WhyKnott85's Account Talk

[WhyKnott85]

New to the TSP realm but from the reads on numerous threads, I see we are all here with like interests - MONEY (+ bragging rights on a great hunch/calculated predication). With a very little background in investing, any general good info/helpful advice?

As of 4/26/2012 my allocation has been 70% S fund and 30% C fund. My PIP for the last 12 is 25.98%. I consider myself extremely lucky as I haven’t dove into the TSP arena since the activation of the account. Now I would like to hedge my bets accordingly. I viewed the following (http://www.tsptalk.com/tracker/tsp_fund_price.php) and took notice to rapid increase in share prices for the S and C fund. Considering I only have a 150 or so S shares and roughly 90 C shares - Should I;

- Sell the shares while they are hot? Maybe put them into the G fund or L fund until I decided to make a move on low share prices and buy big?
or
- Keep what I have out there and let them ride and just change my future allocations to a different a different fund or mix funds?

The above two strategies’ (if you would even call them strategies!) are just ideas. I would greatly appreciate any advice or recommendations this community could provide!

Thanks.

 

[MrBowl]

Welcome, WhyKnott85. Everybody here has a different risk profile, including you. Don't ever take so much risk that you lose sleep, but don't needlessly avoid risk either. Keep reading the forums because there are some very smart people here. Also, read the market update written by Tom, this site's founder, daily.

Your preformance is a lot better than mine. We're all here to learn how to do better and share our experiences. Personally, I'm still 100% S Fund but I could change it at any moment if I see signs that the market is topping.

I will never tell anybody else what to do with their money. I just recommend that you read, read, and read some more. Be exposed to opposite viewpoints to see what makes more sense to you. Nobody knows for sure what happens next, but you can make your own educated guess here and manage your TSP accordingly.

There is no reason to use your Interfund Transfers just because you can, and there is also no reason to avoid making an allocation change when you have a good reason to.

 

[nasa1974]

New to the TSP realm but from the reads on numerous threads, I see we are all here with like interests - MONEY (+ bragging rights on a great hunch/calculated predication). With a very little background in investing, any general good info/helpful advice?

As of 4/26/2012 my allocation has been 70% S fund and 30% C fund. My PIP for the last 12 is 25.98%. I consider myself extremely lucky as I haven’t dove into the TSP arena since the activation of the account. Now I would like to hedge my bets accordingly. I viewed the following (http://www.tsptalk.com/tracker/tsp_fund_price.php) and took notice to rapid increase in share prices for the S and C fund. Considering I only have a 150 or so S shares and roughly 90 C shares - Should I;

- Sell the shares while they are hot? Maybe put them into the G fund or L fund until I decided to make a move on low share prices and buy big?
or
- Keep what I have out there and let them ride and just change my future allocations to a different a different fund or mix funds?

The above two strategies’ (if you would even call them strategies!) are just ideas. I would greatly appreciate any advice or recommendations this community could provide!

Thanks.

WhyKnott85, welcome aboard. MrBowl hit the nail on the head. Just remember you are in for the long term. Your TSP has to be looked at like a marathon not a sprint. Good luck.

 

[Birchtree]

The first law of finance is that it takes money to make money - you will not be in that position for a very long time. You need to concentrate on building your TSP base until you achieve multi-thousands of shares - then you'll be ready to trade your TSP account. Remember, you are buying a mutual fund index which is relatively safe and it takes big share positions to earn big dollars from trading. You might consider opening a discount Roth IRA where you would have more individual opportunity to make money buying individual stocks via concentration of shares. Time in grade is your answer to success in TSP. As always the more money to place at risk the greater the potential return and possible loss. Work on building your base and investigate a Roth IRA to make money.

 

[WhyKnott85]

Wow - Thank you all for the advice! While I may be dreaming $$$ I have to risk $$$ to achieve that dream and unfortunately (or maybe fortunately based on my lack of current knowledge!!), I do not have many shares at stake to ride the wave and balance the risk/reward benefit just yet.

Taking into consideration what BrichTree said - 'It takes money to make money!' and Nasa1974 'Your TSP has to be looked at like a marathon not a sprint' I think your best offense is a good defense!

My decision is to not make any moves this week, monitor the market, and re-evaluate next week... then repeat. Until I am comfortable with a decision. Just because I can, does not mean I have too/need too make a move just yet.

Again, I cannot thank you guys enough for your support. I will keep my Account Talk updated with any new information/predictions/or moves I make. Hopefully my gains and/or losses will help others - Just as I am sure the information you guys are providing is doing for everyone else who takes the time to educate themselves.

Best of luck at closing this afternoon! MrBowl, as of 3:23PM - the DOW is on the up and up!

PS - Large chunks of shares are being bought every other week (pay day) for federal employees... Has anyone every noted any correlations between markets fluctuating up and down based only this trigger?

 

[MrBowl]

PS - Large chunks of shares are being bought every other week (pay day) for federal employees... Has anyone every noted any correlations between markets fluctuating up and down based only this trigger?

I am not aware that this has an effect on the marketsl, but that doesn't mean that there's no effect. I think this purchasing is done after hours. I am interested to see if anyone has done research on this topic.