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The CREF Stock Fund at 50.

The year 2002 will mark the fiftieth anniversary of the establishment of the College Retirement Equities Fund, commonly called CREF. This was the first variable annuity retirement fund, and the first to focus its investments on common stock equities. Originally it was restricted to individuals employed in academic and research institutions. And although the customer base for GREF and its older companion, the traditional annuity (TIAA), has been broadened in recent years, the vast majority of CREF participants are still drawn from academic and research institutions.

CREF's existence is actually due in part to Andrew Carnegie, who endowed a fund in 1918 to support the establishment of the Teachers Insurance and Annuity Corporation. Carnegie's motivation for endowing this fund stemmed from his observation as a Cornell University trustee that professors received low salaries and lacked retirement opportunities.

From its earliest days, the organization offered TIAA, its defined contribution annuity retirement plan whereby it assumes the market risk for investing employee retirement contributions. According to Americks (2000), "The TIAA traditional annuity provides a guarantee of principal, a guaranteed interest rate (currently 3 percent), and additional dividends as declared in advance." CREF was added in 1952. At the time, it was considered a retirement antidote to the impact of postwar inflation that was lowering TIAA retirees' buying power. The organization projected that participants would be able to mitigate against inflation and buying power erosion during their working and retirement years by combining CREF with TIAA (such as investing 50 percent in one and 50 percent in the other).

In contrast to TIAA, CREF does not offer participants any guarantees. Participants are personally responsible for a range of investment decisions relating to their account contributions. Consequently, they accept stock market risks during their working years as well as throughout retirement.

Since its beginning, CREF has had the major features of TIAA--immediate vesting of participants' contributions and portable benefits. Vesting periods for employer contributions depend on individual institutional policies, and employees can move their accounts to other organizations that offer the plans. Investors willing to assume greater stock market risk can allocate higher percentages of career retirement dollars to the CREF stock fund.

Today, the organization Carnegie endowed is formally known as TIAA-CREF. It has assets of about $300 billion, serves approximately 9,000 universities and research institutions, and offers 2.2 million participants a wide variety of investment vehicles. However, the traditional annuity and CREF currently account for 84 percent of pension assets--39 and 45 percent, respectively.

TILE STUDY AND ITS FINDINGS

To determine how well this innovative (for the 1950s) equity variable annuity has served participants over time--in other words, to find Out whether the organization's 1952 projection was accurate--we set out to review CREF's performance. We examined 47 years of financial data, using results reported from 1953 through 1999. Prior to analyzing the CREF data for this study, we posed six questions:

1. Has the "typical" participant, over time, been able to accumulate more dollars by the time of retirement through dividing contributions between TIAA and CREF portfolios rather than investing solely in TIAA?

2. Has the conservative strategy of dividing investments evenly between the two funds been a good one?

3. Has the typical participant been able to overcome the effects of inflation during working years by making 50/50 investments in the funds?

4. At some point after retirement, would it be more advantageous for the typical participant to have had all contributions invested in TIAA?

5. Based on TIAA-CREF history, what percentage gain might a participant expect in the coming years by contributing evenly to the two funds?

6. To date, what has TIAA and CREF history taught us that might be helpful in making retirement contributions in the future?

To answer these questions, we developed portfolios for typical participants with careers of 25, 30, and 35 years duration who retired at age 65. The data were drawn from historical information published by the TIAA-CREF organization. For purposes of the study, it was assumed that the 25-year employee entered the retirement system at age 40, the 30-year employee at age 35, and the 35-year employee at age 30.

As a base for our analysis, we estimated that the starting salary of the typical participant in 1953 was $5,000, the salary increased 5 percent annually, and the retirement fund investments accounted for 10 percent of yearly gross salary every year. We also assumed that starting and retirement years were included in the working period, and that contributions to retirement funds were made at the beginning of each year.

