The TSP returns for April are in and most TSP investors will be cheered by the results.
All funds, with the exception of the F fund, are up for the past month.
The international stock fund is far and away providing the best returns for April: 4.83%. For the past twelve months, the I fund has returned 33.58%.
The S fund only had a positive return of 0.34% for April but it is up 30.54% for the past twelve months.
The C fund had a strong performance in April as well. It was up 1.35% for the month and is up 15.40% for the past twelve months.
The F fund is showing the strain of higher interest rates. It is down 0.19% for the month but has a small positive return for the past twelve months with a gain of 0.76%. (See Is the TSP’s F Fund a Risky Investment?)
The G fund did about the same as usual: slow and steady with a positive April return of 0.44% and a return for the past twelve months of 4.52%.
Here is a quick summary:
| Fund | C | S | I | F | G |
| 12 Month Return | 15.40% | 30.54% | 33.58% | 0.76% | 4.52% |
| April Return | 1.35% | 0.34% | 4.83% | (0.19%) | 0.44% |
Here are the returns for the lifecycle funds:
| L2040 | 1.75% |
| L2030 | 1.62% |
| L2020 | 1.47% |
| L2010 | 1.18% |
| L Income | 0.74% |
Astute readers will want to take note of the returns for the L funds.
The best performing fund had a return of 1.75%. That is considerably less than the 4.83% return for the I fund for the month of April although relatively few TSP participants are likely to put all or most of their investments into this fund.
However, the L funds provide diversification among the five options available to TSP investors. Even conservative investors that are nearing retirement may have had trouble matching the 1.18% return of the L2010 fund (for those with a target retirement date of 2010). Some TSP investors nearing retirement put all or most of their money into the G fund.
With a monthly return of 0.44% for the G fund in April, investors nearing retirement may want to look closely at the returns of the L Funds and decide if you should consider diversifying your investments.
In short, TSP investors have a reason to smile as the returns of their retirement investments are continuing to provide a positive return. Enjoy it while it lasts as this continuing bull market in stocks may be wearing thin in coming months.
