What YOU can do to fight back - IFT limit

[amoeba]

Well, this is what I'm doing:

Since the first of the month and no announced change in the policy, I got serious. I'm re-allocating every day. As a result, I have made more money the last two weeks than the last 6 months, and I have no real complaints during that time either.

Thanks TSP for waking me up. It made me realize you can turn some serious coin in a down market if you make the effort to learn about fundamentals and emotions.

I know this will all end soon, but its been fun, and profitable - at least recently. Yee haww.

 

[Stoplight]

HERE'S THE LINK....COMMENT!!!!!

http://www.regulations.gov/fdmspublic/component/main?main=DocumentDetail&o=09000064803ef1f8

I posted a PDF of the Proposed Rule in a new thread, too. Sharpen those pens, folks !

Stoplight....

 

[Stoplight]

Federal Register Notice is Out !!! Dated today....


Stoplight....

 

[Braveheart]

Ted Kennedy won't do a thing neither will John Kerry lots of talk between them. Your best bet is Stephen Lynch D and Barney Frank D. BTW Stephen Lynch is a big Union Man Iron Workers Union and his sister works for the USPS so all he has to do is ask his sister about the TSP. Remember Lynch went after Clemens hard takes no crap won't back down and is the best in MA.

Chuck Shumer NY - a pitbull and would fight the TSP

Joe Biden - would also fight for the working people and take on the TSP.

While your at it tell Lynch to look into CNBC and get the SEC involved.

 

[Braveheart]

What were the names of the Senators that the two Senate staffers work for and the name of your Congressman? I want to send a copy of your TSP ETAC IMPROVEMENT ACT to my two Massachusetts Senators and my Congressman, and ask them you introduce the Act as a bill. In my letter I want to reference your meetings (specific dates would be good too) in DC to have this bill introduced. I think if we all start mailing a letter like this to our Senators and Congressman, the word will further get out about what the current Board is doing and the need for reform.

Good work James and thanks for all your hard work!

Ted Kennedy won't do a thing neither will John Kerry lots of talk between them. Your best bet is Stephen Lynch D and Barney Frank D. BTW Stephen Lynch is a big Union Man Iron Workers Union and his sister works for the USPS so all he has to do is ask his sister about the TSP. Remember Lynch went after Clemens hard takes no crap won't back down and is the best in MA.

Chuck Shumer NY - a pitbull and would fight the TSP

Joe Biden - would also fight for the working people and take on the TSP.

 

[JonesH2O]

They each said they would consider it, but none of the three have yet committed to introducing the bill.

It's a start.

From Washington D.C.,,,,

.

What were the names of the Senators that the two Senate staffers work for and the name of your Congressman? I want to send a copy of your TSP ETAC IMPROVEMENT ACT to my two Massachusetts Senators and my Congressman, and ask them you introduce the Act as a bill. In my letter I want to reference your meetings (specific dates would be good too) in DC to have this bill introduced. I think if we all start mailing a letter like this to our Senators and Congressman, the word will further get out about what the current Board is doing and the need for reform.

Good work James and thanks for all your hard work!

 

[RAE]

P.S.

James - THANK YOU for all your efforts in representing our viewpoint in D.C.. You've done a great job, in the short time you've been there. This fight is far from over.

Folks - please continue to support James and all his hard work in standing up for your rights. For one thing, I think we should ALL write to Mr. James Sauber and tell him to get a backbone and demand that FRTIB provide more information to ETAC on just why this IFT restriction is necessary, or ETAC should oppose it. Sauber is taking the easy way out by saying that ETAC is "only advisory". Sure, they are, but if they took a unified position to oppose this change until more facts are provided, and more alternatives to the one proposed by FRTIB are presented, you can be sure FRTIB would slow this thing down at the very least. Tell Sauber about the information compiled by James which proves that there is NO PROBLEM with TSP costs that warrants such heavy-handed restrictions on our ability to manage our TSP accounts. Tell Sauber about FRTIB's latest arrogant press releases, in which they don't even seem to understand that they must follow the administrative rules procedure before they can stop ANYONE from making as many IFTs as they like, including the so-called 3,000 frequent traders. Tell Sauber that FRTIB needs to allow TSP members the flexibility to manage their accounts as they wish, to provide for their retirement, which is exactly what was intended when TSP went to their new computerized system allowing daily IFTs a few years ago.

