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[quote=Anonymous]So TSP issues pop up in this forum all the time.  TSP was intended to be simple and is the envy of practically every other 401k plan available.   I'd argue that TSP is the best fed benefit, even more than the pension.  The proven way to success has always been making the maximum contribution, setting a stock:bond ratio that you're comfortable with, re-balancing a couple times a year, and then adjusting your bond holdings higher as you age.  The G-Fund is the key cog because it never loses money, and is pretty much the only free lunch available in the investing world.

I don't do this.  And I hate myself for it.  The proven way is above, but with forever to go to until retirement (28-ish years), I tweak often and am practically gambling with my balance all the time.

TSP fund performance year-to-date:
[img]http://i.imgur.com/360vJWR.jpg[/img]

TSP last 12 month's fund performance:
[img]http://i.imgur.com/sMF6P9h.jpg[/img]

My last 12 month's PIP:
[img]http://i.imgur.com/WPARukA.jpg[/img]

Not a brag, but just showing what an active approach can do. I'm completely aware of the risk, but at this point in life, I've got nothing but time. Making strategic inter-fund transfers can make for some excitement, but can cause some sleepless nites too.  That 5.3% gain over the C-Fund is a huge chunk of money to me on a (very-low) six-figure balance.  There have been losses too...I finished 1% under the C in 2012 and 2% under the C in 2013.  But 2014 and 2015 so far have been rolling.

I reason all this to the fact that gains in the market are typically slow and steady, but a 5-20% drop can happen in a single trading day.  Missing a couple of big drops over the course of an investing lifetime could be life-changing, so I figure I have to buy a ticket to play.  "Losing" in this situation would simply be having a little less by retirement.  I estimate that I'm in 100% G about 20% of the time while hoping on that dip.  A crash doesn't bother me if I'm holding stock, because I've got forever to wait for the market to come back.  But the greatest worry is missing those good gaining days while holding the whole nut in G because those chances are gone forever.  On the other hand, making a good move (buying 100% G at an S&P high point, then 100% back into C at any point lower) locks in the profit forever.   Fortunately, 2015 has been good to me so far due to all the choppiness for the year.

Anybody else this involved with their TSP?  Or can someone convince me to straight up quit messing around with it?  I've got no one do discuss with at work since the most common TSP issue discussed there is loans.  :roll: [/quote]

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