Readers' Comments
Total Comments: 55
Page 2 of 5
Page 2 of 5
"I would have lost more, but that was all the money I had."
Total Comments: 55
Page 2 of 5
Page 2 of 5
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| Close | Change | YTD | |
| G | $13.0760 | +0.0011 | +2.63% |
| F | $13.4554 | -0.0007 | +6.95% |
| C | $12.9082 | -0.0394 | +23.71% |
| S | $15.5321 | -0.0625 | +27.24% |
| I | $18.2310 | -0.1403 | +27.89% |
| Close | Change | YTD | |
| L 2040 | $15.2768 | -0.0566 | +22.32% |
| L 2030 | $15.1461 | -0.0487 | +19.99% |
| L 2020 | $15.0617 | -0.0401 | +17.13% |
| L 2010 | $15.0897 | -0.0155 | +9.09% |
| L Income | $13.7765 | -0.0111 | +7.76% |
November 21, 2009
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Markets
DOD
Fri Oct 10, 2008 1:19 PM
Post Reply
You know Ralph, everyone wants to use Warren Buffet as an example. He is a good one. So assuming that I want to follow it in my TSP I would be able to put 1.4% of my total portfolio in GE. Can I do that just like Warren does? No. I can apply the same reasoning as he does and when the market gets down to what I consider the ideal P/E ratio I will buy back in. I sold most stock last October because the Market was irrationally high. When the economy was sliding downward the stock market was at it's highest. This made no rational sense to me. Many people don't think of economics as a hobby. I have to admit that while the S&P 500 looks tempting right now, I am holding off. Many sell orders are being executed automatically, and I don't think the majority of institutional investors are done yet. There are many shares waiting to be dumped as of yet. I hope the bottom is only 20% away, that would be a decent stable place. After that it might be irrationally low.
Shrinking TSP
IRS
Fri Oct 10, 2008 2:21 PM
Post Reply
Yes, the market decline is a definite concern for everyone. Portfolio Paralysis says the 2 trades per month is too restrictive. Maybe I'm wrong, but I thought there were no restrictions on transfer of funds into the G fund. If that is the case, then you can still transfer funds into the conservative G fund if you don't trust the stock market. Personally, while I don't like what the stock market is doing right now, I am not changing any allocations because I know that it will rebound. Plus I have my money split between three separate funds and am in it for the long haul.
Move from the stock funds to G Fund
DFAS
Fri Oct 10, 2008 2:28 PM
Post Reply
I retired 28 Sep 07, and as of today I have lost a significant amount. This article said not to dump TSP stock funds and put the money into the G and F Funds, is this the same recommendation you suggest for us retirees who have chose not to start withdrawing yet? Thank you.
Crossing my fingers
VA
Fri Oct 10, 2008 2:35 PM
Post Reply
Ralph, your advice has always been solid. While I'm in it for the long haul, with my TSP money still diversified across several funds (including C and I), my wife transferred all of her money to the G fund several weeks ago. While she is pleased with herself now, I'm trying to remain optimistic and wait for the day the stock funds rebound even higher and I can say to her, "I told you so" (and then sleep in the garage :) ). I also feel to some extent that I'm doing a patriotic duty by not pulling my money from the stock funds and showing my commitment to the soundness of our economy. Even if the market drops back to 1929 levels for the next 12 years (when I plan to retire), I'll still be able to retire - I'll just be a lot more financially comfortable if it rebounds. I'm hoping that history will remain the best predictor of the future. Thanks for your efforts to provide Federal employees with sound financial advice.
Stock market decline
Social Security Administration
Fri Oct 10, 2008 2:38 PM
Post Reply
The big hit that a lot of Federal employees took to their Thrift Savings Plan accounts ought to ease one of the problems the Federal goverment was facing, the "retirement tsunami" off baby boomers all leaving at the same time. Many will not be able to afford to retire for years after they expected to. However, this baby boomer is going next January. I lost a lot of money in my TSP over the last few days, but I wasn't going to touch it for a few more years anyway. Thank you CSRS!
Re: Stock market decline
A Big One
Fri Oct 10, 2008 5:30 PM
Advice
DoD
Fri Oct 10, 2008 3:48 PM
Post Reply
Good article. I pulled out of the C fund a year ago and went into the G fund. If you need the money within five years, you should not be in stocks. Pay attention to the leading economic indicators which tell you what will occur in six months or more. A year ago they were all negative. Capitulation is approaching and people with cash are buying.
Dont listen to the media, they do not have your interests in heart, only theirs. Read the book Wall Street Defense to see what is really going on written by a former insider. It is not a level playing field at all.
Re: Advice
NOAA
Sat Oct 11, 2008 8:31 AM
If you put your money in G a year ago...you are golden...and should start thinking about moving it back. If you did not move a dime and still have it all in stocks (like me unfortunately)...yeah you took a loss...but all those shares you are buying now at 20-30% less will be worth a ton later on.
I still believe the lifecycle funds for your retirement date work. The current share prices reflect exactly what the fund brochures state (L2040 has tanked more then L2010...but will be worth much more in the long run)
It will be interesting to hear from folks who got out of stocks a year ago...and who put their money back in soon. I look forward to hearing how much you all made!
THE WRITING ON THE WALL
VA/USAF
Fri Oct 10, 2008 7:40 PM
Post Reply
It is a shame, that the study of history is a minor subject in the educationAL system of the USA. When we forget history, we are doomed to repeat it. As a railroad history buff, I saw this comming in December 2007. It is a cycle of business in the USA, but there were stronger indicators of this latest bull market. I told numerous close relatives to check their investments, and deposits. I told my wife, who is still working for the Fed., to place here funds in the G funds. She placed 90% in G, and 10% in S. She listens 90% of the time to me. The worst is not over. I predict it will bottom out around 7500. It's going to be a frightful, shocking, and bumpy ride, so hold on. It's October 2008.