Looking to distance itself from the brand of its parent company, AIG Financial Advisors Inc. is rechristening itself as SagePoint Financial Inc.
Representatives affiliated with AIG Financial Advisors of Phoenix have been rankled by their association with the parent, American International Group Inc. of New York, whose brand has become practically toxic in the wake of its bailout by the federal government in September.
Despite efforts by other broker-dealers to recruit the 2,900 or so reps with AIG Financial Advisors, the advisers have been focusing on getting clients through the market drop, industry recruiters said.
“Reps are staying put and dealing with” the AIG brand, said Jodie Papike, vice president of Cross-Search, a Jamul, Calif., recruiting firm for independent reps and executives.
Larry Roth, president and chief executive of the AIG Advisor Group, which includes AIG Financial Advisors and two other broker-dealers, announced the name change today in an internal memo to employees.
The new SagePoint Financial is in the process of being approved by regulators. That should be completed by the end of the month.
AIG Financial Advisors, along with FSC Securities Corp. of Atlanta and Royal Alliance Associates Inc. of New York, are being shopped as part of the parent’s wider efforts to sell certain companies and assets to repay the federal government’s bailout loan last year of $85 billion.