Exiting the L2030

[michigande]

Back around 2012, before I knew that there was anything other than buy and hold, I switched from all G to L2030 and continued buying 2030 until about the end of 2017. Now that I am less uncomfortable with actively managing my TSP I'm thinking about creating something 2030'ish with a large portion of my money (cutting out the F fund) to buy/hold there and having the rest mobile in a strategy. Thoughts?

If I sell L2030 do I then re-buy S and C shares at today's prices or does TSP allow me to keep the shares within the fund that I purchased 6 years ago?

Thanks to all in advance!

[userque]

Back around 2012, before I knew that there was anything other than buy and hold, I switched from all G to L2030 and continued buying 2030 until about the end of 2017. Now that I am less uncomfortable with actively managing my TSP I'm thinking about creating something 2030'ish with a large portion of my money (cutting out the F fund) to buy/hold there and having the rest mobile in a strategy. Thoughts?

If I sell L2030 do I then re-buy S and C shares at today's prices or does TSP allow me to keep the shares within the fund that I purchased 6 years ago?

Thanks to all in advance!

If you bought 10 widgets 10 years ago for whatever price, and today, one widget is worth $100; your account value is $1000.

If you sold those 10 for $100 each today, you'll have $1000 cash.
If you then bought them back today, you'd still have 10 widgets at $100 each.

Whether you bought the same exact widgets you sold is unknowable, but fortunately, irrelevant.

Your question is not clear.

So if you instead mean to ask whether you get to sell at today's prices, and rebuy at yesteryear's prices; then I'd have to say that'd be great for you, but no. It doesn't work that way.

[crondanet5]

One of the advantages of participating in the Fantasy Game on this web site is the opportunity to see where the Game leaders have invested their money. It has NOT BEEN in the L Funds. Because the L Funds are a mix of the prime Funds they suffer losses when a Fund falls and they lose profit by not being in the Fund achieving the best rate of return. So you lose. Since the Fantasy Game does not allow you to contribute more money to your Account losses poor results are starkly visible. Click on the Top 5 YTD Leaders and see how they have succeeded. It is not in the L Funds. IFT ASAP. I want to see you in the Top 5. The L Funds will not get you there. Hurry.

[evilanne]

michigande,

When you do an IFT they take the value in dollars at close of business and then allocate those dollars based on the percentages you have chosen for each fund. The number of shares in each fund is determined by taking the dollar value and dividing by the share price at COB. Theoretically, if you used the same exact breakdown as the L Fund, you should have the exact same shares of each but the L Funds are a mix of all the individual funds and your account reflect shares of that mix, not shares of the individual funds.

[Billionair]

Hello Michigande!

I learned all this knowledge just a few months ago. All your L2030 prices, have increased over the years, so selling today will be at a profit for you, as you had some starting in 2012, growing in price to today. However, you will be unable to buyback in the 2012 prices as the market is decidedly 2018 prices, that close each day and change constantly.

If you go on the TSP Website (https://www.tsp.gov/InvestmentFunds/Fun ... L2030.html), this shows you exactly how your fund is broken down.

If you want to stay within the L20XX Funds, the 2050 is more aggressive and conservative, but you aren't making near the amount you could be. The F and I have been performing poorly this year, and only recently the C and S are making returns, so your 2030 fund isn't performing as strong as possible due to the dissemination of all 5 funds.

I would IFT and follow some of the strategies on TSP Calc, I use #39794, and Jahbulons Basic. You get more bang following them. Happy Growing!