TSP Market Summary: Week of May 21, 2017

By Roy Weisert, PhD, CFP

Key Takeaways

  • Markets showed high volatility with S&P 500 reaching new records then dropping sharply mid-week
  • I fund performance improving relative to other TSP equity options, prompting allocation shift
  • Quick market recovery suggests resilience but volatility remains a key risk factor

What a week!! The S&P 500 closed above 2400 for the first time on Monday and stayed above that level on Tuesday. Then Wednesday arrived with nearly a 400 point loss on the Dow. On Thursday morning, my “CNN PreMarket” email subject line read “Investors Take a Breather”. To me, it felt like getting the breath knocked out of you with a punch to the stomach. But then Thursday rolled around and the markets bounced back with the S&P 500 finishing the week at 2381. With regard to the TSP equity funds, we’re seeing an improved performance ranking for the I fund so we’ll increase that allocation while shifting some from the S fund.

Recommended Allocation (Moderate Profile)

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

G FundF FundC FundS FundI Fund
0% 0% 35% 20% 45%