Playing the I fund

[sugarandspice]

I am in the same 100% boat with you.

 

[mlk_man]

Is that 100% for you or 50% each?.....................:cheesy:

 

[sugarandspice]

She is always cutting me out. Sugar?....Tell the nice man you meant to say WE are in the same boat as him

 

[mlk_man]

Just make sure you each don't get an oar. We'll be going round in circles for days!!!!!!

 

[JOVARN]

May be really stupid but what is a FV day?

 

[Wheels]

May be really stupid but what is a FV day?

It's not a stupid question. A FV day is a day that Barclay's decides to apply a process known as fair valuation to the closing price of the EAFE equity fund. TSP will then make the same adjustment to our I fund. The adjustment will be "corrected" within a day or two.

Read back over this thread carefully for a more detailed explanation.

Dave
<><

 

[sugarandspice]

TSP says I fund up 17 cents a share.

 

[Soldat]

From what I know, a Fair Valuation occurs when there is a substantial fluctuation of currency value AFTER the MSCI EAFE closes (closes when all European markets are closed).

And I have not seen an instance where Barclays/TSP have adjusted for any reason other than currency fluctuation after MSCI EAFE close; regardless of what the US markets close as.

It is true that (iShares) EFA does not always correlate with (MSCI) EAFE. Today, investors of the EFA anticipated that the EAFE would occur a loss on Tuesday, which is why the EFA only closed at +0.48% and the EAFE closed above +0.9%. However, there was no Fair Valuation because the dollar closed at around the same amount as what it was trading at when the EAFE closed.

My two cents, I'll take 17 today.

 

[Wheels]

And I have not seen an instance where Barclays/TSP have adjusted for any reason other than currency fluctuation after MSCI EAFE close; regardless of what the US markets close as.

I have seen one or two instances of a fair valuation based on a large move of U.S. markets after the EAFE close, but I would agree that it is almost always a currency thing.

Dave
<><

 

[JOVARN]

A little pick me up I hope to start the day
AP
Dollar Steady Against Yen, Euro in Asia
Tuesday April 18, 4:51 am ET
Dollar Steady Against Yen and Euro in Asian Trading
The dollar had a strong start. Japanese institutional investors and importers bought the U.S. currency for yen, sending the dollar as high as 117.96 yen. But Japanese exporters quickly stepped in for the dollar selling, pushing it down to as low as where it started.
However, two Fed members last week expressed doubt over how much further rates will have to rise, prompting players to eagerly wait to scrutinize minutes due out later Tuesday from the Fed's
March meeting to see if other central bankers have taken a more dovish stance.

------------------------------------------------------------------------
http://www.bloomberg.com/apps/news?pid=10000101&sid=aN4ejvC4XFSs
Dollar May Fall on Concern Slowing Growth to Curb Rising Rates
April 18 (Bloomberg) -- The dollar may decline for a fourth day against the euro, the longest losing streak in a month, on concern U.S. growth will slow, prompting the Federal Reserve to stop raising interest rates.

A government report today will show builders broke ground on fewer new homes in March than February, according to the median forecast of economists surveyed by Bloomberg, suggesting higher borrowing costs are restraining the housing industry. The dollar slid the most since March yesterday as traders pared bets the Fed will increase rates twice more this year.
``The yen and Asian currencies will appreciate,'' Ryohei Muramatsu, a manager of Group Treasury Asia at Commerzbank, said in Tokyo. ``China week has finally begun. It will be a major focus.''



I think I just heard Warren Buffett say. Dam its about time.

 

[Soldat]

Today looks like it will be a Fair Valuation day. Dollar is falling substantially after MSCI EAFE close.

Dollar is DOWN...
.42% vs. Euro
.23% vs. Yen
.54% vs. UK

and falling...

 

[sugarandspice]

MSCI EAFE says up .414 for today.

 

[pointman72]

Question: Where do I go to get this quote (MSCI EAFE .414 today)?

 

[FUTURESTRADER]

Question: Where do I go to get this quote (MSCI EAFE .414 today)?

http://www.msci.com/overview/index.html

then select 'Global, Regional,...'

 

[pointman72]

Thank you so very much.

Part 2 of the lesson: How do I find out the value of the dollar when our markets close so that I have a comparable?

Sorry about the "babe in the woods" just trying to learn.

Thanks in advance.

 

[Soldat]

For currency...

http://finance.yahoo.com/currency



For MSCI figures...

http://www.msci.com/equity/index2.html



You can see how MSCI posts the dollar as gaining strength today. That MSCI figure closed before 12pm E.T.
+.414 would equate to 8 cents today. I bet we see 20 cents or more.

 

[pointman72]

Thanks its beginning to come together.

It's just that up to now, it seamed like a real crap shoot to play the I fund because I could never tell when they were going to pay. It did appear like they would eventually pay you (may take a couple of days) it was just a matter of when. Maybe its just me but it appears that someone needs to publish some policies and procedures. Hint Hint Hint

 

[Soldat]

02 Jun 2003 G 10.00 F 9.97 C 10.03 S 10.05 I 10.17
26 Apr 2006 G 11.31 F 10.57 C 14.02 S 17.58 I 19.50

Under 3 years. The data speaks for itself. Europe, JP, and currency fluctuations dont always line up for the 777. But in the long run, the data speaks for itself.

 

[sugarandspice]

"I bet we see 20 cents or more."

If that holds true then we would be setup for an FV takeaway, Correct?

 

[Master]

The EFA ticker was at about +1.15% when the MSCI website posted the +0.414%. After that time, the EFA went to +2.05% at US close time.

I expect a significant upward FV today.