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Gas and Expenses Are Up But Your TSP May Give You Reason to Cheer

Fact Check

Engineer
DON
Mon Apr 24, 2006 11:10 AM

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Are your I fund example numbers right? Jan 05 to now is not four months?

stats

writer
FedSmith.com
Mon Apr 24, 2006 11:26 AM

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The figures are correct as of January 1, 2006. The example of for just under four months: from January 1 - April 21, 2006.

Can I cheer my choice?

Specialist
USDA
Mon Apr 24, 2006 12:47 PM

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So, this means those who opted for one of the L funds (like me) are we breaking even, not losing or are we up a little bit too?

Re: Can I cheer my choice?

manager
dod
Mon Apr 24, 2006 4:54 PM
Generally the L funds will not go up as much in up markets, or go down as much in down markets as a typical stock fund (such as C,S or I).

The real way to judge the L funds is to look at the long term performance. Since they haven't been around very long, look at the long term performance of the building blocks (whatever proportionate mix of C,S,I,F and G) is in your particular L fund mix right now.

Short term results aren't meaningful

IT Spec
DOE
Tue Apr 25, 2006 10:57 AM

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Four months of TSP performance really is a non issue. What is more important is to stay the course and continue to invest and pay off debt.

I think gasoline prices are a more interesting topic. When gas prices reach the levels they are at, inflation takes off. Everything that needs to be transported (food, goods, business travel) becomes more expensive and prices rise to cover the cost.

Are we heading into a period of inflation or stagflation ?

TSP

Management Analyst
NAV HOSP
Thu Apr 27, 2006 10:21 AM

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Can we expect these trends to continue for a while? I've just removed anything from the "F" and re-aligned things to the C,S,I,G & L.

Re: TSP

manager
dod
Thu Apr 27, 2006 12:03 PM
Which L fund are you in? Does it match your expected retirement time frame?

Keep in mind that the L fund is composed of all the rest of the funds and is designed to work by itself, not as one of several (such as your current configuration).

As far as knowing whether or not the current trend will continue, it's hard to say. You will most likely hear from several well spoken experts with good credentials that will give you different answers to that question but nobody really knows for sure. Be careful trying to time that trend, it's too easy to chase past returns that way.
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