Q&A with Herb Allison and Roger Ferguson

Roger Ferguson (left) with Herb Allison

Can you tell us about the transition?

Herb:  The transition itself has been long-planned.  Last year, the company's trustees asked me to remain as CEO to help finish a number of our strategic initiatives and to help provide greater flexibility in the succession process.  The announcement culminates a thoughtful search by the trustees for an executive of Roger's caliber, who brings to the job the experience and expertise to build on our progress and lead our organization on behalf of the over 15,000 institutions and 3.4 million individuals TIAA-CREF serves.

Roger:  It is my privilege to be named TIAA-CREF's new chief executive at this pivotal moment, when the steps that the company has taken under Herb's leadership - from expanding its offerings for clients to improving the quality of its investment management - have produced positive results, and the company is completing its 90th year of service to clients.  I look forward to a smooth transition and getting to know clients and employees. I also appreciate Herb's guidance, which will be very helpful to me.

Can you talk a bit about the modernization of the company?

Herb:  Over the past several years we took a series of steps to respond to our clients' expressed needs for a wider range of financial products and services, improved investment management, and greater accessibility.  Meeting those needs required an extensive transformation and complete modernization of the company's recordkeeping platform, technology and systems infrastructure, operations and management systems.  As complex and challenging as all of that work has been, we've seen substantial evidence of the benefits of our new products and services for plan sponsors and individuals.  For example, institutions can now provide employees what Forbes calls "the most extensive personalized workplace advice," and more individuals than ever are taking advantage of our secure website to review their accounts, manage their investments, evaluate their financial goals and complete transactions.ⁱ This is all part of our commitment to upholding our mission in the 21st century.

 
What are some things you hope to accomplish?

Roger:  I am honored to lead this unique organization, with its unchanging mission and track record of achievement on behalf of clients.  I look forward to listening to employees and clients, and building on all that Herb and the incredibly dedicated employees of TIAA-CREF have achieved.

This is a challenging time for individual investors who want assurance that their retirement plans are able to stay on course through uncertain economic times and also our institutional clients, who have the responsibility of providing retirement benefits.

We're going to keep our focus on our clients, on meeting their financial needs, and on increasing our skill and speed in meeting those needs.  Thanks to the foundation that has been built here over the past several years and the strategic direction that has been established, we can expand the possibilities for growing our business and fulfilling our mission.

What drew you to TIAA-CREF?

Roger:  I was impressed with TIAA-CREF's mission-driven and highly client-focused culture.  The company is known for taking a long-term approach, which is something I believe in firmly.  It's also invigorating to be part of an organization with a very rich history.  Over the past few years the company has made tremendous progress and is well positioned to take advantage of future growth opportunities.  I think TIAA-CREF has a robust and compelling story and I'm honored to be here.

How might your experience and background translate to TIAA-CREF?

Roger:  My background includes broad experience in strategic management, financial services and economic policy and technology.  I also respect and share the values that distinguish this organization and I am committed to uphold its unchanging mission.

Any parting thoughts, Herb?

Herb:  Leading TIAA-CREF has been one of the greatest honors of my career.  Our company is guided by a unique, inspiring and special mission.  I have been constantly impressed by our employees' dedication to our clients. As we celebrate our 90th year of serving the academic, medical, research and cultural communities, I'm more excited than ever about our organization's abilities to deliver superb products and services to our institutional clients, and lifetime financial security to our participants.

All TIAA-CREF investment products are subject to market risk and other risk factors.