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MODIFICATION OF TIAA-CREF RETIREMENT POLICY



(Board of Trustees Meeting, July 11, 1971)



The President asked for approval by the Board of Trustees

of a modification of our TIAA-CREF retirement policy provisions

+o include 100 percent participation by faculty members in CREF

(compared to the existing policy of requiring at least 25 percent

of retirement funds paid by a faculty member be placed with TIAA).

The a@ifference between TIAA and CREF is that funds placed with

TIAA are invested much more conservatively in bonds and senior

securities. Funds placed with CREF are invested in a comprehen—

sively large number of common stocks, This request to the Board

arose out of a recent change in the policies of the Teachers

Insurance and Annuities Association which made the division of

funds on a 100 percent basis into either TIAA or CREF possible

for faculty members. After discussion, the Board of Trustees

approved of this modification in policy, allowing a faculty

member to exercise an option to invest all of his retirement



funds in TIAA or CREF as he wishes.