Ferguson Brings $2.5 Billion to Financial Supermarket Bank Aisle
By Katherine Chiglinsky and Jennifer Surane
Roger Ferguson’s deal to buy EverBank Financial Corp. shows an eagerness to expand TIAA, the company known for offering retirement products to teachers, while he counters for-profit insurance rivals that retreated from heavily regulated deposit-taking operations. TIAA will pay $2.5 billion in cash for the largest Florida-based lender, adding a platform for providing personal and business loans, Ferguson said Monday. The push differs from the approach of MetLife Inc., Allstate Corp., Ameriprise Financial Inc. and Principal Financial Group Inc., insurers and asset managers that scaled backfrom banking amid greater U.S. scrutiny tied partly to the 2010 Dodd-Frank Act…. Bigger firms may be better able to handle compliance costs associated with increased regulatory scrutiny brought by the financial crisis. And Ferguson should be especially comfortable in that role, said Karen Shaw Petrou, managing partner of research firm Federal Financial Analytics. “He understands what it means when examiners come in to talk to the board,” she said in a telephone interview. “He is not prone to fear of the Fed.”