FSOC Tags AIG And GE Capital As Systemically Important

The Financial Stability Oversight Council (FSOC) designated American International Group Inc (NYSE:AIG) and GE Capital ‘systemically important’ as they could pose risk to the U.S. economy if they were to falter. The Financial Stability Oversight Council  (FOSC) voted unanimously to designate the two non-bank financial firms to help protect the financial system and broader economy from the type of risks that contributed to the financial crisis. American International Group Inc (NYSE:AIG) and GE Capital thus became the first non-bank financial firms to get the ‘systemically important financial institutions’ (SIFI) tag that would place the firms under increased oversight. Earlier, the No. 2…