The analysis showed that CREF, when combined with TIAA, has been a very good investment vehicle for the vast majority of years it has been in existence. For conservative participants who placed all funds in the defined benefit TIAA plan, then retired after 25 years (see Table 1), the total accumulation at retirement ranged from about $47,000 to nearly $194,000, depending on when they retired. For 25-year employees who divided their contributions evenly between the two funds, accumulations ranged from $45,653 for 1977 retirees to $408,123 for 1999 retirees. On average, the typical 25-year participant would have been better off had he assumed market risk and allocated all or some of the working years' contributions to CREF.

For those retiring with 25 years on the job, the study found that a typical participant allocating all contribution dollars in CREF would have accumulated almost 50 percent more funds at retirement than if he had invested all contributions in TIAA. Had he divided his 25 working years' contributions evenly between TIAA and GREF, the gain over TIAA would have been approximately 33 percent.

The analysis revealed a similar pattern for participants with 30- and 35-year work histories. For those retiring after 30 years (Table 2), the average gain, using the various combinations of CREF and TIAA, ranged from about 17 percent to 66 percent. For those working 35 years (Table 3), the average gain ranged from about 22 percent to nearly 90 percent.

Of course, these study data encompass the stock growth period from 1994 to 1999, which was very unusual in terms of market growth. For that reason, we specifically noted average gains on Tables 1 to 3 that exclude these six years.

The Issue of Risk

Participants who have elected to use CREF in some manner have been rewarded handsomely for the risks they have assumed over the years. The extremes in percentage gains and losses ranged from a 49 percent appreciation in 1954 to a loss of--31 percent in 1974 (see Table 4). Conversely, throughout the past 47 years TIAA accounts have been quite stable and have exhibited a much lower variance in annual returns (7.8) than the other two options (243.3 and 64.6). Calculated in this way, variance is a standard measure of investment risk because it captures the total volatility of returns on a yearly basis. As a rule of thumb, the larger the variance in annual returns, the greater the risk. Thus, our data confirm the well-accepted conclusion that TIAA, as a traditional annuity fund, is substantially less risky than other options.

Conversely, CREF accounts are riskier and highly sensitive to short-term stock market changes. Our analysis reveals that a one-year difference in a retirement date can make a big difference in retirement dollars. Take, for example, two participants who worked 30 years and allocated all contributions to CREF. For the participant who retired in 1989, total dollars at retirement were $252,569 ($163,053 TIAA + 54.9 percent of $163,053). For the 1990 retiree, the total was $232,057 ($173,826 TIAA + 33.5 percent of $173,826). The reduction of more than $20,000 in total accumulation amounts to an 8 percent loss in a single year.

According to this study, the use of an investment strategy that evenly splits investments between TIAA and CREF has worked rather well in reducing participants' stock market risk. The major benefit of combining TIAA and CREF in a portfolio is greater diversification of assets and lower investment risk. Based on historical annual returns, a portfolio that splits contributions evenly between the two funds will result in a variance of 64.64 (Table 4). On the other hand, a simple average of the CREF variance (243.3) and the TIAA variance (7.8) amounts to 125.6. Thus, combining both funds in a portfolio can substantially reduce a participant's exposure to wide movements in returns. (Financial people also believe that greater diversification benefits can be attained when the combined assets of fund returns are weakly correlated. This is demonstrated with TIAA and CREF: The Pearson Pair-Wise Correlation Coefficient is 0.07, meaning there is virtually no correlation between the return percentages for the two funds.) Despite a substantial reduction in risk, participants employing this 50/50 strategy should still expect to enjoy a modest gain over TIAA alone. The average annual returns for CREF and TIAA are 13.1 percent and 6.8 percent, respectively. A portfolio that allocates funds evenly between them should produce an average annual return of 9.9 percent (1/2 x 13.1 + 1/2 x 6.8).

