Yuk, yuk...
Still have that super investor fund mix of:
50% in G
30% in C
10% in S
10% in I
I am, however, allocating:
60% to C
20% to S
20% to I
And guess what...
Even though I am not investing into the G Fund it is growing as a percentage of my holdings - that is, it is now about 52% of my holdings.
That tells you that sometimes it pays to be a bit safe
Me thinks, however, that I will readjust my holdings after the FedHead Yak to:
30% in G
40% in C
15% in S
15% in I
Why?
I still have a 30% holding in the closest thing to cash. That will allow me to invest if the market dumps. For example, right now if the worldwide stock market dumps another 10% I will lose only about 4.5% because of the holdings in the 'G Fund'. Even after rebalancing I will limit my risk to a 7% loss. And, that will be a total market correction of about 20% or so from the highs. That 30% will be my buy low sell high fund...
My current TSP has gained 8.94% YTD.
Another 10% in market losses will result in a very inexpensive stock market. The market gains will happen quickly and decisively. Where else is all that real estate money going to go?
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