Jim Sauber's e-mail address is: SAUBER@NALC.ORG

James - once again, thank you so much for your persistence and your work on our behalf.

 

[James48843]

P.S.



Tomorrow I leave, but not before one more day walking around D.C. trying to get someone's attention.

The ETAC is our first line of defense. The legislative effort is a second front, not a primary one. It takes too long to get a bill through Congress, but we can at least get the ball started, and perhaps gain some attention if we can get it introduced.

Thanks in advance.

J

 

[James48843]

Note:

Spoke with Jim Sauber, of the Naitonal Association of Letter Carriers. Unfortunately, Jim was on his way to catch a plane to the west coast for a Legislative meeting, and was not able to meet with me. We did talk for a while, and Jim mentioned that Cathy Ball of NTEU sent him an e-mail describing her meeting with me, and asked him to meet with me. He said he would talk to me via phone on Friday, and agreed to talk again later.

Jim also reinterated to me that ETAC's role is to advise the Board, and doesn't have the power to stop them, if that is what they want to do.

At least we're talking. and that's a postive step.

Next: I tried calling for a meeting with Mike Reid, of American Postal Wokers Union. Mike is out of the office until next week. The girl who answered took my name, and asked me if John Albanese could help me (John is listed elsewhere as the ETAC rep for AFGE, not sure how he is connected to APWU).

Later, the same gal called me back, told me Albanese said he has nothing to do with TSP, and I would have to contact Myke Reid later.

That's all for today.


Score:

One ETAC member conversation.

Three meetings with Congress:
Two pitches to Senatorial staffers.
One pitch to a U.S. Congressman.

One dead end, and now.....it's time to rest.

Busy day.

 

[James48843]

They each said they would consider it, but none of the three have yet committed to introducing the bill.

It's a start.

From Washington D.C.,,,,

 

[James48843]

Proposed law Change:

110th CONGRESS​

2nd Session​

H. R. XXXX​

To amend title 5, United States Code, to provide for improvements for employee representation in the operation and oversight of the Federal Employees Thrift Savings Plan.

IN THE HOUSE OF REPRESENTATIVES​

March 6, 2008

Mr. XXXXX introduced the following bill; which was referred to the Committee on Oversight and Government Reform

A BILL​

To amend title 5, United States Code, to provide for improvements in employee and military representation in and oversight of the Federal Employees Thrift Savings Plan.

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled,

SECTION 1. SHORT TITLE.


This Act may be cited as the `Thrift Savings Plan and Employee Thrift Advisory Council Improvement Act'.

SEC. 2. FINDINGS.


Congress finds the following:

(1) The Thrift Savings Plan has become the largest and most successful retirement savings and investment plan in the world; and
(2) Through modernization and the use of the internet, the daily control of investment funds by individuals in the TSP has greatly benefited participation and active planning for retirement by the federal workforce and military members; and
(3) The number of Civilian Thrift Savings Plan participants has grown from roughly one million participants in 1987, to over 3.8 million participants in 2007; and
(4) The number of Military Thrift Savings Plan participants has grown from 222,000 the first year if was offer to military members in 2002, has grown to over 570,000 participants in 2007; and
(5) The composition of the Employee’s Thrift Advisory Council has only been adjusted once previously, to add a single military representative, since the Council was established in 1987; and
(6) A significant amount of TSP’s shareholders are not now currently represented by the organizations who currently make up the Employee Thrift Advisory Council; and
(7) Having elected representatives is one way to increase the representation of TSP Share Holders in the policy and decision making process of the TSP; and
(8) Share holders who are not represented specifically by the Organizations currently in the Employee Thrift Advisory Council would benefit from having elected representatives to vote for and serve their interests; and
(9) The Employees Thrift Advisory Council and the Federal Thrift Advisory Board could benefit by increased employee oversight and input into policy decision making though elected representation.