The Exceptions

There are two major exceptions to the study's conclusions, both of which must be highlighted. First, for those retiring in the late 1970s and early '80s, CREF was a poor investment due to lagging stock market values. For all of this period, except 1980, participants who had worked 25 years had modest losses in all investment patterns when they retired, no matter what percentage they invested in CREF. However, if they had retained their CREF accounts at retirement (not transferred them to a TIAA annuity), the stock fund would have served them well as protection against inflation for their retirement years.

The second exception involves the six years from 1994 to 1999, noted earlier. During this period, the rise in stock values was stratospheric, a situation clearly reflected in the CREF values for those years. For example, the lucky participants who worked the 25 years from 1975 through 1999 and invested totally in CREF were 221 percent ahead of those who invested solely in the conservative TIAA fund. We maintain that the 1994-1999 period should be considered an anomaly when analyzing CREF's financial impact.

Excluding these six years, we found substantially lower CREF percentage differences vis-a-vis TIAA. For example, participants who invested all their retirement money in CREF for a 25-year career ending in 1993 were 66 percent ahead of those who invested all funds in TIAA. Although the difference is not as desirable as a 221 percent gain for the 1999 group, it is still significant.

The average 25-year participant who invested everything in CREF and retired in a year prior to 1994 gained approximately 20 percent over TIAA. Had those same participants retired between 1994 and 1999, they would have enjoyed, on average, an increase of about 50 percent over TIAA. A rising tide surely floats all boats! It would be wonderful if the market continued to boom for years, but business cycle history suggests that such a scenario is unlikely.

Both CREF and TIAA also did well in providing insurance against inflation. Using the Consumer Price Index (CPI) provided by the Bureau of Labor Statistics, and based on statistics for the 47 years in the study, we estimate that inflation was roughly 4 percent per annum. On average, as Table 4 shows, the CREF Stock Account was able to keep ahead of inflation by 9.1 percent. Even the TIAA fund, which would do well to keep even with inflation, was ahead of it by 2.7 percent. In terms of comparative market performance, CREF outperformed the Standard & Poor's 500 Index by 3.0 percent. As might be expected, the conservative TIAA fund did not compare favorably and was actually 3.4 percent below the S&P index value.

Our analysis demonstrates that the CREF stock fund has helped participants avoid the problems of continuing inflation and also provided more dollars in the "typical" participant's account at the date of retirement. Even in the relatively few years when TIAA provided superior results compared to CREF, the difference between the two investment vehicles was modest: For the 25-year career person, the year with the highest drop was 1981 (-8.4 percent), but this was offset by moderate double-digit gains (16 percent) starting in 1985.

GUIDELINES FOR THE FUTURE

Past performance is certainly no guarantee of future achievement. But the analysis of CREF offers the following insights for investors' consideration:

* For anyone who is not comfortable with adverse movement in the market, the 50/50 strategy is a good way to seek to develop more retirement dollars at a reasonable risk level. It is possible that retiring during some years will yield CREF losses that are beyond one's control. If a participant is confronted with this situation at retirement, it appears best--based on the study-- to retain the CREF investment rather than transfer it to TIAA. It is a well-documented conclusion that over the long term, equity investments have higher yields than long-term bond debt investments. Our study's data add substantial support to this conclusion.

* There is enough long-term data to suggest that it would be reasonable to be evenly invested in TIAA and CREF and to expect such an account to exceed the value of a single TIAA account by about 10 to 30 percent. Where one falls in the range will depend on career length and equity market conditions at the retirement year, such as the soft equity market conditions that occurred in the late 1970s and early 1980s.

* People who expect to work 35 years or longer and who have a higher tolerance for risk should consider 100 percent investment in CREF. A 35-year participant who retired in 1994 would have nearly $397,000 in a 100 percent CREF account, compared to about $258,000 in a 100 percent TIAA account--a difference of 54 percent.

