August 2018

Allocation Percentages for August 2018
F Fund

0%

C Fund

18%

S Fund

82%

I Fund

0%

We are seeing continued strength in the economy and surprisingly technology stocks, but not social media. A GDP of 4.1% and revised numbers for the first quarter reveal we are still in a very strong position. Many technical investors are still very bearish and there are many doubts the market and the economy can continue its positive direction. From the IS-LM-FE model of economics, we are seeing a very good example of how our economy is expanding, while the employment drops and the money supply is decreased through interest changes. What has declined to makes the conditions possible is the US savings rate has declined from ~6% in 2016 to 3% today. Less people saving, or more accurately, more people spending, is driving the economy. From this deduction, the Fed will continue to raise interest rates, impacting companies trying to secure debt at the previously enjoyed low interest rates. This will ultimately slow growth, but not in the near term. Encouraging news is the lack of any real impact on the "Tariff Wars" and the ability to negotiate reduced tariff for US goods overseas, impacting many of the stocks in the S Fund in a positive way. They will have more markets open to them, and their raw materials will probably not increase as much as the pessimists feared. My distribution summary reflects these trends. Keep investing!
           
  

TSP FUND QUOTES

Date L Income L 2025 L 2030 L 2035 L 2040 L 2045 L 2050 L 2055 L 2060 L 2065 L 2070 G Fund F Fund C Fund S Fund I Fund
2025-03-28 26.8594 13.8120 50.1902 15.1042 57.3059 15.7146 34.5059 17.2790 17.2769 17.2747 10.2384 18.9577 19.9738 88.4507 82.3925 44.2564
2025-03-27 26.9686 13.8746 50.6826 15.2667 57.9789 15.9125 34.9707 17.5702 17.5680 17.5657 10.4107 18.9555 19.8635 90.2289 84.2106 44.7319
Daily Change -0.4%-0.45%-0.97%-1.06%-1.16%-1.24%-1.33%-1.66%-1.66%-1.66%-1.66%0.01%0.56%-1.97%-2.16%-1.06%
Month to Date -0.82%-0.94%-2.24%-2.49%-2.74%-2.95%-3.16%-3.86%-3.86%-3.86%-3.86%0.33%-0.18%-6.17%-7.59%0.96%
Year to Date 0.44%0.37%-0.51%-0.66%-0.83%-0.97%-1.12%-1.73%-1.73%-1.73%-1.72%1.09%2.54%-4.82%-8.61%5.63%
Details L Income L 2025 L 2030 L 2035 L 2040 L 2045 L 2050 L 2055 L 2060 L 2065 L 2070 G Fund F Fund C Fund S Fund I Fund
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