1 Applies to mutual fund and variable annuity expense ratios. Source: Morningstar Direct, March 31, 2020. 75% of TIAA-CREF mutual fund products and variable annuity accounts have expense ratios that are in the bottom quartile (or 96.02% are below median) of their respective Morningstar 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.
2 Corporate Actuarial, Morningstar: When compared to theoretical 4% systematic withdrawal amounts from similarly invested peer groups, CREF, as represented by CREF stock, has historically paid higher levels of lifetime annuity income which has ranged from 5.9% to 6.8%. There are material differences between mutual funds and CREF variable accounts. Mutual fund capital-gain distributions or dividends paid are added to the number of shares owned (number of shares increase). CREF account capital-gain distributions or dividends are added to the unit value (number of units stay constant). Mutual fund withdrawals are only available as one- time or systematic withdrawals. CREF accounts include the right to receive an income stream (a binding decision to receive annuity payments) from all or part of an account’s accumulation. CREF accounts deduct a mortality and expense-risk charge of 0.005%.
3 TIAA data, 30 and 15 year rolling returns as of 06/30/2019. *R3 share class returns used. Prior to April 2015, R1 share class returns were used for calculations. Comparisons are based off of Morningstar’s category average peer group for each CREF Mandate.
Annuity Account options are available through contracts issued by TIAA or CREF. These contracts are designed for retirement or other long-term goals, and offer a variety of income options, including lifetime income. Any guarantees under annuities issued by TIAA are subject to TIAA’s claims-paying ability. Payments from the variable annuity accounts are not guaranteed and will rise and fall based on investment performance.
A variable annuity is an insurance contract and includes underlying investments whose value is tied to market performance. When markets are up, you can capture the gains, but you may also experience losses when markets are down. When you retire, you can choose to receive income for life and/ or other income options.
Annuity contracts contain terms for keeping them in force. Exclusions, restrictions, limitations and reductions in benefits will, in certain situations, apply to annuity contracts.
You should consider the investment objectives, risks, charges and expenses carefully before investing. Please call 877-518-9161 or go to TIAA.org for current product and fund prospectuses that contain this and other information. Please read the prospectuses carefully before investing.