Holding %'s

[Medic72]

quick question, when i did my ift on 5/18/07 i went with freds advice and went 25C 40S 35I.

since i have not made an ift since then my question is this, on my account balance it shows

C 24.93%
S 40.07%
I 34.00%

is this due to my buying in on paydays or is this just from the rise and fall of the shares?

and do i need to annotate this change on my account post (when i get it) if i do not make an ift?

hopefully that all made sense lol.

 

[EW_ret]

The share price changes and your contributions both will change the percentage allocations among the funds in few weeks. Over time these allocations will differ from your target allocations. Some readjust monthly, quarterly, or yearly to get back to the target allocations. The recommended frequency for entering a IFT to rebalance to the target allocation depends on how far the fund allocations depart from the target allocations. A rule of thumb is perform a IFT when a fund allocation differs by the smaller of 5% (for allocations more than 20%), or one-fourth of target (allocations of less than 20%). Are your contributions going into funds at the same allocations as Trader Fred's recommendation?

No, you would not enter these small percentage changes in your "Medic72's Account", when it is opened. The TSPTalk tracker assumes the percentages stay the same, but in reality they change and that’s what enhances long term performance.

 

[Medic72]

Yes, I changed the allocations as well, when i made the ift. i asked a ? and got some good answers so i followed them. i think that i will make the allocation changes when i make the ift in the future, until my egg gets bigger.

Thanks