What is your TSP fund breakdown today?

[Anonymous]

Anonymous wrote:1/3 each, C,S and I

You have way too much in I. Recommend allocating future contributions to 75% C and 25% S

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Just checked and I’m 100% in I. I don’t remember doing that but I only mess with it once a year or so. Thanks for reminding me I will mix it up!

Ouch! That sucks!!

Doesn’t it currently have the highest share prices ?

Please tell me you're not serious. You know that comparing share prices of different investments means nothing, right?

Not really. New hire not long out of school.

Go with a life cycle target fund. You are in a long game. Be patient and keep putting money in. Also depending on your tax bracket, seriously consider ROTH contribution. If you don’t like LC funds, avoid F or I funds.

[Anonymous]

^ I’d do 100% C if I were new to govt. don’t look back, don’t be cute. Just slow and steady. you will be a multi millionaire by the time you retire.

[Anonymous]

Anonymous wrote:^ I’d do 100% C if I were new to govt. don’t look back, don’t be cute. Just slow and steady. you will be a multi millionaire by the time you retire.

Not any in S? I like 75% C/25% S for a little thrill

[Anonymous]

Anonymous wrote:

Anonymous wrote:^ I’d do 100% C if I were new to govt. don’t look back, don’t be cute. Just slow and steady. you will be a multi millionaire by the time you retire.

Not any in S? I like 75% C/25% S for a little thrill

That’s a good allocation too for young ppl. Remember C captures about 85% of market value.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:^ I’d do 100% C if I were new to govt. don’t look back, don’t be cute. Just slow and steady. you will be a multi millionaire by the time you retire.

Not any in S? I like 75% C/25% S for a little thrill

That’s a good allocation too for young ppl. Remember C captures about 85% of market value.

Why would you prefer C to an L 2040 fund? Newish hire here. 36 years old.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:^ I’d do 100% C if I were new to govt. don’t look back, don’t be cute. Just slow and steady. you will be a multi millionaire by the time you retire.

Not any in S? I like 75% C/25% S for a little thrill

That’s a good allocation too for young ppl. Remember C captures about 85% of market value.

Why would you prefer C to an L 2040 fund? Newish hire here. 36 years old.

Nothing wrong with L funds. I am sure folks at BlackRock who manage TSP know what they are doing. Personally I just don’t like F fund (rising interest environment) and the I fund at the moment.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:^ I’d do 100% C if I were new to govt. don’t look back, don’t be cute. Just slow and steady. you will be a multi millionaire by the time you retire.

Not any in S? I like 75% C/25% S for a little thrill

That’s a good allocation too for young ppl. Remember C captures about 85% of market value.

Why would you prefer C to an L 2040 fund? Newish hire here. 36 years old.

Nothing wrong with L funds. I am sure folks at BlackRock who manage TSP know what they are doing. Personally I just don’t like F fund (rising interest environment) and the I fund at the moment.

The L funds are fine, and for someone who is uncertain what to do or would prefer to set it and forget it, it's probably the best choice. But they are fairly conservative. In my opinion, they are too conservative for my risk profile. The L2040 has 21% G fund and 7% F fund, and even the L2050 has 11% G and 7% F. The F and G funds are very low-risk, low-reward funds. I don't want to be so heavily into low-risk/low reward funds when I'm 20-30 years away from retirement.

Full disclosure: I'm also 36 and my current allocation is close to 40% C, 40% S, 15% I, and 5% G. For comparison, the L2040 is 38% C, 12% S, 22% I, 21% G, and 7% F. So I'm basically just tilting towards S and away from G and F.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:^ I’d do 100% C if I were new to govt. don’t look back, don’t be cute. Just slow and steady. you will be a multi millionaire by the time you retire.

Not any in S? I like 75% C/25% S for a little thrill

That’s a good allocation too for young ppl. Remember C captures about 85% of market value.

Why would you prefer C to an L 2040 fund? Newish hire here. 36 years old.

Nothing wrong with L funds. I am sure folks at BlackRock who manage TSP know what they are doing. Personally I just don’t like F fund (rising interest environment) and the I fund at the moment.

The L funds are fine, and for someone who is uncertain what to do or would prefer to set it and forget it, it's probably the best choice. But they are fairly conservative. In my opinion, they are too conservative for my risk profile. The L2040 has 21% G fund and 7% F fund, and even the L2050 has 11% G and 7% F. The F and G funds are very low-risk, low-reward funds. I don't want to be so heavily into low-risk/low reward funds when I'm 20-30 years away from retirement.

Full disclosure: I'm also 36 and my current allocation is close to 40% C, 40% S, 15% I, and 5% G. For comparison, the L2040 is 38% C, 12% S, 22% I, 21% G, and 7% F. So I'm basically just tilting towards S and away from G and F.

Thanks for that breakdown. I actually have 80% in L2040 and 20% in S, so it's not too dissimilar from yours.

[Anonymous]

Anonymous wrote:

Anonymous wrote:1/3 each, C,S and I

You have way too much in I. Recommend allocating future contributions to 75% C and 25% S

Why so much in C. Why not a balance with C and S and lower I?

[Anonymous]

The L funds are in the process of getting more stocks. The new 2060 fund will start at 99% stocks.

[Anonymous]

Anonymous wrote:The L funds are in the process of getting more stocks. The new 2060 fund will start at 99% stocks.

Hmm I’d be 73 then. I wonder how old are most people when they retire these days.

[Anonymous]

Anonymous wrote:The L funds are in the process of getting more stocks. The new 2060 fund will start at 99% stocks.

No way... link?

[Anonymous]

Anonymous wrote:

Anonymous wrote:The L funds are in the process of getting more stocks. The new 2060 fund will start at 99% stocks.

No way... link?

https://www.tsp.gov/whatsnew/Content/index.html#lifecyclechanges

Changes coming to the Lifecycle (L) Funds — (September 18, 2018) The TSP is planning adjustments to the L Funds in an effort to improve outcomes for participants who invest in them. Effective in January 2019, we will increase exposure to international stocks (the I Fund) from 30% to 35% in all L Funds. The L Income Fund stock allocation (C, S, and I Funds combined) will increase from 20% to 30% over a period of up to 10 years. The total stock allocation for the L 2030, L 2040, and L 2050 Funds will hold steady for a period of years to facilitate transition to the L 2060 Fund when it is introduced in 2020. Finally, at that time, the L 2060 Fund will begin with a 99% stock allocation.