TIAA Brokerage interest and cash sweep rate disclosure

TIAA-CREF Individual & Institutional Services, LLC  (“TIAA Brokerage”) provides several options for managing cash balances in your brokerage account. Availability of the options listed below is based on account type. Not all options are available in every account type. You can log in to your account or call 800-842-2252 to find out more about which options are available for your account and for current interest rate information.

Bank deposits

FDIC-Insured Options
The TIAA Sweep Product is designed to sweep Eligible Cash Balances in your Brokerage Account into bank deposit accounts at EverBank, N.A. ("the Bank") and other banks as described below. Two separate bank sweep options are used in combination: (1) the TIAA Brokerage Sweep or TIAA Managed Sweep ("TIAA Sweep Product") will be used as the primary bank sweep option for uninvested cash balances up to a maximum amount set by the Bank (not to exceed the current per-individual depositor FDIC insurance limits); and (2) the Liquid Insured Deposits Program (LIDs Overflow) to be used as an overflow for uninvested cash balances in excess of the maximum accepted by the Bank. TIAA Brokerage Sweep is used for Self-Directed brokerage accounts and TIAA Managed Sweep is used for TIAA managed accounts, including TIAA Portfolio Advisor and TIAA Personal Portfolio. TIAA Managed Sweep will generally pay a higher rate of interest than TIAA Brokerage Sweep. The LIDs overflow is used when your Eligible Cash Balanced swept into the TIAA Brokerage Sweep or TIAA Managed Sweep exceed the FDIC insurance limits. You are solely responsible for monitoring the aggregate amount that you have on deposit with the Bank (through the the TIAA Sweep Product and otherwise) and any other bank(s) participating in LIDs Overflow with respect to FDIC insurance limits. A list of  LIDS Overflow Program banks can be found at Liquid Insured Deposit Program Banks- List of banks that participate in the FDIC sweep programOpens pdf. Your account statement will list the LIDS Overflow banks being used in your account if applicable. 

Pershing, TIAA Brokerage, the Bank, and your investment professional do not monitor or take any responsibility for money you may have at a Bank outside the TIAA Sweep Product or money you have at any bank participating in the LIDS Overflow. Rates are variable and may change without notice. The TIAA Brokerage Customer Account Agreement and full terms and conditions for each sweep product are available below for more information. Availability of the TIAA Sweep Product is based on account type and all options may not be available.

TIAA Brokerage Customer Account Agreement

TIAA Sweep Product Terms and ConditionsOpens pdf

Liquid Insured Deposit Terms & Conditions (Self-Directed Accounts)Opens pdf

Liquid Insured Deposits Terms & Conditions (Managed Accounts)Opens pdf

Liquid Insured Deposit Program Banks- List of banks that participate in the FDIC sweep programOpens pdf

The bank deposits at each bank are insured by the Federal Deposit Insurance Corporation (FDIC) up to $250,000 for each category of legal ownership. Please review the FDIC Insured Bank Deposits section on your Brokerage Statement for participation information and specific bank allocation. The Banks that participant in the LIDS Overflow program periodically change. To opt out of a participating bank please call TIAA Brokerage at (800) 842-2252, weekdays 8 a.m. – 7 p.m. (ET).

Important information

The information in this interest rate disclosure sheet is for information purposes only. Availability of a cash management option is based on account type and not all options are available for every account. More specific information about a particular money market mutual fund, including Securities Investor Protection Corporation ("SIPC") protection, and applicable fund restrictions, fees and expenses and other important information can be found in the fund's prospectus. More specific information about a particular bank deposit option, including Federal Deposit Insurance Corporation ("FDIC") insurance and other important information can be found in the applicable bank deposit disclosure document.

Past performance is not an indication of future performance.

Yields shown are indicative of recent yields as of the dates shown and are subject to change and availability. Past performance does not guarantee that you will receive these interest rates in the future, or that the options listed above will be available for your account.

