Thread: TSP Warning Letters

Originally Posted by sugarandspice

So if I have money in all 9 funds (Excluding G) then I can transfer 9 times back into the G fund. Thats 9 IFT's. plus 3 I get to the other funds? And TSP is going to build in software that flags my account if I am transferring to any other fund other than G. Come on! If that is the case and they are "making software corrections" this has computer glitch/meltdown all over it. People that have no idea what kind of changes are being made will soon find out because the WHOLE system will haywire.

Theoretically, according to the new rules, we can make a transfer everyday if weu are in the stock / bond funds and want to move into the G fund.

Monday 100% C
Tuesday 99% C / 1% G,
Wednesday 95% C / 5% G
Thursday 90% C, 10% G,
Friday 80% C to 20% G,
Monday 75% C, 25% G,
etc....

So, we can dollar cost average out of stocks, but not into stocks.

There is a compromise out there somewhere but they don't seem to want to negotiate, even though they have not put much time and effort into a reasonable solution.

Interfund transfer friends..... after reading all of the TSP Board's propoganda..they continually cite the IFT's in and out of the "I" Fund as 88% of the increase of costs from 2006 on associated with their perceived IFT problems..... I wrote my senator and told them to look into this if only the "I" Fund is the culprit then change that IFT rules ONLY on the "I" fund and leave the G, F, C, S Funds alone .. MIke in New Hampshire

When they stop spending huge amounts of money to "rebalance" the L Funds daily, then I'll stop "rebalancing" my account as I see fit. I wish everyone here would start refering to inter fund transfers as rebalancing their account. We move our money only a fraction of the amount being moved daily in the L funds. Everything is in the label they slap on our IFT. By labeling it "Day Trading", which it is not, they win with the masses. I rebalanced my account to 100% G Fund last Tuesday and haven't touched it since. I've saved them a huge amount of money this week, by not rebalancing my account daily as they have done with the L funds.

TonyMan

Originally Posted by tsptalk

Theoretically, according to the new rules, we can make a transfer everyday if weu are in the stock / bond funds and want to move into the G fund.

Monday 100% C
Tuesday 99% C / 1% G,
Wednesday 95% C / 5% G
Thursday 90% C, 10% G,
Friday 80% C to 20% G,
Monday 75% C, 25% G,
etc....

So, we can dollar cost average out of stocks, but not into stocks.

There is a compromise out there somewhere but they don't seem to want to negotiate, even though they have not put much time and effort into a reasonable solution.

So if you only move to the "G" or after your 1st IFT you only transfer to the "G", there is NO limit.
From TSP site:
Q2. What are the new restrictions on interfund transfers?
The Thrift Savings Plan will implement restrictions on the number of interfund transfers a participant can make per month in order to curb frequent trading and its associated costs to TSP participants. However, the TSP does want to provide the opportunity for participants to rebalance their accounts and to permit unrestricted access to the Government
Securities Investment (G) Fund. Accordingly, the restrictions would be as follows:
Participants can make two (2) interfund transfers per calendar month. After that, they may only move money from the Fixed Income Index Investment (F) Fund, the Common Stock Index Investment (C) Fund, the Small Capitalization Stock Index Investment (S) Fund, the International Stock Index Investment (I) Fund, and the L Funds to the G Fund.

We will count the interfund transfer based on its process date, not the date the interfund transfer was requested.


If your first or second interfund transfer in a month moves money only to the G Fund, it still counts toward your two (2) interfund transfers per month limit.

Originally Posted by TonyMan

When they stop spending huge amounts of money to "rebalance" the L Funds daily, then I'll stop "rebalancing" my account as I see fit. I wish everyone here would start refering to inter fund transfers as rebalancing their account. We move our money only a fraction of the amount being moved daily in the L funds. Everything is in the label they slap on our IFT. By labeling it "Day Trading", which it is not, they win with the masses. I rebalanced my account to 100% G Fund last Tuesday and haven't touched it since. I've saved them a huge amount of money this week, by not rebalancing my account daily as they have done with the L funds.

SPOT ON!!!

People,
All I read on this thread are complaints! Quote:
"(TSP) This is a retirement fund, not a day-trading account," Brown (Richard Brown, vice chairman of the thrift advisory council) said. "The goal here is what is for the greater good of all, not for the greater good of a few."

Keep it simple, if you want to play foolishly with your retirement money then start an account outside TSP and day trade away... I resent the actions of a few costing me gains. I see few making any better gains by making numerous IFTs. By the way, if you folks really knew how to invest, you'd be working up on Wall Street and not on the Federal dole.

Nice to have you on the message board. Welcome.

Originally Posted by Alamo

People,
All I read on this thread are complaints! Quote:
"(TSP) This is a retirement fund, not a day-trading account," Brown (Richard Brown, vice chairman of the thrift advisory council) said. "The goal here is what is for the greater good of all, not for the greater good of a few."

Keep it simple, if you want to play foolishly with your retirement money then start an account outside TSP and day trade away... I resent the actions of a few costing me gains. I see few making any better gains by making numerous IFTs. By the way, if you folks really knew how to invest, you'd be working up on Wall Street and not on the Federal dole.

The TSP board is the one that gave participants the ability to make once daily IFT's. By the way that's not day trading.

So, if the TSP board is the one that provided participants that ability, what exactly is the problem?

Originally Posted by Alamo

People,
All I read on this thread are complaints! Quote:
"(TSP) This is a retirement fund, not a day-trading account," Brown (Richard Brown, vice chairman of the thrift advisory council) said. "The goal here is what is for the greater good of all, not for the greater good of a few."

Keep it simple, if you want to play foolishly with your retirement money then start an account outside TSP and day trade away... I resent the actions of a few costing me gains. I see few making any better gains by making numerous IFTs. By the way, if you folks really knew how to invest, you'd be working up on Wall Street and not on the Federal dole.

Next time an air craft smashes into a building, or trains blow up, or the jobs report is going to be in the toilet, (and you know it), ---and--- you have already used your 2 IFT's, you'll be glad to have the option of a third IFT I think!

Originally Posted by Alamo

People,
All I read on this thread are complaints! Quote:
"(TSP) This is a retirement fund, not a day-trading account," Brown (Richard Brown, vice chairman of the thrift advisory council) said. "The goal here is what is for the greater good of all, not for the greater good of a few."

Keep it simple, if you want to play foolishly with your retirement money then start an account outside TSP and day trade away... I resent the actions of a few costing me gains. I see few making any better gains by making numerous IFTs. By the way, if you folks really knew how to invest, you'd be working up on Wall Street and not on the Federal dole.

Alamo,

I think you bought into TSP propaganda that is just not true. Those of us on this site have common concerns and sometimes venting helps us feel better. You are certainly welcome to visit or not. We DO value new opinions.

Originally Posted by Alamo

People,
All I read on this thread are complaints! Quote:
"(TSP) This is a retirement fund, not a day-trading account," Brown (Richard Brown, vice chairman of the thrift advisory council) said. "The goal here is what is for the greater good of all, not for the greater good of a few."

Keep it simple, if you want to play foolishly with your retirement money then start an account outside TSP and day trade away... I resent the actions of a few costing me gains. I see few making any better gains by making numerous IFTs. By the way, if you folks really knew how to invest, you'd be working up on Wall Street and not on the Federal dole.

The cost of trading has gone up to about $80 per year, per person. That's like losing 1 penny a share in the F fund. This is a problem for you? Are you kidding me? In January, this was one day where the I fund lost 4%. For a 100k account, that would have been a $4000 lost, in one day.