Assuming a 3-fund portfolio, is there any good reason not to allocate all of one's bond $$ to the G Fund, and eliminate the F Fund altogether?
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Assuming a 3-fund portfolio, is there any good reason not to allocate all of one's bond $$ to the G Fund, and eliminate the F Fund altogether?
About 2% annually:
https://www.tsp.gov/InvestmentFunds/...alReturns.html
For a set it and forget it type of allocation, an equal split between F & G may not be a bad idea. The L funds allocate a lot less to F than G but as the data that I_T linked to points out, the F fund continues to outperform G. We are supposedly in a rising rate environment this year and F continue to outperform G as well.
Plus the gov't doesn't 'borrow' from the F-fund. :sick: