Citigroup Inc (C), American International Group Inc (AIG), JPMorgan Chase & Co. (JPM) Rank as Billionaires Top Financial Picks

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In American International Group Inc (NYSE:AIG), a total of 13 billionaires held long positions with an aggregate value of $2.91 billion, which makes it the most popular insurance stock among billionaires. During the first three months of 2015, American International Group saw two billionaires initiating significant positions: Andreas Halvorsen and John Paulson. In their latest 13F filings, Paulson’s Paulson & Co. and Halvorsen’s Viking Global disclosed ownership of 14.60 million shares and 8.44 million shares, respectively, valued at $800.11 million and $462.54 million. Meanwhile, American International Group Inc (NYSE:AIG)’s stock declined by almost 2% during the first quarter and has slightly rebounded and currently is trading 5% in green year-to-date. As a large insurance company, AIG took a big hit during the financial crisis, but has since recovered and continues to improve its financial situation with share buybacks and the reduction of its debt. In March 2014, billionaire Leon Cooperman said that American International Group Inc (NYSE:AIG) was trading at 80% of its book value and forecasted a return of around 25% for the following 12-18 months. The stock has gained 17% since Cooperman’s words, but AIG also has been on a path to further increase its book value, which amounted to $60.69 at the end of the first quarter, up by 14% on the year.

JPMorgan Chase & Co. (NYSE:JPM) also made the list as the number of billionaires holding the stock went up to 12 from 10 during the first three months of 2015. The value of capital piled into the company also increased to $1.51 billion from $12.44 billion. One of the billionaire investors that significantly raised his exposure to JPMorgan Chase & Co. (NYSE:JPM) is Ken Griffin of Citadel Investment Group, which disclosed holding 2.38 million shares valued at $144.35 million, up by 143% on the quarter. JPMorgan Chase also passed the stress test, although it had to alter plans under which it intended to pay out capital to shareholders. Fisher Asset Management is also one of the top shareholders of JPMorgan Chase & Co. (NYSE:JPM) among the funds we track, holding 13.58 million shares.

All in all, despite a large number of billionaires holding shares of these three companies, the aggregate value of their stakes represents small shares of their market caps, which suggests that billionaires in their majority are underweight these stocks.

Disclosure: none

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