Award highlights commitment to building clients' long-term financial well-being
Additional award for Best Mixed Assets Large Fund Company highlights consistent, risk-adjusted investment performance across multiple asset classes
NEW YORK, March 23, 2016 – For the fourth year in a row, TIAA Investments was recognized by Lipper as the Best Overall Large Fund Company for demonstrating the best three-year risk-adjusted performance across multiple asset classes among 37 mutual fund families. Additionally, TIAA Investments received the U.S. Lipper Fund Award for Best Mixed Assets Large Fund Company, the top ranking among 39 mutual fund families eligible for the award, based on three-year risk-adjusted performance for its Lifecycle, Lifecycle Index, Lifestyle and Managed Allocation Funds. Mixed asset funds are asset allocation, target-date or target-risk funds which combine multiple asset classes (stocks, bonds and short-term investments) in a single portfolio.
“Winning Lipper’s Large Fund Company award four consecutive times – five, including Nuveen Investments’ 2012 Large Fund Company award – highlights the consistent, risk-adjusted investment performance over time that’s been a hallmark of TIAA since it was founded in 1918,” said Robert Leary, CEO of TIAA Global Asset Management, the newly renamed global asset management business of TIAA. “On behalf of our millions of clients and our investment teams, we are once again honored to receive this award.” TIAA acquired Nuveen in 2014.
TIAA’s consistent investment approach dates back nearly a century when the firm was founded through the vision of Andrew Carnegie to make a difference in the financial lives of teachers. Today, TIAA continues to serve the lifelong financial needs of those in the academic, medical, cultural, government and research fields with an investment ethic that has enabled it to deliver over $400 billion in payments to TIAA retirement plan participants since 1918.1
TIAA Investments manages traditional equity, fixed income and multi-asset strategies across a range of mutual funds, annuities and institutional investment solutions through registered investment advisor subsidiaries. It launched its first mutual fund in 1997 and now serves a wide range of investors with a robust mix of capabilities that span the asset class spectrum. Rooted in a heritage of service, the firm’s investment ethos is directly aligned with the long-term interests of its clients and guided by a commitment to help individuals, financial advisors and professional investors meet their long-term investment objectives.
“Our asset management platform was built to perform through market cycles with a disciplined, research-driven investment process and long-term perspective toward helping clients to build financial well-being,” added Leary. “The Lipper award is more than just an accolade – it validates how we see and do things differently than our peers.”
TIAA Global Asset Management, which includes TIAA Investments and Nuveen Investments, is the 15th largest manager of US mutual funds with $149 billion of assets under management,ii as well as a top global investor in real assets such as real estate, agriculture, timber, infrastructure and energy. Both award-winning fund families are offered through the Nuveen Investments platform, which serves financial advisors and their clients.
In addition to this year’s Lipper awards, TIAA Investments ranked eighth out of 67 mutual fund families in this year’s Barron’s/Lipper Fund Family Survey and 12th out of 58 fund families, based on one- and five-year asset-weighted performance, respectively, within five asset classes.iii TIAA Investments mutual funds also demonstrate strong Morningstar ratings, with 68 percent of funds earning 4- or 5-star Morningstar ratings as of December 31, 2015 based on risk adjusted performance (39.19% are 4 stars and 28.38% are 5 stars).iv The expense ratios of TIAA Investments mutual funds, which include equity, fixed income, target-date, target-risk and multi-asset class products, are among the lowest in the industry.v
The Lipper Fund Awards are part of the Thomson Reuters Awards for Excellence, a global family of awards that celebrate exceptional performance throughout the professional investment community. The Thomson Reuters Awards for Excellence recognize the world's top funds, fund management firms, sell-side firms, research analysts and investor relations teams. The Thomson Reuters Awards for Excellence also include the Extel Survey Awards, the StarMine Analyst Awards and the StarMine Broker Rankings. For more information, please contact firstname.lastname@example.org or visit www.excellence.thomsonreuters.com.
About TIAA Global Asset Management
TIAA Global Asset Management provides investment advice and portfolio management through TIAA and more than a dozen affiliated registered investment advisers. Collectively managing $854 billion in assets, the business provides access to innovative investment strategies through expertise that spans traditional and alternative asset classes, generating new investment opportunities for clients through a wide array of vehicles including funds, customized strategies and solutions. TIAA Global Asset Management is committed to TIAA’s legacy of helping individuals and institutional clients achieve long-term investment success and financial well-being.
