New Benchmark for the I-fund

[TommyIV]

From TSP.gov:

I Fund tracking new benchmark index — The I Fund information now reflects the MSCI All Country World Investable Market Index ex USA ex China ex Hong Kong Index (MSCI ACWI IMI ex USA ex China ex Hong Kong Index).

 

[tsptalk]

Interesting! Does that mean India, Brazil, Mexico, etc.? I'll have to look into it more to be sure, but it sounds like more volatility in some markets but the sum of all of them may be less volatile? Not sure. I do see today it is down just 0.68% vs. the EFA down 1.78%.

 

[tsptalk]

TOP 10 CONSTITUENTS | Country

TAIWAN SEMICONDUCTOR MFG TW
NOVO NORDISK B DK
ASML HLDG NL
NESTLE CH
ASTRAZENECA GB
SAMSUNG ELECTRONICS CO KR
ROCHE HOLDING GENUSS CH
NOVARTIS CH
SAP DE
SHELL GB

DM countries include: Australia, Austria, Belgium, Canada, Denmark, Finland, France, Germany, Ireland, Israel, Italy, Japan, Netherlands, New Zealand, Norway, Portugal, Singapore, Spain, Sweden, Switzerland and the UK. EM countries include: Brazil, Chile, Colombia, Czech Republic, Egypt, Greece, Hungary, India, Indonesia, Korea, Kuwait, Malaysia, Mexico, Peru, Philippines, Poland, Qatar, Saudi Arabia, South Africa, Taiwan, Thailand, Turkey and United Arab Emirates.

 

[JTH]

I suppose since I have no skin in the game here, I shouldn't be agitated, but I am. It was already difficult to track the I-Fund, now they've moved the goal post. Frankly they should scrape the name I-Fund and give it a new name, because all returns they post from now on will be misleading when compared to past performance.

Just a quick comparison of EFA Vs. ACWX, if there's a better ETF let me know.

 

[tsptalk]

Very true. It's still an international fund, but totally different.

 

[tsptalk]

I Fund benchmark index change in 2024 | The Thrift Savings Plan (TSP)

The I Fund’s current benchmark is the MSCI Europe, Australasia and Far East (MSCI EAFE) Index.

The future I Fund benchmark will be the MSCI All Country World Investable Market Index ex USA ex China ex Hong Kong (MSCI ACWI IMI ex USA ex China ex Hong Kong) Index.

Timing of the I Fund change

TSP fund managers will need to sell some stocks and buy others to move to the new benchmark index. To minimize costs, the managers will strategically choose dates and times for these transactions over a period of several months. We can’t disclose exact timing in advance because we need to protect the fund from the potential for other investors to have an unfair trading advantage. We’ll announce when the transition to the new benchmark index is complete, which will be no later than December 31, 2024.

 

[Beau435]

From TSP.gov:

I Fund tracking new benchmark index — The I Fund information now reflects the MSCI All Country World Investable Market Index ex USA ex China ex Hong Kong Index (MSCI ACWI IMI ex USA ex China ex Hong Kong Index).

Tom, can you or anyone verify the ticker that the I fund now matches? Is it the ACWX or maybe IXUS? Many of us would like to be able to chart the Index, since EFA is no longer the right Index ticker. Any help would be greatly appreciated!

 

[tsptalk]

I haven't found a good one yet, or at least one as good as EFA was with the old I-fund.

ACWX seems like it should be the one, but it is so off each day that it isn't very useful.

Even this index isn't in sync: https://finance.yahoo.com/quote/^753692-USD-STRD/history/