Riskier TSP funds bring greatest gains for May

Small and common stocks, two of the riskier fund options in the Thrift Savings Plan, led the pack for earnings in May, while only fixed-income bonds lost ground.

The S Fund, which invests in the stocks of small- and mid-sized American companies, grew the most, at 4.40 percent last month. The fund tracks the Dow Jones Wilshire 4500 Index, which invests in the 4,500 next-largest domestic companies after the 500 tracked by the common stock, or C Fund. May's growth brought the S Fund's 12-month gains to 21.89 percent.

The C Fund, which tracks Standard & Poor's 500 Index, was the second highest earner, with gains of 3.52 percent last month. Its 12-month gain was 22.81 percent.

The international, or I Fund, which invests in stocks in Europe, Australia and some countries in Asia, grew 2.54 percent in May. The fund had the highest 12-month gains, however, coming in at 26.92 percent.

The government securities (G) fund, which is the most reliable, earned 0.34 percent last month for a yearlong 4.92 percent increase.

The F Fund was the lone loser among the five basic options for May, dropping 0.70 percent. The fund, made up of fixed-income bonds, still had positive 12-month earnings, at 6.71 percent.

All of the TSP's life cycle fund options, which automatically adjust to more conservative allocations as investors near their target retirement date, saw gains last month. The options designed for younger employees grew the most, because they are the most heavily invested in funds that are riskier but also have greater earnings potential.

The L 2040 fund, designed for TSP participants anticipating retirement around the year 2040, grew 2.79 percent in May. The L 2030 Fund gained 2.52 percent; the L 2020 rose 2.15 percent; the L 2010 increased 1.53 percent; and the L Income, designed for employees with planned retirements in the very near future, gained 0.92 percent.

The L funds with riskier allocations also earned more over 12 months. L 2040 gained 20.92 percent, L 2030 grew 18.87 percent, L 2020 gained 16.85 percent, L 2010 earned 12.79 percent and L Income made 8.64 percent.

Stay up-to-date with federal news alerts and analysis — Sign up for GovExec's email newsletters.
Close [ x ] More from GovExec

Thank you for subscribing to newsletters from GovExec.com.
We think these reports might interest you:

  • Forecasting Cloud's Future

    Conversations with Federal, State, and Local Technology Leaders on Cloud-Driven Digital Transformation

  • The Big Data Campaign Trail

    With everyone so focused on security following recent breaches at federal, state and local government and education institutions, there has been little emphasis on the need for better operations. This report breaks down some of the biggest operational challenges in IT management and provides insight into how agencies and leaders can successfully solve some of the biggest lingering government IT issues.

  • Communicating Innovation in Federal Government

    Federal Government spending on ‘obsolete technology’ continues to increase. Supporting the twin pillars of improved digital service delivery for citizens on the one hand, and the increasingly optimized and flexible working practices for federal employees on the other, are neither easy nor inexpensive tasks. This whitepaper explores how federal agencies can leverage the value of existing agency technology assets while offering IT leaders the ability to implement the kind of employee productivity, citizen service improvements and security demanded by federal oversight.

  • IT Transformation Trends: Flash Storage as a Strategic IT Asset

    MIT Technology Review: Flash Storage As a Strategic IT Asset For the first time in decades, IT leaders now consider all-flash storage as a strategic IT asset. IT has become a new operating model that enables self-service with high performance, density and resiliency. It also offers the self-service agility of the public cloud combined with the security, performance, and cost-effectiveness of a private cloud. Download this MIT Technology Review paper to learn more about how all-flash storage is transforming the data center.

  • Ongoing Efforts in Veterans Health Care Modernization

    This report discusses the current state of veterans health care


When you download a report, your information may be shared with the underwriters of that document.