Thread: TSP Transaction Processing

If I may, why start an account thread if you didn't know how it worked?

http://www.tsptalk.com/mb/view_topic...o=28328#p28328

Phragmanic wrote:

I curious about how my IFT is processed. Suppose that I have a balance like 50% G, 25% S and 25% I. If I request and IFT changing the allocation to 50% S and 50% I, how does that happen?

One would have to assume that the shares sold and the shares bought would be at the close of the IFT. You could track that use the number of share in your account balance page.

To complicate the matter, If the G fund earns a penny on the day that my transaction is effective, do I earn the penny on my G fund, then the dollars from G are reallocated to the S and I funds?

Yes. You are selling at the closing price and you are buying at the closing price.

Or, are all funds simultaneously "liquidated" and the new shares are purchased to reflect the new allocation of 50% S and 50% I,and I loose the penny?

You should not loose the penney. You are selling at the closing price.


Finally, does it matter what process is used? :?
This is probably something that I should know, but I couldn't find anything on tsp.gov or this site.


You may get better answers going right to the source.

http://www.tsp.gov/curinfo/contact.html

mlk_man wrote:

If I may, why start an account thread if you didn't know how it worked?

Sometimes we have to throw ourselves in the fire, get burned a few times, and see what we've learned. That's my strategy.

Good luck Phragmanic! If show-me's explanation doesn't answer all your questions, just let us know.

Tom

mlk_man wrote:

If I may, why start an account thread if you didn't know how it worked?

....because this is how we learn how it works! It hasn't been too many weeks/months ago I got it all twisted up and it took several posters several posts before I at least accepted what was said.o

Guess you're right Pat. So sorry.

mlk is right. No one should try to go fromnovice to daytrader. That doesn't look like that is what Phragmanic did, but it is good advice.

Thanks for the guidance. I have been trying to learnby readingthe various posts found here on this site, but sometimes Ifind myself wrestling with the basics. I have found that the TSP site is not always that informative; maybe I just don't know how to navigate! I do appreciate your patience, because I'm neither a blogger nor a daytrader. I just hope to stay on top of the TSP, and not loose a lot of wealth if (and when)the market takes a dive.

tsptalk wrote:

mlk is right. No one should try to go fromnovice to daytrader.

Too true, too late - This last Jan & Feb were horrible times to try to learn - I think Tom was getting ready to turn on a `access denied' button to my e-mails...!!:shock: