Silverbird
11-26-2007, 10:38 AM
Ok, this may not be the best presentation for this information, but I think it will help our TSP investing:
I went to a presentation on TSP this year and got the following information on changes in the L funds from 2005 - 2007 (2 years). Here are the increases (G) and decreases (other funds) over two years in the L funds. (See Table 1)
We were also told that the L2010 fund would be retired in 2010, and the other funds would roll over into each other every 10 years, and in 2015 a new fund would be introduced, the L2050 fund, which would be the same as the L2040 Fund was at the beginning of TSP (August 2005), and the L2040 would be the same as the L2030 was in 2005. This did not make any sense whatsoever to me until this weekend. You can see how it works in Table 2.
I am not sure when the annual adjustments to G,C,S,I are done within the L funds, but this is how the more "risky" funds are slowly converted until they get to L Income.
Caveat: This is how the funds are allocated now, and how the progressions work now, there probably will be a review in 10 years or maybe sooner to see whether the GCSI percentages and progressions for the L funds should be changed.
Hope this makes sense, if not ask questions. If you can put this more coherently, please post comments/better tables/etc. Tweet
I went to a presentation on TSP this year and got the following information on changes in the L funds from 2005 - 2007 (2 years). Here are the increases (G) and decreases (other funds) over two years in the L funds. (See Table 1)
We were also told that the L2010 fund would be retired in 2010, and the other funds would roll over into each other every 10 years, and in 2015 a new fund would be introduced, the L2050 fund, which would be the same as the L2040 Fund was at the beginning of TSP (August 2005), and the L2040 would be the same as the L2030 was in 2005. This did not make any sense whatsoever to me until this weekend. You can see how it works in Table 2.
I am not sure when the annual adjustments to G,C,S,I are done within the L funds, but this is how the more "risky" funds are slowly converted until they get to L Income.
Caveat: This is how the funds are allocated now, and how the progressions work now, there probably will be a review in 10 years or maybe sooner to see whether the GCSI percentages and progressions for the L funds should be changed.
Hope this makes sense, if not ask questions. If you can put this more coherently, please post comments/better tables/etc. Tweet