Page 1 of 1

JULY 1st

Posted: Wed Jun 24, 2020 8:11 pm
by ProduceMan
Anyone interested in the new L Funds?

Re: JULY 1st

Posted: Wed Jun 24, 2020 10:49 pm
by Aitrus
Only to the extent that I might recommend them to somebody who is an adamant "set it and forget it" kind of investor who doesn't want to do their own re-balancing. They're better than the G Fund, and a far sight better than not saving at all.

Re: JULY 1st

Posted: Thu Jun 25, 2020 8:41 am
by ProduceMan
I plan to use 60 or 65. Think of it as a C.5 and S.5 (modified).

Re: JULY 1st

Posted: Thu Jun 25, 2020 11:19 am
by Aitrus
If you want 50/50 C/S, why not just do that instead? The L Funds devote too much to the G and F Fund at all times, and so there are losses due to opportunity cost. The L Funds also devote too much to the I Fund, which is a poor performer for most of the year.

Combined, the L Fund strategy of using G/F/I year-round greatly dampens the returns that C/S bring to the table.

Re: JULY 1st

Posted: Thu Jun 25, 2020 11:28 am
by ProduceMan
No, not 50/50 C/S. Kind of a C.5 (modified C) and or S.5 (modified S).

Just a dirt cheap stock fund. The 60 will allocate 99% in equities.

I too don’t care for the I or F Fund. I just want the 60/65 for the price.

Re: JULY 1st

Posted: Thu Jun 25, 2020 11:37 am
by Aitrus
Ah, I see what you're saying. Sure, if it works for you and your investing goals, then I say go for it.

Re: JULY 1st

Posted: Thu Jun 25, 2020 8:51 pm
by TopComm
I’ve tracked the 10 year fund performances over the past three years. I would not touch these or the new five year plans. Me versus L2040 or L2030 - huge difference - advice: compare to a good tspcalc formula and sit back, relax, and reap the rewards.

L2065

Posted: Wed Jul 01, 2020 4:19 pm
by ProduceMan
ProduceMan wrote:I plan to use 60 or 65. Think of it as a C.5 and S.5 (modified).
Aitrus wrote:If you want 50/50 C/S, why not just do that instead? The L Funds devote too much to the G and F Fund at all times, and so there are losses due to opportunity cost. The L Funds also devote too much to the I Fund, which is a poor performer for most of the year.

Combined, the L Fund strategy of using G/F/I year-round greatly dampens the returns that C/S bring to the table.
ProduceMan wrote:No, not 50/50 C/S. Kind of a C.5 (modified C) and or S.5 (modified S).

Just a dirt cheap stock fund. The 60 will allocate 99% in equities.

I too don’t care for the I or F Fund. I just want the 60/65 for the price.
Aitrus wrote:Ah, I see what you're saying. Sure, if it works for you and your investing goals, then I say go for it.
After looking at the fund allocations for the L2065 Fund, I change my view. I will use the 65 Fund as a modified I Fund instead (now more appealing).