TIAA-CREF Criticism

[HW \Skip\ Weldon]

The following was cross-posted. With corrected headers, the complete
post is copied below.

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Subject: TIAA-CRAP
From: (e-mail address removed) (Ollie W. Holmes)

Uh, excuse me, CREF for the uninitiated: Convoluted Retrograde
Esoteric Fiefdom. It's over a week and I have not even gotten my
inheritors benefits package in the mail. How long does it take to get
money out of this organization? What I have gathered through several
phone conversations with their reps is that no one knows anything, and
everyone seems to be playing dumb. You enjoy phone tag? Invest here.

Explain to me the mutual fund performance table on this page:

http://www.tiaa-cref.org/charts/mf-performance.html

No fund appears to be over 10 years old. What kind of crap is this?
Are they too lazy to compile the figures? If you are happy with
TIAA-CREF, give me 3 good reasons why I should let them manage my
inherited 403b vs Vanguard, where I can choose many more funds. Don't
cite service, because that sucks at TIAA!

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-HW "Skip" Weldon
Columbia, SC

 

[Brent D. Gardner, ChFC]

Subject: TIAA-CRAP

From: (e-mail address removed) (Ollie W. Holmes)

Uh, excuse me, CREF for the uninitiated: Convoluted Retrograde
Esoteric Fiefdom. It's over a week and I have not even gotten my
inheritors benefits package in the mail. How long does it take to get
money out of this organization? What I have gathered through several
phone conversations with their reps is that no one knows anything, and
everyone seems to be playing dumb. You enjoy phone tag? Invest here.

Explain to me the mutual fund performance table on this page:

http://www.tiaa-cref.org/charts/mf-performance.html

No fund appears to be over 10 years old. What kind of crap is this?
Are they too lazy to compile the figures? If you are happy with
TIAA-CREF, give me 3 good reasons why I should let them manage my
inherited 403b vs Vanguard, where I can choose many more funds. Don't
cite service, because that sucks at TIAA!

This isn't news. When organizations sole means of competing in business is
price, the people that get suckered in by the low ball get what they pay for
(and it ain't much).

Brent D. Gardner, ChFC
Chartered Financial Consultant
http://members.cox.net/brentdgardner1378/

"Be ever questioning. Ignorance is not bliss. It is oblivion. You don't go
to heaven if you die dumb. Become better informed. Learn from other's
mistakes. You could not live long enough to make them all yourself." - Hyman
George Rickover (1900-86), Admiral, US Navy, advocated development of
nuclear subs & ships

The Chartered Life Underwriter (CLU) and Chartered Financial Consultant
(ChFC), designations owned and exclusively offered by The American College,
signify the highest standards of academic study and professional excellence
in the financial services industry.

 

[Richard McBane]

Subject: TIAA-CRAP

From: (e-mail address removed) (Ollie W. Holmes)

Uh, excuse me, CREF for the uninitiated: Convoluted Retrograde
Esoteric Fiefdom. It's over a week and I have not even gotten my
inheritors benefits package in the mail. How long does it take to get
money out of this organization? What I have gathered through several
phone conversations with their reps is that no one knows anything, and
everyone seems to be playing dumb. You enjoy phone tag? Invest here.

Explain to me the mutual fund performance table on this page:

http://www.tiaa-cref.org/charts/mf-performance.html

No fund appears to be over 10 years old. What kind of crap is this?
Are they too lazy to compile the figures? If you are happy with
TIAA-CREF, give me 3 good reasons why I should let them manage my
inherited 403b vs Vanguard, where I can choose many more funds. Don't
cite service, because that sucks at TIAA!

TIAA-Cref has been around for about 50 years providing retirement plans
for educational and research organizations. They offer a number of low
cost variable annuities that invest in stocks, bonds and real estate.
They did not offer mutual funds to the general public until eight or
nine years ago (although I don't recall when they specifically started).

However, if you have inherited a 403b that is in TIAA-Cref, it is most
likely invested in the variable annuities than in the mutual funds. So
you should be looking at their performance at:
http://www.tiaa-cref.org/charts/ra-performance.html
Here you will find, for example, that the CREF Stock Fund began
08/01/1952, much longer than 10 years. In my opinion, TIAA-Cref funds
tend to opperate conservatively. The number of investment options are
limited compared to many mutual fund families and their stated goals
were to meet specific market indices not exceed them.

I have a 403b from a former employer with TIAA-CREF and I am not unhappy
nor overwhelmed with it. But only you can determine whether their
options and performance meet your specific investment needs. I have no
idea how long it takes to get information or the money out of TIAA-CREF.
It is possible that the original contract with TIAA-CREF may limit your
options. However, I would recommend that if you want to move the
account that you contact the fund family you want to use and ask them to
help you handle the process. They are probably much more familiar
with dealing with TIAA-Cref than you as an individual.