AM Best Assigns Superior Rating to TIAA's Surplus Notes

AM Best has assigned a "aa" (Superior) Long-Term Issue Credit Rating (Long-Term IR) to the Teachers Insurance and Annuity Association of America's (TIAA) $2 billion 6.05% fixed rate surplus notes, due in 2056. The rating outlook remains stable. The proceeds from this surplus note issuance will be allocated for general corporate purposes, potentially including partial financing of TIAA's Nuveen acquisition of Schroders plc, announced in February 2026. AM Best projects that this transaction will increase TIAA's adjusted leverage to approximately 15% pro forma, reflecting the terms of the purchase financing. This announcement follows the retraction of a previously assigned indicative Long-Term IR of these notes. For those seeking further details, AM Best's website offers comprehensive rating information, disclosures, and guides on utilizing Best’s Credit Ratings in financial decision-making. Operating with a global presence, AM Best is headquartered in the United States, with regional offices situated worldwide. It specializes in providing credit ratings, news, and data analytics tailored to the insurance industry. Additional insights can be accessed at www.ambest.com.