Further, the Congress finds that:


(10) The General Accounting Office has reported that the TSP could be more accountable to it’s customers[1], and by expanding the number of members of the Employee Thrift Advisory Council, and providing for some members to be elected from among Share Holders, the Thrift Savings Plan will be more accountable to the members that it serves; and


(11) By requiring that Thrift Board policy changes be ratified by a majority of the Thrift Advisory Council’s members, the interests of individual shareholders will be better served.

SEC. 3. Reflecting modernization of the accounting system to reflect daily record-keeping system conversion.


5 USC section 8438 shall be modified as follows;

Section 8438 (d)(1), Strike At least twice each year, and
insert the following: (d)(1) Each business day,



Add: SEC. 3. Increasing Appointed Military Representation on the Employee Thrift Advisory Council


Sec. 8473 (b)(10) shall be modified by striking (1), and inserting (2, one officer, and one enlisted appointed representative).

ADD: SEC. 4. Adopting the election of additional Employee Advisory Thrift Council Members


A new Section 8473(b)( 11), shall be added, that reads:

(b)(11) Elected Members:

(a) Ten members shall be elected from among TSP Share holders at large, who are not members of the Organizations or groups cited above. Five shall be holders of civilian TSP Share accounts, and five shall be holders of Military TSP Share accounts.

(b)The length of terms shall be for a period of five years, and shall be staggered. During the first cycle of elections, the terms shall be shortened, and the top finishers in each election shall fill the initial term in proportion to the number of votes they receive.

(c) Once each year, The Board shall accept nominations for the position from participants, accompanied by the signatures of at least 100 TSP share holders, either as account holders of actively employed, or retired Civilian TSP account holders; or active, reserve, or retired Military TSP accounts, as appropriate.

(d)The Executive Director shall verify the candidate’s eligibility, and that the nomination signatures are from TSP Account holders of the appropriate classification. The Executive Director shall direct an election to be held once per year.

(e) Each Candidate who is certified as having been properly nominated shall be provided with a single web page on the TSP Thrift web site, for a period of not less than 30 days, to provide information about the candidate, and links to where employees may go to for further information about the candidate.

(e) Elections shall be by electronic ballot, on the TSP account holder’s account internet account, and the voting period shall be for a period of not less than 30 days.

(f) Within 30 days following the close of the election, the Executive Director will certify the voting results, and rank the candidates in order of finish.

(g) Filling of elected vacancies: In the event an elected member cannot fulfill his or her term, the next highest tally in the election of that term will be seated for the duration of the term.



ADD:

SEC. 5. Subjecting policy changes to Employee Thrift Advisory Council Ratification.



Sec. 8475

The existing section 8475 shall be relabeled as “Section (a), and a new Section (b) shall be added as follows:

(b) Any change in Board policies in Section A is subject to the ratification and approval by a majority of the members of Employee Advisory Thrift Council.



SEC. 6. CONFORMING AMENDMENTS


Sec. 8474
A new 5 USC 8474 (b) (7) be added, which states:
(b)(7) The Executive Director shall direct the conduct of elections of the elected positions of the Employee Thrift Advisory Council.






[1] GAO report GAO-05-38, FEDERAL THRIFT SAVINGS PLAN
Customer Service Practices Adopted by Private Sector Plan Managers Should Be Considered

 

[James48843]

Met this morning with my two Senate staffers, and my Congressman, and spoke with them about getting the TSP ETAC IMPROVEMENT ACT submitted as a bill. (Will post a draft shortly- the purpose is to modify the ETAC to include more people- specifically two more military ETAC reps (one officer, one enlisted)

and ten reps elected at large, (five miltiary, five civilian) voted on by TSP shareholder that are not currently represented by ETAC members.

and to mandate that all changes in poicy of the Thrift Board be "subject to ratification by the ETAC" prior to implementation.

and in the "amendments" seciton, to recognize the "daily valuation system", thereby preventing thrift board from limiting trades.

 

[EW_ret]

Thanks for sharing. I guess the absence of email confirmations for the last three IFTs may be due to another cause. I have added the confirm@TSP.gov address to my address book in case my email service has changed its junk email filtering.

