TSP board to limit interfund transfers

[James48843]

question is, does the manner in which the funds are being "securitized" and the derivitaves being invested in actually make TSP subject to that rule?

No. TSP is not covered by the SEC rule.

Barclays IS covered by the rule for certain domestic investments. Remember, Barclays is a London based corporation, and therefore much of the activity is governed by those rules rather than U.S. SEC rules (outsourced jobs again, eh?)

But, in addition, Barclays requested, and obtained, a waiver of certain SEC rules back in August in order to "optimize" tradings, and use ETF's, as well as "borrow shares" related to TSP funds.

Since the SEC people who write the rules are all U.S. Government employees (who participate in the TSP), the waiver was granted.


Isn't this fun?

 

[tsptalk]

In case this wasn't posted yet. James and the press release are mentioned.

Exposing Long-Term TSP Investors to Risks They Did Not Anticipate

http://www.fedsmith.com/article/1543/

There is also a poll to take on the right hand side: Do You Favor the Restrictions on Frequent Trading in TSP Funds?

 

[nnuut]

I just burnt their ears!!View attachment 3536

 

[Megansh]

Re: Bullitt's Account Talk

THEY DID IT.... 11.25AM est...JUST GOT MY CERTIFIED LETTER...I AM NOW OFFICIALLY AS OF MARCH 31,2008 UNABLE TO MOVE MY FUNDS ELECTRONICALLY , I MUST NOW DO IT MY MAIL AND THEN ONLY LIMITED TO TWO IFT'S A MONTH.....THE LETTER STATED THAT I MADE MORE THAN THREE MOVES IN FEBRUARY..... SO MUCH FOR LIVE FREE AND TRADE........ THE COMMIES HAVE TAKEN OVER...MIKE IN NH

 

[Wildboar53]

Please read your letter again. If it reads the same as Futuretraders' then there is no limit to the number of mail in IFT's you may do. Small consolation I know.

 

[troxel]

Re: Bullitt's Account Talk

THEY DID IT.... 11.25AM est...JUST GOT MY CERTIFIED LETTER...I AM NOW OFFICIALLY AS OF MARCH 31,2008 UNABLE TO MOVE MY FUNDS ELECTRONICALLY , I MUST NOW DO IT MY MAIL AND THEN ONLY LIMITED TO TWO IFT'S A MONTH.....THE LETTER STATED THAT I MADE MORE THAN THREE MOVES IN FEBRUARY..... SO MUCH FOR LIVE FREE AND TRADE........ THE COMMIES HAVE TAKEN OVER...MIKE IN NH

Here too. Funny thing is that i did not exceed their quota. I made several transfers from I to G, however according to their rules this was not to trigger the limit. The infuriating thing here I seem to have not recourse, just take it - the commies have indeed taken over.

 

[JTH]

This is what I don't understand.

Shouldn't the initial warning have been done through certified mail? I just got back from being deployed, I wouldn't have known about this at all had I not been on this forum? How can they prove I recieved the letter?

In addition, it seems to me it would have been easier and cheaper to alter the IFT program to limit the IFTs, then to give us the ability to exceed their limits.

And lastly, I just can't comprehend how they can get away with treating us differently by imposing IFTs by mail, yet letting others have a more options? Unequal access? How can they get away with that?

I've done 5 IFTs this month so I guess I'll be on their hit list pretty soon. If they take away my ability to do electronic IFTs, then I want my money back!

As it is now, I'm beating the market, but I can't comprehend how I would be able to do that by mail. I live in New Mexico and it would take days just for them to receive my letter, then it could sit ontop of someone's desk, get lost, ect...

 

[Aviator_Guy]

My wife received a registered letter from the TSP while I was TDY stating that I exceeded the Feb limit of IFT’s. I thought the moves from Stocks to the G fund don’t count??

My records for Feb are as follows…
Moved into the F fund once and the C fund once…
I moved into the G fund twice out of those funds… Guess they count this as four IFT’s??

My records for March are as follows…
Moved into the C Fund once in the early part of the month
Moved into the G Fund once…
Moved into the C Fund for a 2nd time in March..

I thought they didn’t count the moves to the G fund?!?!?!?! If this is true, you can only get out of stocks once per month. Then you have to wait until the next month rolls around until you can get back in. That was almost as bad as they had it back in the 1980’s when you only do one IFT per month!!!

The letter states as of March 31st, I will need to send TSP a letter to make an IFT!!!

I have been with the TSP since it started. I could live with two IFT’s moving into stocks twice a month. But limiting our IFT’s to only twice will cost my retirement savings big time. I estimate this will cost about 100-200K less in my balance sheet when I retire.

I thought I was following their TSP rules, but apparently not. It’s now time to make some calls to Washington DC to get my congressman and Senator’s attention. I just hope they will put some light on this injustice.

 

[tsptalk]

My records for Feb are as follows…
Moved into the F fund once and the C fund once…
I moved into the G fund twice out of those funds… Guess they count this as four IFT’s??

