American International Group Inc. (NYSE: AIG) shares fluxuated wildly throughout the day as investors speculated on the future of the insurance giant. Many experts believe that the firm is simply too large to fail as its securities are held by many hedge funds and other large players in the international markets. This led many to speculate that the Federal Reserve would rescue the firm if private investors failed; however, there are many other options also on the table keeping shares alive.

One popular theory is that Hank Greenburg, former CEO of AIG, may attempt to take control of the company through a proxy fight or buyout. The investors are also reportedly considering the acquisition of AIG's subsidiaries or making loans to the company. Many are aware that AIG was once Hank's baby before it was taken away and now destroyed- he may use this opportunity to retake control and attempt to save it. Indeed, the former executive already controls 11 percent of the bank.

Meanwhile, many experts are confident that the Federal Reserve will prove to be a backstop incase of any problems. CNBC reported that the Fed was considering providing financing and managed to help shares off of their lows of the day. However, the Fed itself could not provide any further comments on the matter. Others remain convinced that the Fed will not offer help after it jilted Lehman Brothers just yesterday.

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