Here's Why American Equity Investment Life Holding Is Plunging on Monday
The stock market was largely flat Monday morning, but American Equity Investment Life Holding (NYSE: AEL) was a big exception. American Equity's plunge was caused by the announcement of a partnership with Brookfield Asset Management (NYSE: BAM), where Brookfield agreed to reinsure $10 billion of American Equity's liabilities and also agreed to make a large equity investment (a 19.9% stake) at a substantial premium to the company's recent stock price.
