TIAA was created with a mission to serve, and we have always run our organization on a foundation of strong values, ethical behaviors and integrity. Therefore, it was incredibly disappointing and concerning to read a very misleading article about TIAA that you may have seen in The New York Times recently. We fundamentally disagree with how the article characterizes TIAA and the way we operate our company and address your financial needs.
As I hope you have experienced, TIAA is a different kind of financial services organization. The long-term goals of our institutional clients and their employees have been our primary focus for nearly a century. We are not publicly traded, and therefore not subject to short-term shareholder interests. We put our clients first, and operate in a highly transparent and ethical way.
We are not an organization that is particularly boastful, but I am proud of what we have been able to deliver for you and your employees. I would put our investment performance1, fees2 and service delivery up against any other financial services company. The outcomes speak volumes. Through TIAA Traditional, we’ve paid more than the guaranteed payouts to our fixed annuity holders every year for more than half a century3. We’ve paid $394 billion in benefits to retired participants since 19184. In fact, since our founding, our retired participants have never missed a payout from us – through depressions, wars, and natural disasters.
The bottom line is that participants in TIAA administered plans have more confidence5, more monthly income6 and the highest average account balances7. And that’s why TIAA exists – to help the millions of people we serve achieve lifetime financial security.
By misrepresenting facts, taking comments out of context, and making apples-to-oranges comparisons, the article presents a misleading portrait of who we are as an organization and our commitment to putting our clients first.
We fully believe that our trusted reputation and track record will enable us to quickly move past this unfortunate article, and we remain committed to our core mission and to working every day to serve the interests of your institution and your employees.
Please feel free to reach out to your TIAA representative or me if you have any questions or want additional context regarding points made in the article.
Ron Pressman
CEO, Institutional Financial Services
CEO, Institutional Financial Services