I FUND

[tgrmike]

I think someone screwed up posting I Fund results. Think they used MTD (.873%) vice the Daily (.228%). It should have been a 4 cent gain not a 14 cent drop. I'm trying to find answers now!

[tsptalk]

Welcome to the I fund. The mystery continues... http://www.tsp.gov/rates/share-prices.html. It's correct. The dollar was way up Tuesday causing the I fund to do worse than the EAFE index.

More info ... http://www.tsptalk.com/mb/forum14/93.html

[grandma]

Tom, can this thread be moved over to the I FUND forum, so it is all together???

[tgrmike]

You may be right, but I don't think so. If you take the MTD (.873) it comes out to a .14 cent loss, should have used the Daily (,228) for a 4 cent gain. That's what they have bee using in the past. http://www.msci.com/equity/index2.html

[tsptalk]

Oh, I see what you mean. The I fund is down 1.76% in March and the EAFE is only down .87% in dollars. Hmmm.

[tgrmike]

I take the MTD to mean Month To Date.

[tsptalk]

Me too. I hadn't notice that discrepancy.

[tgrmike]

I have talked to some folks in Md several times in the past and they told me by law they have to use the Daily from MSCI. I have called this am and they are to call me back. Will post results of our discussion.

[Ragin Cajun]

Gosh! Nikkei down .8 FTSE down .4 $ up vs. both yen and pound.

Is there ANY good news for the I fund today? I look for it to nosediveWed by about 10-12 cents.

Capitulation, are you out there???



Rajun cajun

[tsptalk]

tgrmike wrote: I have called this am and they are to call me back. Will post results of our discussion.
Please do. Thanks!

[tgrmike]

I see they changed the quote from +.228 to -.75 on http://www.msci.com/equity/index2.html

The fund investor said the difference was more than likely to dollar value calculaltion. They are going to get back to me.

I sure would like to know how and when they do this or how will you ever know what's happening? Also, I see where itdeclined on .10 centswhereas if you do the math it should have dropped around .28 cents. Guess the dollar value helps in somecases. That would have to explain today difference of .10 to .28.


http://www.msci.com/equity/index2.html

[tsptalk]

We talked about this before but don't take this as gospel. These index managers have to go a little educated guesswork.

The EAFE index contains stocks that trade virtually all day and night. Somewhere after the US market close and before the deadline for reporting quotes to newspapers etc, they have to come up withquote. Now if Intel comes out after the market close at 4:15 and reports thattheir earnings were way better than expected and it is obvious that the market is going to react positively the following day, they will adjust that quote because they know Japan is going react positively overnight, as are the European markets. If they didn't there could be some market manipulation.

Basically it is tough to come up with a closing price when the markets never close.

[Brak]

From the TSP Website:

Participants have asked why, on some days, the change in the I Fund share price reported by the TSP does not match the change reported for the Morgan Stanley EAFE (Europe, Australasia, Far East) index, which the I Fund tracks. This happens when the Board's investment manager, Barclays Global Investors (BGI) reprices its EAFE Equity Index Fund, in which the TSP invests, after the close of the foreign markets. This process, known as "fair valuation," occurs when there are large U.S. market or currency movements between the time the foreign markets close and 4:00 p.m., eastern time, when BGI's share prices are determined. Fair valuation ensures that traders cannot "market time" the I Fund by making investment decisions based on the "stale" prices, thus diluting the returns of other participants who invest in the I Fund. Because the EAFE uses the foreign market closing prices to calculate its values, its price change will differ from the TSP's on those days.

[Paul]

I haven't posted anything from Stratfor for awhile and here's a good one

on China. Like I said late last year, this could have a big effect on the I-fund

ifthey drag the participating countries down with them.