My records for March are as follows…
Moved into the C Fund once in the early part of the month
Moved into the G Fund once…
Moved into the C Fund for a 2nd time in March..
.......
I thought I was following their TSP rules, but apparently not. It’s now time to make some calls to Washington DC to get my congressman and Senator’s attention. I just hope they will put some light on this injustice.

February looks OK, but in March you went over. Moving into the G fund after the the first 2 don't count. But a move to G as your 1st or 2nd move does count.

I can't believe they are locking accounts with the vague guidelines they gave us.

Yes - it is time to call Washington.

 

[12%ayear]

My question is when they put the 2 Transfers into play for everyone. Will we be allowed to do them on-line or are we always going to have to mail them in???? BTW..my new avatar is me mailing my 3 transfers

 

[tsptalk]

Q4. When will the restrictions be implemented?
The restrictions will be announced in the annual TSP participant statement mailing which is scheduled for February 2008. We anticipate they will take effect in April 2008.

I would hope they would lift your restriction at that time. The question is, if there are no restrictions until April, how can they feel right about restricting someone in March? They say the restriction starts at the end of March for those who got the letter, so I assume they are not planning on having it up and running in April or they wouldn't need to send the letters.

 

[12%ayear]

February looks OK, but in March you went over. Moving into the G fund after the the first 2 don't count. But a move to G as your 1st or 2nd move does count.

I can't believe they are locking accounts with the vague guidelines they gave us.

Yes - it is time to call Washington.

Tom, question.....What are the most transfers in a month, we can make including the G Fund??? I thought it was 5 moves ty

 

[Braveheart]

I find the following comments from the December FRTIB minutes to be very telling:

Mr. Fink asked how many letters had the Agency received and how
many were from members of Congress. Mr. Trabucco responded that
we have received twelve letters and none were from a member of
Congress. Mr. Sanchez asked whether all the letters were complaints
and was told that ten of the writers were opposed to the
proposed restrictions and two were in favor of the proposed restrictions.
http://www.frtib.gov/pdf/minutes/2007Dec.pdf​

This tells me that the FRTIB is really concerned about how many letters or inquiries it receives from members of Congress. Why? Because only Congress has the power to stop their foolishness.​

If you read me thread CONGRESS IS IN THE TSP THE CONTACT PERSON IS HILLARY CLINTON HOW ABOUT THAT !!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!

 

[Braveheart]

Braveheart
TSP Talker
Join Date: Feb 2008
Posts: 137

Hillary Clinton wants a TSP Account Plan Congress Currently Utilize MUST READ
Key Components of Hillary Clinton’s American Retirement Accounts Plan MEMBERS OF CONGRESS CURRENTLY UTILIZE THE TSP !!!!!!!

Here is Link - http://benefitslink.com/pr/detail.php?id=41211

1. Matching Tax Cuts to Help Middle Class and Working Families Save: This new proposal will provide a matching refundable tax credit—dollar-for-dollar—for the first $1,000 of savings done by every married couple making up to $60,000. The plan will provide a 50% match on the first $1000 of savings for every couple making between $60,000 and $100,000, which will be phased out after that. This matching tax credit will be available to all Americans in existing 401(k) type accounts as well as the new American Retirement Accounts. That means tens of millions of middle-class families will get matching tax cuts of up to $500 and $1000 to help them build a nest egg for retirement.

A New “American Retirement Account”: Like Hillary’s approach to health care, her American Retirement Account plan will build off the existing employer-based retirement savings system. Those who like their current retirement savings accounts can keep them —the only change is that they may be eligible for generous new matching tax credits. For those who want a new choice, Senator Clinton will let all middle class Americans open a new American Retirement Account. These accounts will allow individuals to contribute up to $5,000 per year on a tax-deferred basis. The first $1000 contributed into the accounts will be eligible for the new 1-to-1 and 50% government matches. In addition, the new American Retirement Accounts will:

• Offer secure, diversified investment options: Individuals will have the choice to set-up their accounts with any private provider that offers diversified investment options and that includes as a default option, a passively managed lifecycle-type fund. Individuals will also have a fall-back option of setting up accounts through a similar system to the one that Members of Congress currently utilize.
• Help Build Wealth and Provide a Cushion During Economic Downturns: The new American Retirement Accounts would, like existing IRAs, limit penalty-free withdrawals to major life investments—buying a home, paying for higher education, and retirement. But in light of the growing economic uncertainty facing American families, workers will also be able to withdraw 10-15% of the savings from their American Retirement Accounts to help tide them through periods of extended unemployment. Individuals would also have the option of taking out loans from their American Retirement Accounts in limited circumstances.
• Provide the First Fully Portable Matching Account: The American Retirement Account will be the first account that provides a secure, diversified opportunity to get generous matching financial incentives for saving regardless of whether you are working for a firm that provides an employer match or traditional 401(k). This is particularly important to middle class workers who start their own businesses, take time off to care for a child or relative, or work independently or part-time. Hilary does not believe that we should deny matching retirement incentives to these workers and parents simply because they are outside the employer-sponsored system. Rather than having to rely on full-time jobs with certain employers, these Americans will continue to receive a strong financial incentive to build wealth throughout their lives.
• New Choices Without New Bureaucracy: American Retirement Accounts will be established without any new government bureaucracy, by creating competition in the private sector to provide plans that are both secure and marketable. Individuals will get to choose how they want to set up their American Retirement Accounts. They can set them up with private providers who offer diversified investment options with a default passively managed lifecycle-type option and low administrative costs. Or they will have an option of opening an American Retirement Account through a publicly managed clearinghouse similar to the Thrift Savings Plan which Members of Congress can currently utilize. Investments in the accounts opened through this public clearinghouse would be held and managed by private financial institutions, who to the greatest extent possible would manage administrative and transactional support.

