Thread: What YOU can do to fight back - IFT limit

Hopefully it won't backfire, but seems I got the attention of our region's HQ regarding a mass email I sent out. The region contacted my boss's boss to find out if I had sent out Spam. I told them/him, no I sent this out because I figured most of the TSP participants out there aren't aware that the TSP board is planning on restricting participants.

This is what I sent out:

http://www.thepetitionsite.com/1/reverse-the-decision-to-limit-tsp-
interfund-transfers

The TSP board is planning on limiting your ability to move your TSP
money. Whether you actively manage your TSP account, or not, revoking
this freedom is wrong. Help stop this action by signing the petition.
Feel free to send this email to others you may know that have money in
the TSP.

Thanks for your support

here's a reply to my email: All,
The TSP was never meant to be a day trading account, but many have been
using it as such since we gained the ability to adjust our accounts at
any time. Every time a TSP participant switches funds, that adds to the
administrative cost of the TSP, and therefore reduces the net gain on
all participants TSP accounts. In essence, the TSP community is
subsidizing trades for a small number of participants who feel the need
to try and beat the market. I believe this is why the TSP board wants to
reduce the number of intrafund transfers to 2 per month, with the
ability to place all of your account into the G fund at any time. This
seems reasonable to me given the original purpose of the TSP, a long
term savings plan. If TSP participants feel the need to be able to make
more than a couple of trades per month, then there are avenues available
to do this. One would be to reduce your TSP contributions and place that
extra money into one of the several day trade accounts available online.
Then you could trade to your heart's content without driving up the
administration costs in the TSP for the rest of us. Please take the time
to read the information regarding this topic on the TSP website. Just my
two cents.
Scott Rudge
NWS Rapid City.

more reply to my email: After reading Scott Rudge's reply to you, there's not a way in the world
that I'd be signing a petition. Also, I question your use of government
e-mail. The whole matter of TSP reducing the ability to change is also
best discussed by the union.

Well said Mr. Rudge! Thanks for this message. I want to also add that
in my opinion, part of the reason the stock market is so jittery is
because of the actions of "day traders". If a person happens to want to
use the TSP to day trade and try to outdo the market, that is an unwise
practice. I learned long ago in private investing that trying to time
and beat the market is a losing battle - I eventually lost a lot. I am
now content with just letting the market do what it is going to do,
because retirement is 10 to 15 years away.
Derek Frey/ NWS Hastings

Originally Posted by weatherweenie

more reply to my email: After reading Scott Rudge's reply to you, there's not a way in the world
that I'd be signing a petition. Also, I question your use of government
e-mail. The whole matter of TSP reducing the ability to change is also
best discussed by the union.

Well said Mr. Rudge! Thanks for this message. I want to also add that
in my opinion, part of the reason the stock market is so jittery is
because of the actions of "day traders". If a person happens to want to
use the TSP to day trade and try to outdo the market, that is an unwise
practice. I learned long ago in private investing that trying to time
and beat the market is a losing battle - I eventually lost a lot. I am
now content with just letting the market do what it is going to do,
because retirement is 10 to 15 years away.
Derek Frey/ NWS Hastings

I'm sorry you work with such sheeple!

Interesting replies that I have received from a regionwide email that I sent out regarding the proposed TSP restrictions. I received ONE positive reply. The rest were negative, along the lines of 'those darn daytraders!'

I hope it was a joke, but one reply was, 'what is this TSP that you're talking about?'

Sadly, I'm not feeling good about staving off these changes.

I understand the sheep with small balances not giving a flip or even harbouring a perverse jealousy towards those who might be benefiting from skills and opportunity which they may not have.

Having over 600k now, my system is to lighten up, using several IFT's when my indicators show overbought. I also work back in over several IFT's.

Many days I am equally happy to see either red or green at the end of the day.
What could be a better system for restful nights?

I am limiting my exposure to a 2000-2003 scenario in a huge way, while also out performing buy and hold during up years.

I am happy... and a am securing my retirement and providing for my family's future in a responsible way.......

Shame on the TSP board to take this away!
Shame on the small minded to delight in my future loss...............

Well after they shove the trade limits down our throats I'll be very anxious to see at the end of next year how all this MONEY they'll be saving will impact my account. Something like $2 a year.............

Have you signed the petition yet?

Have you gotten your co-workers to sign yet?

Visit http://tspshareholder.org and add your name to the list.

Thanks

Visit "the sandbox" for today's find.

I dug all day through pages and pages of Thrift Board meeting notes, and found a heck of a gold nugget.

See this thread, post #32 and below:

http://www.tsptalk.com/mb/bulletin-board/5191-sandbox-post137906.html

Here's an angle I think we can push if we can't stop the train.

They need to let us make a one time, in service, transfer from our TSP to a qualified self directed IRA. The amount would be up to but not more than all employee contributions in excess of the 5% required to get max gov't matching, from the day the current rules w/daily valuations were put into effect until said transfer is completed.

They are changing the rules mid-stream.
These new rule are an effective penalty.
Acknowlege this penalty with this appropriate redress.

It's an idea to consider. We've got several ideas floating right now. We plan to do a survey this weekend and see what people want to do, which ones have the broadest support and which ones have less support. The one thing we do know is that there appears to be universal opposition to just flat out limits.

If you have signed up for the TSPSHAREHOLDER.ORG newsletter, you'll get one of the surveys later this weekend. We're still working on the language. I encourage anyone who wants to participate to sign up for the newsletter at http://tspshareholder.org

Plus- we now have the first four TSPSHAREHOLDER newsletters on-line, for anyone who wants to view.

We're fighting back. Will you join us?

Thanks