Bank Deposits

Cash amounts that fall under the FDIC-Insured limits are not securities and are not covered by SIPC. The TIAA Sweep Product at each bank are insured by the FDIC up to $250,000 for each category of legal ownership. Please review these amounts in connection with other deposits you may have at each respective bank.

TIAA Sweep Product cash is held in deposit accounts at the Bank and LIDS Overflow cash is held in deposit accounts at one or more banks. Deposit accounts pay interest on deposits pursuant to the terms and conditions in the disclosure document for the applicable bank deposit option. Interest rates may fluctuate and may vary among banks. Deposit accounts are not subject to SIPC protection. They are subject to FDIC insurance up to applicable limits. FDIC insurance protects against loss of deposit amounts in the event the bank holding the deposits fails. More specific information about a particular bank deposit option, including FDIC insurance and other important information can be found in the applicable bank deposit disclosure document.

Money market mutual funds

Money market mutual funds are securities that are registered with the U.S. Securities and Exchange Commission ("SEC") under the Investment Company Act of 1940 and the Securities Act of 1933. Although money market funds attempt to maintain a stable net asset value of $1 per share, there is no guarantee that the fund will in fact maintain a $1 per share stable net asset value. Money market funds are not insured by the FDIC. Money market funds are, however, securities subject to SIPC protection in the event of insolvency of Pershing, LLC as the brokerage firm holding your account and cash or securities are owed to you. SIPC is a nonprofit member corporation funded primarily by member securities brokerage firms registered with the SEC, which protects customers up to certain limits in the event of the failure of a brokerage firm where cash and securities are owed to customers.

See the TIAA Brokerage SIPC Asset Protection GuideOpens pdf for more information. SIPC does not protect against loss due to market fluctuation or failure of the issuer of a money market fund. More specific information about a particular money market mutual fund, including applicable fund restrictions, fees and expenses and other important information, can be found in the fund's prospectus, which can be obtained from our forms page (within Agreements & Disclosures) or by contacting 800-842-2252, weekdays, 8 a.m. to 7 p.m. (ET).

Conflicts of interest

Under the TIAA Sweep Products, cash balances are swept to and held in deposit accounts with EverBank, N.A. (“the Bank”). Pursuant to an agreement between TIAA Brokerage and the Bank, the Bank pays TIAA Brokerage an asset-based fee based on the amount of cash that is swept to the Bank into the omnibus accounts. The Bank earns net income from the difference it pays on the deposit accounts in connection with the TIAA Sweep Products and the income it earns on the investments made with such cash deposits. In setting interest rates, the Bank and participating banks in the LIDs program may seek to pay as low a rate as necessary based on market and business conditions, as described more fully in the TIAA Sweep Product Terms and Conditions and the Liquid Insured Deposits Terms and Conditions available on the Brokerage Forms page at TIAA.org/BrokerageForms. Because the Bank has discretion over the setting of its interest rates for deposits, the interests of the Bank with respect to the setting of this rate may be different than yours.

Money market funds pay certain fees to TIAA Brokerage, through TIAA-CREF Individual & Institutional Services, for distribution, administrative and/or marketing services. These fees are disclosed in the prospectus.

Investment, insurance and annuity products are not FDIC insured, are not bank guaranteed, are not bank deposits, are not insured by any federal government agency, are not a condition to any banking service or activity, and may lose value.

TIAA-CREF Individual & Institutional Services, LLC, Member FINRA, distribute securities products.

TIAA Brokerage, a division of TIAA-CREF Individual & Institutional Services, LLC, Member FINRAOpens in a new window and SIPCOpens in a new window, distributes securities. Brokerage accounts are carried by Pershing, LLC, a subsidiary of The Bank of New York Mellon Corporation, Member FINRA, NYSE, SIPC. Advisory services are provided by Advice & Planning Services, a division of TIAA-CREF Individual & Institutional Services, LLC, a registered investment adviser.

© 2023 Teachers Insurance and Annuity Association of America-College Retirement Equities Fund, 730 Third Avenue, New York, NY