Quote:
Originally Posted by Braveheart
Well One would think Congress would step up here since this has an impact on them. I wonder if they got a letter. They make big $$ so the target group would be those who have been in Congress for 15 years + but is that a conflict of interest and the reason why they have not stepped up.

It is clear Hillary Clinton would be on our side in this. She has the power and connections to get people moving Obama forget it and McCain probably doesn't know what it is.

I am sending her a message and so should you. I used workers concerns but Military & Discrimination are the other choices. She has Millions of Government Workers and their families, relatives and friends that need her to stop this now in PUBLIC and tell those at the TSP the investigation is on !!!!!!!!! Here is her link -

http://www.hillaryclinton.com/help/contact/?30385f40

Not a single reply :suspicious: - this is amazing you want a voice you have it. You want the links you've got them. You think anything is going change without someone like this on our side you will regret this last chance to do something about. Talk is cheap action is louder than words. I have taken action and for anyone interest President Bill Clinton signed into Law that the Military be included into the TSP. So I can read post after post about outrage and we're going to do this bla bla bla THIS WILL STOP IN IT'S TRACTS WITH YOU SENDING THE MESSAGES TO HER. Don't do it and don't complain in May when you have 2 trades per month.

 

[12%ayear]

Tom, question.....What are the most transfers in a month, we can make including the G Fund??? I thought it was 5 moves ty

 

[Show-me]

Still unlimited until Federal Register gets changed without challenge.

If you exceed 3 they will send you a certified letter making you do it by USPS. Even then it is unlimited until the Register gets changed.

 

[tsptalk]

Tom, question.....What are the most transfers in a month, we can make including the G Fund??? I thought it was 5 moves ty

I was under the impression that there is a limit of 2 - but any moves into the G fund from #3 on are unlimited (ie: you can sell slowly) - but that may not be correct since I am hearing people claim they stayed within that guideline but were sent the letter.

That would mean if your 2nd move was into 100% G fund - you were done for the month. No where to go.

 

[hessian]

Personally, I think the "key" is in what they refer to, in my original letter (in paragraph #4), was reference 2 "rebalancing IFTs" being allowed - meaning 2 primary IFT changes to how any of the funds, (e.g., C, S, F and/or I, & incl. L-Funds) are distributed.

Other than these 2 "rebalancing IFTs" allowed, an additional move to G was allowed. The confusion came in where they used the term "unlimited" (refering to the the return to "G").

In initial letter, paragraph 7 said only 3 IFTs/month would be allowed - which made even less sense, given the "unlimited" returns to G, but 3 total IFTs seems to be basis for their current certified letters.

Seems like a simple matter of unclear wording -a simple lawsuit should be able to resolve.
Personally, I hope many will be filed. At very least, temporary injunctions should result!
VR

I was under the impression that there is a limit of 2 - but any moves into the G fund from #3 on are unlimited (ie: you can sell slowly) - but that may not be correct since I am hearing people claim they stayed within that guideline but were sent the letter.

That would mean if your 2nd move was into 100% G fund - you were done for the month. No where to go.

 

[James48843]

ok- thanks.


P.s.- TO ALL WHO READ THIS:

Many of you are writing on this message board your ideas or objections, or both.

Do me a favor:

Each and every time you make a post here,

PRINT THE PAGE WITH YOUR COMMENT- (not everyone elses, just yours) and then

FAX THAT IN TO THE THRIFT BOARD AS A COMMENT.

You'll load up the register with comments in opposition in a short time.

One post= one federal register comment faxed in.

Be sure to put your name and info on the fax.


See how easy this can be?

Reminder-

Bitching on this thread may make you feel better, but it doesn't carry the weight of another Shareholder complaint with the Board. The Board meets tommorrow for their March meeting. Only a fax into the Thrift Board can do that. Tell them what YOU think. Print out a comment or two from this board- hard write a note on the top, and then FAX IT IN.

Comments may be sent to Thomas K. Emswiler, General Counsel, Federal Retirement Thrift Investment Board, 1250 H Street, NW., Washington, DC 20005. The Agency"s Fax number is (202) 942-1676.


Do it.

 

[Intrepid_Timer]

Anidoc, I don't know if anyone has thanked you yet, but on behalf of everyone that took your advice and continued to trade away and now have to make IFT's by mail, I'd like to say "Thank you!!!". It's much more challenging that way and we all need more challenges when it comes to our TSP...........

Glad I didn't listen............