I gotta say I am pleasantly surprised to see my stock account flat and my TSP account (expected) to be up big after how we were looking this morning.
Another way to look at it is that you will be selling S at a higher share price too.
Honestly I don't think about TSP fund share prices at all, ever. I think of how exposed/volatile I want to be. S is max exposure max volatility, C is max exposure medium volatility, F is for shorting stocks (in a roundabout way, not literally), and G is zero exposure, zero volatility. If you have 20+ years to go and expect small caps to outperform large caps over that time (as they have historically), then set it in S and forget it. Investing in C is a defensive move imo. There are use cases for it, like trading in a bear market or investing closer to retirement, but people in our shoes should be in S.
This is all just my opinion. Hope it helps!
I gotta say I am pleasantly surprised to see my stock account flat and my TSP account (expected) to be up big after how we were looking this morning.
This is helpful, thank for responding! Your perspective on holding S vs C long term is quite interesting and something up until COVID I hadn't really put much thought into...truth is, until COVID I was in an L-fund and didn't pay much attention to the TSP....now I'm learning and paying a lot more attention to it! I just looked on the TSP website and interestingly enough, it looks like the C fund has outperformed the S over the 1, 3, 5, 10 year intervals...no one knows what'll happen over the next 10-20 but either way I won't be in the L fund anymore!
I haven't added the 2019 year end numbers to my excel sheet yet, but from 2001 (when the "S" fund was added to our TSP accounts) to 2018 the "S" fund has out performed the "C" fund 174.33% to 131.70%. However, if you had stayed 100% invested in the "C" fund since 1988 you would have earned 355.03%.
May the force be with us.
"Treat your wife with honor, respect, and understanding as you live together so that you can pray effectively as husband and wife." 1 Peter 3:7
Allocations as of COB Dec 28 : 100% S. | Retirement Date:Dec 2025
Past Returns: 2020 31.85%,2019 27.97%,2018 -3.36%,2017 13.10%, 2016 -1.79%, 5Yr Avg 12.61%
Weatherweenie's Account Talk
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S&P500 (C Fund) (delayed) (Stockcharts.com Real-time) |
DWCPF (S Fund) (delayed) (Stockcharts.com Real-time) |
EFA (I Fund) (delayed) (Stockcharts.com Real-time) |
BND (F Fund) (delayed) (Stockcharts.com Real-time) |
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Yahoo Finance Realtime TSP Fund Tracking Index Quotes |
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