New member needs advice

[etrujillo]

I currently have my tsp account in the c fund. I want to be more aggressive with my tsp account. I’m worried that I’ll lose money the first time I adjust my allocations, is this true?

[Spaf]

Hi et
Tom should greet you when he gets home. Are you speeking about contribution allocations, or are you talking about transfering money to other funds. The C fund is doing good now, don't hurry, sniff around for a while!

[tsptalk]

Thanks for joining usetrujillo. Allocation is such a personal thing since everyone's situation is different. 100% C fund is pretty aggressive. My current 50% S and 50% I fund allocation is even more aggressive so I expect some swings.

I have some suggested allocations at the bottom of this page --> www.tsptalk.com/longer_term.html (http://www.tsptalk.com/longer_term.html)

Hope it helps.

[TheProphet]

Just sharing my view on my free webpage below... :^

http://www.geocities.com/earn100kplus/TSP.html?1096981629953

[etrujillo]

Im talking about transfering money to other funds.

[cowboy]

etrujillo wrote:
Im talking about transfering money to other funds.



IF your talking of making an interfund transfer, yes you are taking a chance on losing money! There is risk involved. All you need to do is look at the TSP price history to see the risk involved in the F,C,S,I funds. Currently the price values are at their highs and investing now is very risky but a lot of people feel that the market is going higher. My suggestion is to be patient, which most of us have a hard time doing, myself included. Watch the market and when you feel comfortable with what your paying for the fund or fundsyou wish to enter take a small step in that direction if your afraid of the risk or very close to retirement and want to conservedon't go any deeper then what you feel comfortable losing. Another suggestion is to maybe play a paper game a month or two where you do it on paper and leave it in G as it helps you get the feel of the funds movement.

Of course if your in the C fund now as you say, you may be losing money at the moment as that fund is going down today but may be up tomorrow! I & S fluctuate sometimes more steeply than the C fund and other days less.

[etrujillo]

Would you suggest that I keep my current balance in the C-fund, and change my allocations? Keep in mind I have 29 years before I’m eligible to retire, and I want to be aa aggressive as possible. Thanks for your help.

[FundSurfer]

If you want to be aggressive, I'd suggest a combination of C, S, & I (50%, 25%, 25%).

If you have misgivings about being completely in stocks and worry (despite the fact that long term the markets average way better than G or F) then you may want to go 20% each fund.

My suggestion is to learn more about moving your funds around. With just a few moves a year you can do better than the market. Over time you should get a better feel for the market and may want to get more aggressive. This message board is a good place to start.

[cowboy]

etrujillo wrote:
Would you suggest that I keep my current balance in the C-fund, and change my allocations? Keep in mind I have 29 years before I’m eligible to retire, and I want to be aa aggressive as possible. Thanks for your help.


If you have 29 years and want to play more aggresive, the S & I funds will make or lose you more money at the moment. Some people feel that being into stocks and splitting it up is aggressive but it is a personal choice of how you feel about the markets and your confidence in them. I went 100% I fund yesterday, knowing full well of the risks in doing so, right now it looks like a good move but I have to be in tomorrow which may or may not be good. It also depends on how oftenyou feel like changing strategies are you emotional and will it bother you when you see your account go down because if you want to play aggressive you have to absorb the losses too when you make a call and feel the market go against you. Playing with a system may be better for you, only you can answer these questions.

The C fund is a weaker fund then the S & I funds and my theory is, if it is, it will go down first of the 3 funds. It is as all of the 3 funds at a higher value then it has been most of the year and if you want to conserve the value you would need to interfund it to G, if you want to be agressive and feel the market will go higher then you would leave it in the C or interfund transfer it to S or I and play with a steeper risk loss ratio. Lookat everyones ccountallocationson the board that is posting their accounts and make your own decision.This market has moved up six days straight with no losses until possibly today which to me is somewhat strong. Tom plays all the funds and currently 100% stocks and will lighten up when he feels the need to if hisindicators are telling him to, and willgo into the G fund.All of us make a wrong move now and then because were human. I don't know if any of this willhelp you or not it's just my perspective.

[TheProphet]

I went from 100 % G to 100% S...I made 20 cents on G... hope S give me another 20 cents this week Friday I will get out back to 100 % G and Tuesday back to S... I am following the seasonality charts of the Nasdaq but open to any cycle intervention and or economic indicator news or others that may affect the market seasonalityvalid on and with good trent and ideal conditions... I am a firm belief of if you leave I that I do never has to take losses... market history proved me that always always always come back and give me profit... Patient isa very very very profitabe virtue... :^