The New TSP Mutual Funds

[James48843]

Ok here is a question:

I’m hearing about the Fund “window” coming in June.

I’d like to identify funds that I intended to use through the window in the future. The terms of the window mean it’s not going to be a regular place for me, but I would like to explore and research now, so that I am better prepared when we can start doing it he window.

1. I’d like some kind of an energy/oil fund; and

2. I’d like some kind of an emerging markets expansion fund, to reach into areas where I currently am not getting exposure under the C,S, and I funds.

3. Some kind of precious metal fund.

My intent would be for a long term hedge for the oil fund and precious metals. Just someplace to make money when the stocks are falling.

And the emerging markets just to diversify.

Does anybody have any suggestions for these three, so that I can go research these funds?

I know we can’t buy until June, but I’d like to start thinking about it now.


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[Tsunami]

In those three categories I'd start with the big ones, XLE, GDX and EEM

There's a commodities fund I like for these high inflation times, a non-Schedule K-1 fund (which doesn't matter for the TSP)...PDBC

You might also look for value stock funds, mid-cap value funds are actually up this year. The mutual fund HWMIX fits in that category.
https://finance.yahoo.com/quote/HWMIX/performance?p=HWMIX

 

[Bullitt]

It's going to depend on what they have to offer. Fees are notoriously high for commodity type funds when buying through a discount broker. With TSP, they are going to be even higher which will cut into or wipe out any hedging benefits.

https://www.tsptalk.com/mb/tsp-talk...executive-director-post670362.html#post670362

 

[tsptalk]

Kind of old and nothing new, but I think this info is still accurate...

 

[tsptalk]

* $10,000 minimum investment in the mutual funds and no more than 25% of your TSP account balance.

That means you must have a $40,000 balance to participate.


More info: This was the proposal, and what they are sticking with: https://www.federalregister.gov/documents/2022/01/26/2022-01312/mutual-fund-window