TIAA Ratings Affirmed After Nuveen's Acquisition of Schroders

TIAA Maintains Ratings Post-Acquisition Announcement of Schroders by Nuveen

Oldwick, NJ, February 18, 2026 – Insurance rating agency AM Best has affirmed the Financial Strength Rating of A++ (Superior) and Long-Term Issuer Credit Rating of "aaa" (Exceptional) for Teachers Insurance and Annuity Association of America (TIAA) despite recent developments concerning its subsidiary, Nuveen. Nuveen has declared its strategic move to acquire Schroders plc, a prominent entity in asset management, advisory, and wealth management, with a reported $1.1 trillion in assets under management.

Upon finalization of this acquisition, anticipated in the fourth quarter of 2026, the combined entity under Nuveen is poised to rank among the top 10 global asset managers, managing nearly $2.5 trillion in assets. In its operational strategy, Schroders is set to function independently within the broader structure of Nuveen for at least one year post-acquisition.

This acquisition is expected to slightly increase TIAA’s financial leverage due to regulatory compliance requirements around funding. However, it should also enhance TIAA’s market position through greater scale and a broader international presence in asset management. This expansion aligns with industry trends that favor growth in asset management, as it entails less capital-intensive investments compared to other sectors.

For additional rating details and disclosures related to AM Best’s ratings and industry analytics, stakeholders can consult AM Best’s Recent Rating Activity web page. Detailed guidance on the application and limitations of credit rating opinions is also available through AM Best’s official resources.

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