Feds Might be Getting Too Bullish with Retirement Savings

[James48843]

Good article today over on GOVEXEC.COM- go read it and learn that the Thrift Board is now concerned that too many people are investing in stocks! LOL!




Federal employees are beginning to “chase” recent market upticks in a manner similar to the period before the 2008 financial collapse, Thrift Savings Plan officials warned Monday.

Just 38 percent of total TSP assets are invested in the government securities (G) fund, members of the Federal Retirement Thrift Investment Board said at a monthly board meeting, marking the lowest level since February 2008. The G Fund, which invests in U.S. Treasury bonds, is the TSP’s safest offering.

“Usually this is a good thing,” said Renee Wilder, the board’s director of enterprise planning, “but I think participants are chasing the market.”


A good read:
Feds Might be Getting Too Bullish with Retirement Savings - Pay & Benefits - GovExec.com (http://www.govexec.com/pay-benefits/2013/12/feds-might-be-getting-too-bullish-retirement-savings/75565/)

[nasa1974]

Good article today over on GOVEXEC.COM- go read it and learn that the Thrift Board is now concerned that too many people are investing in stocks! LOL!



A good read:
Feds Might be Getting Too Bullish with Retirement Savings - Pay & Benefits - GovExec.com (http://www.govexec.com/pay-benefits/2013/12/feds-might-be-getting-too-bullish-retirement-savings/75565/)

The FRTIB seemed surprised. They really are out of touch.

[Frixxxx]

The FRTIB seemed surprised. They really are out of touch.

They seriously need a better sample. I still believe there needs to be better representation from the investors, retirees and current employees somewhere injecting into the board.

[DreamboatAnnie]

The FRTIB seemed surprised. They really are out of touch.
I wonder if they are just eyeballing the G fund for more possible Govmint tapping as part of debt ceiling "extraordinary measures".

Debt ceiling starts again in March right?

As part of the extraordinary measures, TSP stops reinvesting the G funds into Government bonds to keep the debt ceiling artificially lower (prevent from reaching the limit as quickly) than it would be if funds were invested. Since this goes into the computation of the estimated date when debt ceiling will be reached, those guys at FRTIB probably must report to CBO very regularly on G fund balances--so CBO can know how much help they will get on keeping the debt ceiling artificially lower. The higher the G fund, the better their ability to avoid reaching the debt ceiling as quickly as is the actual case. So being that the FRTIB wants to be the good guys and bring the CBO and Congress "good" news, they probably like the idea of us "dumb" Government employees not taking so many risks with our retirement monies... yeah! right! :suspicious:


https://www.tsp.gov/whatsnew/messages/directorMessage.shtml

http://www.cbo.gov/sites/default/files/cbofiles/attachments/44608-FederalDebt.pdf

[k0nkuzh0n]

If everyone and their mailman are getting into stocks... maybe time to get out and stay out :notrust:

[MrBowl]

If everyone and their mailman are getting into stocks... maybe time to get out and stay out :notrust:


That's what they are implying. But do we trust that the board knows their @$$ from a hole in the ground?

They strike me as elitists that don't believe we are at their level and we have way too much control over OUR accounts...that the TSP accounts should be managed by people at their lofty level.

[GUCHI]

the FRTIB have never tried to help/assist us in making good sound choices with our tsp before, why would they want to help now? i'm sure liability would be an issue, so they have been very careful to stay clear of our personal ccounts. ohhhh except when they thought it was better to reduce the number of trades. someone told me long time ago that if the govmint offers you something you can believe its not for your BENIFIT. JUST MY HONEST OPINION...

[weatherweenie]

They strike me as elitists that don't believe we are at their level and we have way too much control over OUR accounts...that the TSP accounts should be managed by people at their lofty level.
I think they are idiots, more than elitists.

[MrBowl]

Yeah, we should've all listened to them and had our funds in the G fund today! Maybe you are right about them being idiots

[Warrenlm]

The Bernank's presser today seems to have a tone of "mission accomplished".....but with perhaps prescience, one reporter noted that the large number of people losing unemployment "benefits" will significantly lower the unemployment rate....boy that half full glass keeps getting help.....

[Frixxxx]

The Bernank's presser today seems to have a tone of "mission accomplished".....but with perhaps prescience, one reporter noted that the large number of people losing unemployment "benefits" will significantly lower the unemployment rate....boy that half full glass keeps getting help.....
Slow the presses but keep rate low.....the only thing he could do.....fortunately, it made the markets happy. But the big question is if it will stay happy until the new year.

[Scout333]

The Bernank's presser today seems to have a tone of "mission accomplished".....but with perhaps prescience, one reporter noted that the large number of people losing unemployment "benefits" will significantly lower the unemployment rate....boy that half full glass keeps getting help.....

People always seem to forget that this time of year there are lots of temporary jobs due to the Christmas season hiring. Instant employment but it only lasts through the end of the year. Numbers look good but there is no real substance behind them. By February or so the numbers decline again.

[nasa1974]

I think if we read between the lines the FRTIB is concerned with so many not in the "G" fund it means higher fees being paid out and they have prided themselves on keeping the costs down. Just my observation.

[clester]

The Bernank's presser today seems to have a tone of "mission accomplished".....but with perhaps prescience, one reporter noted that the large number of people losing unemployment "benefits" will significantly lower the unemployment rate....boy that half full glass keeps getting help.....
1.3 million people will lose those all their benefits. Merry Christmas and go get a job! Its hard for most to get even a min wage job and we know you can't live on that but hey...They'll have to figure it out...Baa Humbug!!