Today I sold my position in AIG TARP warrants for proceeds of $37,944 (3,000 warrants at $12.65). Thanks to the Herculean efforts of CEO Benmosche and Chairman Miller, this investment has turned out extremely well for me. And because of my confidence in these executives, and the solid franchise of AIG's core operating businesses, it's with a heavy heart that I decided to sell. Nonetheless, anytime a stock is bumping up against its 52-week high I start to get nervous. Besides, with the overall market close to it's 52-week high, I thought now may be a good time to raise some cash for the next rainy day.
For those of you keeping track, I first purchased 2,000 warrants in August 2011 at $6.94, for an initial outlay of $13,885. In November 2011, I added 1,000 more at $5.37 for $5,375. All-in-all, my total cost basis was $19,260, which means I made a profit of $18,684 on this position... not too shabby!
Questions? Comments? Email mevsemt@gmail.com.
