Before moving your TSP to the G Fund, watch this.
VloĆŸit
- Äas pĆidĂĄn 7. 09. 2024
- G Fund transfers are the highest they've been in a long time. In this video, Thiago Glieger discusses how to best use the G Fund in from a financial planner's perspective.
đFind out if you're on track to meet your financial goals: connect.emapla...
LINK TO FULL ARTICLE: thefedcorner.c...
-----------------------------------------------------------------------------------------------------------------------
âșTo see more of our content, visit our website for federal employees here: thefedcorner.com/
âșWant to see more of our videos? Click here: www.youtube.co...
âșIf you'd like help from a team of Certified Financial Planner (CFP) professionals that specialize in working with federal employees, visit our website at thefedcorner.c...
--
Make sure you Subscribe to the channel and click the Bell icon to be notified whenever we release new financial strategies for federal employees.
The Fed Corner is a purpose built channel of information and financial planning strategies specifically designed for Federal Employees. We talk about money, building wealth, navigating your federal benefits, financial planning, the economy, the markets, and more.
Copyright © 2022 The Fed Corner - All Rights Reserved. The things we talk about are not to be taken as advice, visit our site for disclosures. #TheFedCorner
Impossible to time the market. In retirement, I use the G-Fund to rebalance back to my 70/30 allocation (buy low sell high). While working, I never used the G fund at all - 100% stocks, set it and forget it.
Thanks for tuning in and sharing!
Mis July I followed eecommendation of advisor and went from G to C 100%. It has now plummeted, and I've lost tons!! I retire in 2 years, but now I have so much to make up for. Pretty terrified.
Sorry to hear that. I'd argue 100% stocks may be too aggressive for most people retiring that soon. You might consider a less aggressive allocation that better aligns with your objectives. You should tell your advisor that his recommendation is making you feel uncomfortable so that they can provide you with a better solution. Hope this helps. -TG
â@@TheFedCorner Thank you.
Thank you!
You bet!
How about this C/G fund strategy: start 100% C fund and expect to be 100% C fund the majority of the time. Follow the S&P 500 6 month performance on your phone. When the S&P surges 15%+ in 6 months and is above the long term exponential trend line, then switch to 50/50% C and G to mitigate the eventual down market correction. When the S&P enters bear market territory (down 20%), then switch back to 100% C fund to maximize the rebound gains. I call it the Lather, Rinse, Repeat strategy, but is basically the sell high and buy low strategy with trigger points. Trouble is, it is challenging psychologically to sell when you're making money and buy when you're losing money. I didn't do this myself and instead stayed 100% C fund for decades and did very, very well simply waiting out recessions and bear markets. But looking back I probably could have done twice as well with this sell/buy strategy. Is there a way you could model this with historical S&P data?
That's literally what I'm doing. Markets were overbought, and I was expecting a correction and went 100% G fund. Once the market was getting oversold, I switched back to S fund 100%. I just switched back to G fund since I'm expecting a big drop in the market very soon. I was at a +13% before I switched to G fund.
@@Rei_naldo What you are doing is different in that you are going to 100% G fund. If you do that you could be exposed to a bond market crash which would be exceedingly rare but not out of the realm of dedollarization bond manipulation. It would also lock out growth fund gains and not ke e p up with inflation. Also, I like the C fund more than the S or I funds. So in my strategy one would go 50% C and 50% G when the market surges 20% and goes above the trend line (locking in some gains and mitigating loses when things cool off), and then revert back to 100% C when the market falls -20% into a bear market (to ride the recovery upswing). Don't sweat the 5% to 15% volatility fluctuations.
This is kind of what Iâm doing nowâŠ.difference is I am normally 100% c fund and noticed that S&P over the last few weeks was dipping so I changed to 100% G. Once I figure itâs rock bottom Iâll transfer it back. With 50/50 you are just lossing
@@drmitofit2673The F fund has the exposure to bonds while the G fund is mandated by law to not go down in value (inflation not withstanding). Bonds have been "crashing" since 2020 and we appear to be at or near a bottom.
Good stuff! Thanks for this
Glad you found it helpful.
Played o0 9 loop open
You completely ignored the rebalance tactic. Iâm thinking that is not an accident.
My retirement covers my expenses and I can invest my social security in a taxable brokerage account.
Great to hear that!
IF you are young never move anything leave it alone.
Younger folks have the time to invest riskier, just understand what that means in the short term. Thanks for the comment!