There’s a lot of debate surrounding the commentary that was provided at AIG’s investor day. The assumptions on revenue remain intact, but the degree to which management can improve the operating efficiency of its property and casualty segment is still up for debate. I provided an update from UBS earlier in the day, but I’m also going to weigh in on the commentary from RBC Capital Markets. In a note that RBC Capital released on Wednesday (they maintain $69 price target and outperform rating):We view management's target of 6 points of margin in the P&C business as ambitious, in a weakening pricing environment, without significant loss of business. A two-year time line is also ambitious, as business repositioning efforts are highly iterative, so it could be deep into 2017 or even 2018 before margin benefits are visible. We’ve adjusted our Q4/15 operating EPS estimate to a loss of $0.95 (previous estimate was +$0.95) to reflect the charge. We are also revising our 2016 and 2017 operating EPS estimates to $5.45 from $5.00 and to $7.00 from $6.00, respectively, to reflect our view on the implementation of management's plan. The incremental upside to earnings gives me some pause to think about raising my price target, but given the weak equity environment going into CY’16, I’m sticking with the thought process that the valuation will likely stay near its five-year mean assuming there’s a recovery. If there are some catalysts or material re-rates in the immediate one-year time frame, I’ll probably change my tune a little more. The company plans to return tons of capital to shareholders. However, the improvement to margins could be more incremental. In other words, investors need to watch out for whether or not the company does in fact meet its long-term margin goals. In my mind, I too think it’s a bit of a stretch. But then again, some management teams are able to reduce costs with surgical precision without damaging the top line growth rate. I continue to reiterate my $62.25 price target and hold rating.