* Currently, TIAA-CREF offers a number of different stock investment vehicles, such as the Social Choice Account. Many of these accounts are recent additions to its family of funds, with little long-term historical data. Our analysis is based on the assumption of retirement investments only in the TIAA annuity account and the CREF stock fund, the route that hundreds of thousands of academics and researchers have taken since 1952. Consequently, for those who respect long-term investment patterns, we recommend that they use only these two investment vehicles. (This also assumes that the two funds' investment philosophies remain the same and are timely.) Based on this past information, some tentative estimates may be made about future returns. While personal circumstance and tolerance for risk may change over the years, one can estimate that CREF, over a working lifetime, can produce a market-related risk premium of 10 to 30 percent beyond the value of a basic TIAA annuity account.

It is interesting to note that according to TIAA-CREF data as of June 2000:

* About 6 percent of participants direct all of their contributions to TIAA only, compared to 14 percent in 1994.

* Some 31 percent of participants directly allocate all of their contributions to various equity investments, compared to 15 percent in 1994.

* The percentage of participants who have a 50/50 TIAA-CREF allocation has dropped to 12 percent from 25 percent in 1994.

Clearly, the current equity investment climate has created some evidence of "irrational exuberance" in the academic and research communities.

The CREF and TIAA investment vehicles have served their participants well for the period covered by this study. The employee who wants to invest retirement funds only in TIAA-CREF and who believes that long-term financial history can repeat itself in the coming half century would be wise to use only these two funds and not attempt to move monies between the several CREF funds now available. Such changes involve "timing of the market," which is believed by many to be a poor strategy for most investors.

Eugene H. Fram is the J. Warren McClure Research Professor of Marketing at the Rochester Institute of Technology, Rochester New York, where Chun Keung Hoi is an assistant professor of finance.

References and Selected Bibliography

John Americks, "Research Dialog," TIAA-CREF Institute #65, New York City, October 2000, P. 2.

William Greenough, It's My Retirement Money (Homewood, IL: Irwin, 1990).

Robert D. Hershey, "Teacher's Fund Happily Learns a New Math, Plus Tax," New York Times, November 12, 2000, Sec. 3, p. 7.

Perspectives on Performance (New York: TIAA-CREF, 2000), pp. 12, 17.
Table 1

Total Accumulation of Retirement Dollars After 25 Work Years

                      Total accumulation    Total accumulation at
                                           retirement with various
                                                 TIAA & CREF
                        at retirement     portfolios related to 100%
                                           contributions to TIAA (
                                                  Baseline)
Starting   Year of        with 100%
Year      Retirement   TIAA (Baseline)    100% CREF

1953         1977           $46,633        -4.3% (a)
1954         1978           $50,339        -7.7%
1955         1979           $54,551        -6.2%
1956         1980           $59,494         5.9%
1957         1981           $66,114        -8.4%
1958         1982           $74,650        -3.1%
1959         1983           $83,133         5.5%
1960         1984           $91,582        -1.8%
1961         1985          $100,727        16.4%
1962         1986          $109,127        27.7%
1963         1987          $116,270        23.1%
1964         1988          $123,892        31.3%
1965         1989          $132,136        52.9%
1966         1990          $139,896        32.3%
1967         1991          $147,980        58.7%
1968         1992          $154,791        56.0%
1969         1993          $161,034        66.1%
1970         1994          $165,984        56.4%
1971         1995          $172,423        90.5%
1972         1996          $177,632       111.5%
1973         1997          $183,591       148.7%
1974         1998          $188,920       186.2%
1975         1999          $193,975       220.8% (b)
                                          Average over all
                                          retirement years
                                          from 1977 to 1999
                                           50.4%
                                          Average over all
                                          retirement years
                                          before 1994
                                           20.3%

             Total accumulation at retirement with various TIAA & CREF
            portfolios related to 100% contributions to TIAA ( Baseline)
Starting
Year      3/4 CREF + 1/4 TIAA  1/2 CREF + 1/2 TIAA  1/4 CREF + 3/4 TIAA

