OK. I'll try to make this comprehensive yet succinct if that's possible. It seems like I have been repeating this stuff a lot lately.
On the bottom of Tom's TSPTalk pages are some links. One of them is labeled EFA (I Fund). The graph displayed there is for the EFA which is an exchange traded fund based on the EAFE. Over a long period of time, the I fund price and the EFA will correlate but from day to day the differences can be significant. The EFA sometimes trades based on things that have already happened in the EAFE. Other times it trades based on things that are anticipated for the EAFE. BUT it is not the EAFE. There is no way to monitor the EAFE intraday, other than to watch foreign markets and the dollar, so Tom posts a graph to the EFA so we at least have some point of reference. But again, our I fund price is not based on this EFA, but rather Morgan Stanleys EAFE.
Each day, Morgan Stanley posts the closing EAFE price between 2:30 and 3:00 at this site
www.msci.com/equity/index2.html
When you first open the page, you are usually directed to the previous day's results. There is a spot near the top of the page where you can adjust the date to the current day.
When you get to the correct day you will see a chart that has headings across the top for daily, month to date, quarter to date, and year to date columns, first in local currencies and then in U.S. dollars. Down the side you'll see rows for various indices, the first row is for the EAFE. Follow it across until you get to the daily column under U.S. Dollars. That number is the daily change for the EAFE. It will represent the exact change for the I fund about 95% of the time. Just multiply that percentage by the previous day’s I fund price and you should get the new I fund price.
EXCEPT when the TSP board's investment manager, Barclays Global Investors, adjusts the price. This occurs when there is a significant stock or currency movement after the close of the foreign markets but before the close of our markets. It’s called fair valuation and it is done to keep traders from taking advantage of what they call “stale” prices. It is openly explained on the TSP.gov website. When they do it, they will always make it up within a day or two. In other words, if the quote is supposed to go down 5 cents but it goes down 10 instead, then they will add 5 cents to whatever the change is supposed to be the next day.
Having said all that, ( comprehensive maybe, succinct, not so much) there is not much good in knowing all this, since the quote comes out after our noon deadline and can't help us with our day to day decisions. But it does help understand the I fund pricing.
Dave
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