TSP Market Summary: Week of January 01, 2016

By Roy Weisert, PhD, CFP

Key Takeaways

  • 2015 was a flat year for stocks with significant volatility from August through October
  • Historical comparison to 2011 suggests potential for strong gains in coming years
  • TSP allocations staying unchanged while waiting for market breakout above 2100 level

Happy New Year to all!! As we look back at 2015, it was a frustrating year of starts and stops. This week, along with the year, finished out flat. In between, there was volatility especially in the August to October timeframe. So what can we expect in 2016? While no one can predict the future, I’ll make a comparison to 2011 when the S&P 500 also finished flat. From 2012 thru 2014, the S&P 500 had gains of 13.4%, 29.6% and 10.7% in each of those years. It sure would be nice to see this pattern repeat and we get a trending breakout to the upside above 2100. For now, allocations remain the same.