Transfer from G to L2025 Fund?

[FedCiv2021]

Hi, I am new here and still trying to learn more about tsp funds. Currently have everything in G fund but not sure if I should move it to L2025. I plan to retire within 2 - 3 years, and withdraw in 5 to 7 years after. Appreciate any feedback. Thank you.

 

[nasa1974]

Hi, I am new here and still trying to learn more about tsp funds. Currently have everything in G fund but not sure if I should move it to L2025. I plan to retire within 2 - 3 years, and withdraw in 5 to 7 years after. Appreciate any feedback. Thank you.

FedCiv2021,

Welcome to TSPTalk.
This is a great place to ask questions and learn some new stuff.
Going by your timeframe L2025 (7.19%) will earn you more than the "G" fund (2.68%). Definitely not as aggressive as the other funds but better than "G" fund. The bottom line is how safe or aggressive do you want to be? The one thing around here is folks will give you opinions and information, but none of us will tell you what to do. That will be your choice with the information that is presented.
Again, welcome aboard and good luck.

 

[Bullitt]

Not enough information to give an answer.

Most will not want to go 100% G fund into retirement.

Due to low interest rates the past 15 years, TSP has been gradually increasing the L-Income allocation to equities since 2018. In 2018 it was 20% equities. In 2028 it will be 30%.

https://www.tsp.gov/funds-lifecycle/l-income/?tab=composition

The point is, even if you go L2025, you'll always have some exposure to equities (C,S,I) because that all L Funds eventually convert to L-Income.

Additionally, see Vanguard link below.

https://advisors.vanguard.com/VGApp...Tools/portfolioAnalytics/historicalRiskReturn

 

[FedCiv2021]

Thank you both for the welcome and your inputs. I'm a bit conservative, mostly because there's alot I don't know. I'm thankful that there is such a great resource of info here and hope to get up to speed!