TIAA-CREF manages Lipper award ‘three-peat’

TIAA-CREF took the top honors at the U.S. Lipper Fund Awards for the third year in a row Tuesday, accenting a Cinderella story for a firm that’s charging into the adviser-sold fund market.
New York-based TIAA-CREF, long a major retirement servicer for nonprofit organizations such as universities, purchased Nuveen Investments Inc. in a surprise $6.25 billion deal last year.
Now, wholesalers from that longtime adviser-sold fund shop also sell TIAA-CREF funds, according to Carol Deckbar, the chief executive of TIAA-CREF Asset Management.
SINGLES AND DOUBLES
In an interview, Ms. Deckbar said TIAA-CREF’s investment teams are focused on hitting singles and doubles, not home runs.
“Most of the money that we manage is either for retirement or college education — it’s more ‘savings’ in nature — so the consistency is very important,” she said.
(Watch: TIAA-CREF’s Robert Leary on how they won a Lipper hat trick)

MassMutual Retirement Services, another retirement-focused manager, took home the overall award for smaller money managers.
Other top winners Tuesday included American Funds, which took home the large-firm award for mixed-asset fund categories. Six of its target-date funds were also honored for their three- and five-year track records. In recent months, the perennial adviser favorite has been fighting to bounce back from billions in outflows from 2008 to 2013.
Minneapolis-based Thrivent Asset Management, which serves a Christian clientele, took home the mixed-asset award for small firms.
Among stock-picking managers, the value-hunting Oakmark Funds, from Kansas City, Mo., took home the awards for large firms. Los Angeles-based Hotchkis & Wiley, another value shop, took home the honor for smaller equity portfolio managers.
61 TROPHIES
Sixty-one trophies were also given for three, five and ten-year investment performance in specific categories.
Jeff Tjornehoj, head of Lipper Americas research, said Lipper is now recognizing firms with trophies only if they show excellent performance over multiple time periods.
“It’s heartening to see that kind of consistency of excellence year over year over year,” he said.
Pimco, whose firm has weathered investor withdrawals since the tumultuous exit of founder Bill Gross, remains dominant in a number of fixed-income categories.
The Newport Beach, Calif.-based bond manager took home awards in five of those categories, including for its Pimco Income Fund (PIMIX). That fund, a top-seller for Pimco, is managed in part by Daniel J. Ivascyn. Mr. Ivascyn also took over the top investment role at Pimco after Mr. Gross’ departure.
Yet it was Lord Abbett & Co. out of Jersey City, N.J., and Guggenheim Investments, based in Chicago, that took home the top awards for fixed-income offerings overall.

2015 Lipper Awards: Asset Class and Overall Winners

*Large and Small Breakpoint set at roughy $52.6 billion AUM