TSP Market Summary: Week of June 25, 2016

By Roy Weisert, PhD, CFP

Key Takeaways

  • Brexit vote results on Friday disrupted steady market gains from Monday-Thursday
  • Market volatility prompted defensive allocation shift toward bonds over stocks
  • S&P 500 remains stuck near same trading range held since late 2014

This week the S&P 500 had a steady march upward over that 2100 level on Monday through Thursday. Then the results of the Brexit vote came out on Friday which roiled the markets. Overall, the S&P 500 finished the week at 2037, close to that 2043 level we’ve hovered around since mid-November 2014. Due to that neutral posture, we’re recommending a 50 percent allocation to the equity funds (C/S/I) and an increase in the fixed income bond fund to 35 percent.

Recommended Allocation (Moderate Profile)

This is our historical recommendation from this date. For current recommendations, subscribe.

G FundF FundC FundS FundI Fund
15% 35% 25% 25% 0%