriff, if elected, will not have the same arsenal this time around.

Fool contributor Michael Lewis has no position in any stocks mentioned. The Motley Fool recommends American International Group, Inc. (NYSE:AIG). The Motley Fool owns shares of American International Group and has the following options: long January 01 2014 $25 calls on American International Group.

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