Reply to Roll over three 401k accounts to TSP or not?

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[quote=Anonymous][quote=Anonymous][quote=Anonymous][quote=Anonymous][quote=Anonymous]I read TSP has low fees. I worked at 3 other places before joining the government so I have 3 I can roll over. Any reason not to? Maybe if the funds I selected in one is doing better than the C in TSP? 
 [/quote]

[b]Don't chase performance. Chase low costs[/b].[/quote]

This is not good advice. For mutual funds in particular, as long as you're not in A or C shares, the performance is NET fees. So if you have a low cost fund that earned 10% but a high cost fund that earned 12%, you want the 12%. Who cares if the expense ratio was higher? You still netted 2% more.

I would roll them to an IRA somewhere of your choosing and choose your own investments. The TSP doesn't have enough options if you're interested in sectors, etc. [/quote]

THIS. It's been true for me. I have a TSP - but it's only 2 yrs of my retirement savings. The other 10 (from before I joined the gov't) reside in a Fidelity IRA where I can pick investments -- and yes I know enough about it that I have extremely low cost investments rivaling TSP expenses but allowing me to diversify beyond the 5 freaking funds the gov't has decided are enough for us with no sector investments whatsoever. However consider how well you understand returns vs. expense ratios -- if you truly don't get it, stick with the TSP.[/quote]

Which Fidelity investments rival the TSP's costs.[/quote]

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