July 2020

Allocation Percentages for July 2020
F Fund

0%

C Fund

100%

S Fund

0%

I Fund

0%

Writing this month's summary and forward-looking thoughts is quite difficult. The year of 2020 and the summer is not going as planned on many fronts. I am pleased the US Stock market had its best quarter since 1987, but I'm also concerned about what the second half of 2020 has in store for us. The rise in the US stock market has really been predicated on hope. Hope that the Federal Reserve will lower rates. Hope that the COVID-19 pandemic will ease. Hope that the economy will recover in a V-shape fashion. However, very strong headwinds are working against all these factors. In part of my analysis, I look at the Sharpe Ratio. The lower it is the more volatility (risk) exists in the basket of stocks/funds included for analysis. The last time the Sharpe Ratio behaved this way was in 2016 and the last time before that it was 2012. 2008 was skewed dramatically by the Great Recession. I know 3 data points does not make a trend, but with the political environment so heavily polarized I think the risk levels will continue to rise until after the election. Now, risk with commensurate reward is completely acceptable, and in many cases, desirable. The S Fund had a very successful month, but I was not willing to take the risk by investing in it. I continue to be hopeful returns will be in line with the risk I take by remaining in the C Fund, but I will be vigilant. One certainty for many of you out there is your retirement depends on saving and investing so - 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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