Diving into the MB

**Scrappy** · 03-19-2009, 03:01 AM

Hello to all,

I have been reading the MB for several months. I initially signed on to be able to access posted links but I am really enjoying the MB for entertainment

and I think TSP Talk and you guys are great. I am also interested in the tracker at some point.

I have learned a lot but still have some recent IFT questions. I have a tendency to be very technical and/or ramble so I will try to keep this to one short question and maybe ask additional questions on a future thread.

This is not how I am invested but I would like to know how an IFT works?

If I am 90% G and 10% I and I do an IFT to go 80% G and 20% I, what happens?

TSP transfers 10% of my money to I, buying me more I shares at that days closing share rate?

TSP "sells" all of my G and I shares at the days closing rate and then buys G shares with 80% and I shares with 20% of my money?

Or is the answer neither............? I have searched the TSP site but have not found an IFT explanation except how to request it etc.

I am also searching for a good picture for my Scrappy Doo avatar.

Any and all replies would be greatly appreciated!

Lastly. GO BIRCH!

**KevinD** · 03-19-2009, 11:54 AM

Welcome Scrappy.

The term "dollar cost average" is used in appropriately at times with regard to IFT's. An IFT is a re-allocation. Your total balance at COB (close of business) is reallocated to the percentages that you request in the IFT.

I hope that answers the question. If not...somebody more knowledgeable will be along shortly.

**squalebear** · 03-19-2009, 12:26 PM

Originally Posted by Scrappy

GO BIRCH!

Gotta love the Rich Guy !

Welcome aboard Scrap !

Have some fun too !

**Show-me** · 03-19-2009, 01:00 PM

First, welcome to the mb and second, I'm not exactly sure how the buying and selling is done.

**cbackous** · 03-19-2009, 01:23 PM

i am pretty sure they would just shift 10% from G to I for the COB price (atleast it makes sense that way) but i am in no way an expert. Welcome to the MB.

**nnuut** · 03-19-2009, 01:27 PM

Howdy Scrappy, welcome to the message board!
Best of luck

Norman
Is this you Scrappy?
scrappyavatar.jpg
Or this?
scrappydoo.jpg

**squalebear** · 03-19-2009, 01:27 PM

#1- Lets say your in the (G) Fund at 100%
#2- You enter a IFT before noon (50%C,,,,,50%S)
#3- Market closes at 4pm and the TSP starts to work their magic.
#4- TSP Publishes the closing price at 7:20pm or after.
#4- TSP takes your Balance in the (G) and sells it at closing price.
#5- TSP takes half of your adjusted amount and Buys (C) at its
closing price for that day. (usually accurate within a penny)
#6- TSP takes the other half of your adjusted amount and Buys (S) at its
closing price for that day. (usually accurate within a penny)

When you wake up the next morning, you'll be able to access the info
on the TSP Website and see how many shares you bought with 50%
of your hard earned money in each fund.

Hope I got the question right ?

**tsptalk** · 03-19-2009, 11:26 PM

Hi Joel - I moved your post to its own thread...
Joel

**tsptalk** · 03-19-2009, 11:27 PM

Welcome Scrappy! I hope your questions were answered.

**Scrappy** · 03-19-2009, 11:51 PM

Thank you for all the WELCOMES and replies!

And a special thanks to Norman, NNUUT for finding my avatar.

As for my IFT question:
On 16 Mar I increased my I fund % with an IFT and decreased my G fund.
On 17 Mar I had less shares in I fund than the day before.........?

I thought I understood IFT's but this isn't working for me!!??

Scrappy

**Scrappy** · 10-08-2009, 09:53 PM

Back in the continental US and settling into a new job after a 1 year stint in Guam. Thanks to all for the replies awhile..................... back.

I like this new PIP on the TSP site. Finally in the positive at 4.something as of 3 Oct.

Anyone else interested in posting their PIP simply for amusement/trivial comparisons?

Hey does Obama have a TSP Czar?