1953             -3.2%                -2.1%                -1.1%
1954             -5.8%                -3.9%                -1.9%
1955             -4.6%                -3.1%                -1.5%
1956              4.4%                 3.0%                 1.5%
1957             -6.3%                -4.2%                -2.1%
1958             -2.3%                -1.5%                -0.8%
1959              4.1%                 2.7%                 1.4%
1960             -1.4%                -0.9%                -0.5%
1961             12.3%                 8.2%                 4.1%
1962             20.7%                13.8%                 6.9%
1963             17.3%                11.6%                 5.8%
1964             23.5%                15.7%                 7.8%
1965             39.7%                26.5%                13.2%
1966             24.2%                16.2%                 8.1%
1967             44.1%                29.4%                14.7%
1968             42.0%                28.0%                14.0%
1969             49.6%                31.1%                16.5%
1970             42.3%                28.2%                14.1%
1971             67.8%                45.2%                22.6%
1972             83.6%                55.7%                27.9%
1973            111.5%                74.4%                37.2%
1974            139.7%                93.1%                46.6%
1975            165.6%               110.4%                55.2%



                 49.1%                32.8%                16.4%



                 15.2%                10.1%                5.1%

(a)100% CREF for a 1977 retiree is $44,627 ($44,627 = 46,633 x -0.043 +
46,633).

(b)100% CREF for a 1999 retiree is $622,271 ($622,271 = 193,975 x 2.208
+ 193,975).
Table 2

Total Accumulation of Retirement Dollars After 30 Work Years

                      Total accumulation    Total accumulation at
                                           retirement with various
                                                 TIAA & CREF
                        at retirement       portfolios related to
                                            100% contributions to
                                               TIAA (Baseline)
Starting   Year of        with 100%
Year      Retirement   TIAA (Baseline)           100% CREF

1953         1982           $88,409                12.5% (a)
1954         1983           $98,921                19.8%
1955         1984          $109,544                 7.0%
1956         1985          $121,159                23.8%
1957         1986          S132,055                34.0%
1958         1987          $141,588                27.0%
1959         1988          $151,855                33.7%
1960         1989          $163,053                54.9%
1961         1990          $173,826                33.5%
1962         1991          $185,195                58.4%
1963         1992          $195,194                55.5%
1964         1993          $204,685                62.8%
1965         1994          $212,749                51.3%
1966         1995          $222,945                83.2%
1967         1996          $231,561               104.4%
1968         1997          $241,082               139.4%
1969         1998          $249,696               175.1%
1970         1999          $257,753             213.1% (b)
                                             Average over all
                                           retirement years from
                                               1977 to 1999
                                                   66.1%
                                             Average over all
                                          retirement years before
                                                   1994
                                                   35.3%

            Total accumulation at retirement with various
                             TIAA & CREF
          portfolios related to 100% contributions to TIAA
                             (Baseline)
Starting
Year      3/4 CREF + 1/4 CREF        1/2 CREF + 1/2 TIAA

1953              9.4%                       6.3%
1954             14.9%                       9.9%
1955              5.3%                       3.5%
1956             17.9%                      11.9%
1957             25.5%                      17.0%
1958             20.3%                      13.5%
1959             25.3%                      16.8%
1960             41.2%                      27.5%
1961             25.1%                      16.7%
1962             43.8%                      29.2%
1963             41.6%                      27.8%
1964             47.1%                      31.4%
1965             38.4%                      25.6%
1966             62.4%                      41.6%
1967             78.3%                      52.2%
1968            104.5%                      69.7%
1969            131.3%                      87.6%
1970            159.8%                     106.5%



                 49.6%                      33.0%



                 26.4%                      17.6%

          Total accumulation at
             retirement with
           various TIAA & CREF
          portfolios related to
          100% contributions to
             TIAA (Baseline)
Starting
Year       1/4 CREF + 3/4 TIAA

1953               3.1%
1954               5.0%
1955               1.8%
1956               6.0%
1957               8.5%
1958               6.8%
1959               8.4%
1960              13.7%
1961               8.4%
1962              14.6%
1963              13.9%
1964              15.7%
1965              12.8%
1966              20.8%
1967              26.1%
1968              34.8%
1969              43.8%
1970              53.3%



                  16.5%



                  8.8%

(a)100% CREF for a 1982 retiree is $99,460 ($99,460 = 88,409x0.125 +
88,409).