I received the frequent transfer letter as well. I made more than 3 transfers in february and continued to get email confirmations.

 

[FUTURESTRADER]

I received the frequent transfer letter as well. I made more than 3 transfers in february and continued to get email confirmations.

 

[EW_ret]

The IFTs were recorded as requested, but I received no email confirmation. I made an IFT today, and it appears to have taken. I expect to receive one of those new letters within a few weeks. When will the FRTIB start blocking my IFTs, and when is the IFT restriction lifted, if ever? I'll keep all informed on the content of this letter when I get it.

 

[EW_ret]

I came in this conversation late, but is there another letter? Does anyone KNOW they are part of the 550? How are they defining this? How can they enforce it?

I stopped receiving confirmations of my IFT last month, after exceeding the proposed IFT restrictions, after third trade. I also received a letter from the FRTIB that I was identified as a frequent trader. If you read the Federal News Radio article, Mr. Tom Trabucco states they will send letters to the 550 TSP account holders who exceeded the new IFT restrictions in February, and who also were previously identified as one of the 3375 frequent TSP traders last year.

 

[FUTURESTRADER]

Has anybody heard the details on this "IFT by mail" trade policy? Are they saying the 550 would be forced to trade by mail forever? I'm one of the 550, so I'm debating whether to initiate a transfer of the remaining TSP balance into my Vanguard Rollover IRA. I would guess there may be a 60 day restriction on internet IFTs, or by phone, if they use Vanguard as the model. I thought the new system would start in April. This would force all TSP accounts to use the new IFT rules.

I know the frequent trading rules at Vanguard allow me to continue to buy equity funds, by automatic investment or exchange, during the 60 day restriction. Although not perfect, at Vanguard I can set up automatic exchanges to sell money market funds and buy equity funds. I have four accounts, and by setting up a weekly exchange in each I have the option to buy equities any trade day. Also, I can modify the exchanges to skip any exchange, thereby allowing me to cancel, or modify the exchange, up to 11:59 pm the night before the trade. Our TSP does not have any capability for automatic exchanges. This would allow us to DCA between the funds.

EW,

It just sounds like more huffing and puffing by the typical, peter principled, empty suited, wind-bags. I'm somewhat insulted and almost angered to be threatened again by these boastful lilliputians. But always good to have a plan in place in case.

 

[qibovin]

I'm one of the 550,

I came in this conversation late, but is there another letter? Does anyone KNOW they are part of the 550? How are they defining this? How can they enforce it?

 

[EW_ret]

Has anybody heard the details on this "IFT by mail" trade policy? Are they saying the 550 would be forced to trade by mail forever? I'm one of the 550, so I'm debating whether to initiate a transfer of the remaining TSP balance into my Vanguard Rollover IRA. I would guess there may be a 60 day restriction on internet IFTs, or by phone, if they use Vanguard as the model. I thought the new system would start in April. This would force all TSP accounts to use the new IFT rules.

I know the frequent trading rules at Vanguard allow me to continue to buy equity funds, by automatic investment or exchange, during the 60 day restriction. Although not perfect, at Vanguard I can set up automatic exchanges to sell money market funds and buy equity funds. I have four accounts, and by setting up a weekly exchange in each I have the option to buy equities any trade day. Also, I can modify the exchanges to skip any exchange, thereby allowing me to cancel, or modify the exchange, up to 11:59 pm the night before the trade. Our TSP does not have any capability for automatic exchanges. This would allow us to DCA between the funds.

 

[FUTURESTRADER]

http://federalnewsradio.com/?sid=1357052&nid=169


Trabucco says he wants to thank the participants who stopped making the frequent transfers.

I'm down -3.2% year to date, the L2040 down -7.07%, the C fund -9.30%, so split the difference, and I'm ahead about 5% which equates to about $12,500 I've saved myself in the past two months. I hope all those who curtailed their IFTs appreciate Trabucco's sincere and heart felt thanks, but don't try to put that 'thank you' in the gas tank, or try to spend it at the grocery store.