Investors make slight shifts to higher-risk TSP funds
Tuesday - 11/16/2010, 4:43pm EST
Tom Trabucco, director of external affairs, Federal Retirement Thrift Investment Board
Click to hear the interview.
TSP returns are "performing up to snuff," said Tom Trabucco, director of external affairs at the FTIB, in an interview with the DorobekINSIDER.
The funds are at their largest ever at $270 billion.
"That is an all-time high," Trabucco said.
This high has to do with increased returns and a boost in enrollment from the automatic enrollment.
Most of the fund movement is out of the "safe" G fund into high-risk funds, Trabucco said. From August to October, the percentage of people invested in the G Fund decreased from 46 percent to 43 percent, moving into the high-reward stocks and bond funds, Trabucco said.
"You find that it's not unusual after you have a couple of good months of returns," Trabucco said.
The number of investors in the L-2010 Fund decreased by 10,000 last month and moved to the L-2020 fund.
These investors want to "stretch their time horizon a little more" and are "willing to take a risk," Trabucco said.
10.2010 TSP statistics http://www.scribd.com/doc/42789891/OCT-2010-TSP-Statistics
OCT 2010 Investment Performance Review http://www.scribd.com/doc/42790128/OCT-2010-Investment-Performance-Review