(b)100% CREF for a 1999 retiree is $807,024 ($807,024 = 257,753x2.131 +
257,753).
Table 3

Total Accumulation of Retirement Dollars After 35 Work Years

                      Total accumulation    Total accumulation at
                                           retirement with various
                                                 TIAA & CREF
                        at retirement      portfolios related 100%
                                            contributions to TIAA
                                                 (Baseline)
Starting   Year of        with 100%
Year      Retirement   TIAA (Baseline)           100% CREF

1953         1987          $164,722                45.8% (a)
1954         1988          $177,552                50.6%
1955         1989          $191,658                68.2%
1956         1990          $205,463                42.0%
1957         1991          $220,183                66.5%
1958         1992          $233,472                60.9%
1959         1993          $246,342                66.4%
1960         1994          $257,668                54.1%
1961         1995          $271,742                85.8%
1962         1996          $284,097               105.5%
1963         1997          $297,801               140.7%
1964         1998          $310,632               172.4%
1965         1999          $323,036             206.6% (b)
                                             Average over all
                                           retirement years from
                                               1977 to 1999
                                                   89.7%
                                             Average over all
                                          retirement years before
                                                   1994
                                                   57.2%

           Total accumulation at retirement with various
                            TIAA & CREF
           portfolios related 100% contributions to TIAA
                            (Baseline)
Starting
Year      3/4 CREF + 1/4 TIAA  1/2 CREF + 1/2 TIAA

1953             34.4%                22.9%
1954             38.0%                25.3%
1955             51.2%                34.1%
1956             31.5%                21.0%
1957             49.9%                33.2%
1958             45.7%                30.5%
1959             49.8%                33.2%
1960             40.5%                27.0%
1961             64.4%                42.9%
1962             79.2%                52.8%
1963            105.5%                70.4%
1964            129.3%                86.2%
1965            155.0%               103.3%



                 67.2%                44.8%



                 42.9%                28.6%

          Total accumulation at
             retirement with
           various TIAA & CREF
            portfolios related
          100% contributions to
             TIAA (Baseline)
Starting
Year       1/4 CREF + 3/4 TIAA

1953              11.5%
1954              12.7%
1955              17.1%
1956              10.5%
1957              16.6%
1958              15.2%
1959              16.6%
1960              13.5%
1961              21.5%
1962              26.4%
1963              35.25
1964              43.1%
1965              51.7%



                  22.4%



                  14.3%

(a)100% CREF for a 1987 retiree is $240,164 ($240,164 = 164,722x0.45 +
164,722).

(b)100% CREF for a 1999 retiree is $990,428 ($990,428 = 323,036x2.066 +
323,036).
Table 4

Adjusted and Unadjusted for CREF and TIAA

                  Annual Return             Inflation-adjusted
                  (%)                         Return (%)
Year       CREF     TIAA      50/50      CREF         TIAA