TIAA (www.tiaa.org) is a unique financial partner. With an award-winning track record for consistent investment performance, TIAA is the leading provider of financial services in the academic, research, medical, cultural and government fields. TIAA has $854 billion in assets under management (as of 12/31/2015) and offers a wide range of financial solutions, including investing, banking, advice and guidance, and retirement services.
1 As of 12/31/2013. Other benefits from TIAA and CREF include: Additional amounts paid on TIAA Traditional annuity contracts above the guaranteed rate, surrender benefits and other withdrawals, death benefits, health insurance and disability insurance benefits, and all other policy proceeds paid.
i The Thomson Reuters Lipper Best Overall Large Fund and Best Mixed Asset Large Fund Award are given to the group with the lowest average decile ranking of three years’ Consistent Return for eligible funds over the three-year period ended 11/30/15 respectively. For the Best Overall Large Fund award, Nuveen was ranked among 33 companies in 2011 and TIAA was ranked among 36 fund companies in 2012, 48 fund companies in 2013 and 2014, and 37 fund companies in 2015 with at least five equity, five bond, or three mixed-asset portfolios. For the Best Mixed Asset Large Fund award, TIAA was ranked among 39 fund companies in 2015 with at least five equity, five bond, or three mixed-asset portfolios. Classification averages are calculated with all eligible share classes for each eligible classification. The calculation periods extend over 36, 60, and 120 months. The highest Thomson Reuters Lipper Leader for Consistent Return (Effective Return) value within each eligible classification determines the fund classification winner over three, five, or ten years. A detailed awards methodology can be found at http://excellence.thomsonreuters.com/award/lipper.
ii Source: Morningstar, as of 12/31/15. Figure reflects $88 billion in open-ended mutual fund assets managed by TIAA Investments and $61 billion managed by Nuveen Investments. Excludes assets managed in closed-end funds, separate accounts, variable annuities and money-market funds.
iii Rankings are quantitative and based on Lipper performance data. Each fund family is given an asset-weighted score within the five asset classes: U.S. Equity, World Equity, Mixed Equity, Taxable Bond and Tax-Exempt Bond. Each fund’s return was measured against all those in its Lipper category, and the resulting percentile ranking was then weighted by asset size relative to the fund family’s other assets in its general category. The family’s overall ranking was then determined by weighting the five fund categories in proportion to their overall importance within Lipper’s fund universe. TIAA does not qualify for the 10-year ranking.
iv Morningstar ratings are based on the lowest cost share class for each mutual fund, based on U.S. open end mutual funds. For a fund with multiple share classes and the same pricing, the share class with the longest performance history is used. Morningstar ratings may be higher or lower on a monthly basis. Morningstar is an independent service that rates mutual funds. The top 10% of funds in an investment category receive five stars, the next 22.5% receive four stars and the next 35% receive three stars. Morningstar proprietary ratings reflect historical risk-adjusted performance and can change every month. They are calculated from the fund’s three-, five- and ten-year average annual returns in excess of 90-day Treasury bill returns with appropriate fee adjustments, and a risk factor that reflects fund performance below 90-day T-bill returns. The overall star ratings are Morningstar’s published ratings, which are weighted averages of its three-, five- and ten-year ratings for periods ended December 31, 2015. Past performance cannot guarantee future results. For current performance and rankings, please visit www.tiaa-cref.org/public/tcfpi/InvestResearch.
v Based on Morningstar data, the expense ratio on all mutual fund products and variable annuity accounts managed by TIAA is generally less than half the mutual fund industry average (67% are less than half the Morningstar U.S. Open-End Fund Universe average and 56% are less than half the Morningstar U.S. Open-End Fund Universe median). Source: Morningstar Direct, December 2015 expense comparisons by category. Our mutual fund and variable annuity products are subject to various fees and expenses, including but not limited to management, administrative and distribution fees; our variable annuity products have an additional mortality and expense risk charge.
Past performance does not guarantee future results.
For current performance and rankings, please visit Nuveen.com and TIAA.org.
TIAA Individual & Institutional Services, LLC, Teachers Personal Investors Services, Inc., and Nuveen Securities, LLC, Members FINRA and SIPC, distribute securities products.
TIAA Investments mutual funds are managed by Teachers Advisors, Inc. and marketed as TIAA-CREF Funds.
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