Shows & Panels
- The 2014 Big Picture on Cyber Security
- AFCEA Answers
- Ask the CIO
- Building the Hybrid Cloud
- Connected Government: How to Build and Procure Network Services for the Future
- Continuing Diagnostics and Mitigation: Discussion of Progress and Next Steps
- Federal Executive Forum
- Federal Tech Talk
- The Future of Government Data Centers
- The Future of IT: How CIOs Can Enable the Service-Oriented Enterprise
- The Intersection: Where Technology Meets Transformation
- Maximizing ROI Through Data Center Consolidation
- Moving to the Cloud. What's the best approach for me
- Navigating Tough Choices in Government Cloud Computing
- The New Generation of Database
- Satellite Communications: Acquiring SATCOM in Tight Times
- Targeting Advanced Threats: Proven Methods from Detection through Remediation
- Transformative Technology: Desktop Virtualization in Government
- The Truth About IT Opex and Software Defined Networking
- Value of Health IT
- Air Traffic Management Transformation Report
- Cloud First Report
- General Dynamics IT Enterprise Center
- Gov Cloud Minute
- Government in Technology Series
- Homeland Security Cybersecurity Market Report
- National Cybersecurity Awareness Month
- Technology Insights
- The Cyber Security Report
- The Next Generation Cyber Security Experts
Shows & Panels
Analysis: Despite market drop, stick to TSP asset allocation
Wednesday - 8/24/2011, 6:45pm EDT
Federal News Radio
Has the stock market roller coaster made you nervous about your Thrift Savings Plan? Have you switched money from the C, S or I funds into the super-safe G fund?
CBS MarketWatch columnist Alan Roth said if he were a federal employee, he would invest in all of the funds or in a life cycle fund.
"I would stick to an asset allocation, which meant that as stocks were going up I'd be having to sell or the life cycle fund would do it for me. And now that stocks are going down, I'd be buying," Roth said.
It goes against every intuition that we have," he said. "One sign you're doing something wrong in investment is it feels really good. When markets go down, it feels really good to get out of the C, S and I Fund. A sign you're doing something right is you're feeling a lot of pain."
People who "can't sleep at night when investments are going down" should probably stick in the bond market or the G Fund, Roth said.
Roth said he is a fan of index funds, or the life-cycle funds (L Funds.)
"It's a way of owning the entire market with the lowest cost," he said.
How the L Funds work: "Over time, it gradually gets more and more conservative as you get to needing the money," Roth said. "It does the balancing for you. It harnesses the power of inertia."
Read Roth's article on Moneywatch about the reasons stocks may be undervalued.
Also on Your Turn, Federal Times editor Steve Losey and senior reporter Sean Reilly, join the show in the second half hour to talk about the current and future status of buyouts. They will also discuss the drastic overhaul being proposed by the U.S. Postal Service, and the changes that the Super Congressional Committee may propose for federal workers and retirees.