1953        2.5      2.8        2.7       1.8          2.1
1954       48.8      2.8       25.8      49.5          3.5
1955       25.5      3.0       14.3      25.1          2.6
1956        9.5      3.0       6.25       6.5          0.0
1957       -4.7      3.1       -0.8      -7.6          0.2
1958       41.2      3.1       22.2      39.4          1.3
1959       13.9      3.3        8.6      12.2          1.6
1960        3.4      3.5        3.4       2.0          2.1
1961       18.6      3.8       11.2      17.9          3.1
1962      -14.4      3.9       -5.3     -15.7          2.6
1963       18.3      4.0       11.1      16.7          2.4
1964       12.7      4.3        8.5      11.7          3.3
1965       17.8      4.3       11.1      15.9          2.4
1966       -4.7      4.3       -0.2      -8.2          0.8
1967       23.4      4.5       13.9      20.4          1.5
1968        6.1      4.5        5.3       1.4         -0.2
1969       -5.5      4.8       -0.3     -11.7         -1.4
1970       -3.2      6.7        1.7      -8.8          1.1
1971       20.3      7.0       13.6      17.0          3.7
1972       17.1      7.0       12.0      13.7          3.6
1973      -18.1      7.4       -5.3     -26.8         -1.3
1974      -31.0      7.5      -11.7     -43.3         -4.8
1975       32.1      7.5       19.8      25.2          0.6
1976       21.2      7.5       14.3      16.3          2.6
1977       -6.4      7.7        0.6     -13.1          1.0
1978        8.7      7.8        8.2      -0.3         -1.2
1979       15.8      8.4       12.1       2.5         -4.9
1980       26.6      9.3       17.9      14.1         -3.2
1981       -1.5     11.6        5.0     -10.4          2.7
1982       21.9     13.7       17.8      18.1          9.9
1983       25.1     12.5       18.8      21.3          8.7
1984        4.7     11.6        8.1       0.8          7.7
1985       32.7     11.7       22.2      28.9          7.9
1986       21.8     10.3       16.0      20.7          9.2
1987        5.1      8.7        6.9       0.7          4.3
1988       17.5      8.9       13.2      13.1          4.5
1989       28.0      9.2       18.6      23.4          4.6
1990       -5.5      8.6        1.5     -11.6          2.5
1991       30.1      8.7       19.4      27.0          5.6
1992        6.3      7.7        7.0       3.4          4.8
1993       13.9      7.3       10.6      11.2          4.6
1994       -0,1      6.5        3.2      -2.8          3.8
1995       30.9      7.5       19.2      28.4          5.0
1996       19.4      6.7       13.0      16.1          3.4
1997       26.4      7.1       16.7      24.7          5.4
1998       22.9      6.7       14.8      21.3          5.1
1999       21.5      6.5       14.0      18.8          3.8
Average    13.1      6.8        9.9       9.1          2.7
Variance  243.3      7.8       64.6       ---          ---

              Market-adjusted
                 Return (%)
Year      CREF           TIAA

1953       9.1            9.4
1954       3.8          -42.2
1955      -0.9          -23.4
1956       6.9            0.4
1957       9.6           17.4
1958       3.1          -35.0
1959       5.4           -5.2
1960       6.4            6.5
1961      -4.5          -19.3
1962      -2.6           15.7
1963      -0.6          -14.9
1964      -0.3           -8.7
1965       8.7           -4.8
1966       8.4           17.4
1967       3.3          -15.6
1968      -1.6           -3.2
1969       5.9           16.2
1970      -3.3            6.6
1971       9.5           -3.8
1972       1.5           -8.6
1973      -0.7           24.8
1974      -1.3           37.2
1975       0.6          -24.0
1976       2.1          -11.6
1977       5.1           19.2
1978       7.6            6.7
1979       3.5           -3.9
1980       0.8          -16.5
1981       8.2           21.3
1982       7.1           -1.1
1983       7.8           -4.8
1984       3.3           10.2
1985       6.4          -14.6
1986       7.2           -4.3
1987       3.1            6.7
1988       5.1           -3.5
1989       0.7          -18.1
1990       1.1           15.2
1991       3.8          -17.6
1992       1.8            3.2
1993       6.8            0.2
1994       1.4            8.0
1995      -3.2          -26.6
1996      -0.9          -13.6
1997      -4.6          -23.9
1998      -3.8          -20.0
1999       2.0          -13.0
Average    3.0           -3.4
Variance   ---            ---
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Title Annotation:Teachers Insurance and Annuity College Retirement Equities Fund
Author:Fram, Eugene H.; Hoi, Chun Keung
Publication:Business Horizons
Article Type:Statistical Data Included
Geographic Code:1USA
Date:Nov 1, 2001
Words:4770
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