AIG, the insurer bailed out by the US government in September, said Monday it sold $39.3bn of assets to a fund established by the Federal Reserve Bank of New York, reports Reuters. The fund, Maiden Lane II, was created to hold mortgage liabilities from an AIG securities lending portfolio that caused huge losses, the company said. The New York Fed extended the loan to Maiden Lane II to enable the purchase of the securities for $19.8bn.
