TSP’s winning streak is over

TSP’s three-month winning streak is over. Most funds posted negative returns in June, although the G, F, C and Lifecycle Income funds managed to stay in the black. This is the first time since February the savings plan’s numbers have dipped into the negative.

The G Fund, which invests in U.S. government bonds, showed a 0.15 percent return, the same as May. The F Fund, which is a fixed income index investment fund, came in at 1.80 percent, dwarfing May’s return of 0.08 percent, showing the biggest turnaround and the highest return of the month. The C Fund invests in the Standard and Poor’s (S&P) 500 Index, and brought in a 0.26 percent increase. Finally, the L Income fund showed 0.11 percent return, which is good news for retirees.

And now, the bad news. The S Fund, which invests in small cap stocks, dropped from 1.81 percent to -0.13 percent.

The I Fund maintained its spot as the poorest performing, at -9.81, in the last year. It dropped 3.60 percent in June, from 0.27 to -3.33, giving it the dubious distinction of being the worst performing fund of the month as well.

The rest of the Lifecycle Funds posted negative monthly returns, although 2020 and 2030 managed to pull their numbers for the last twelve months out of the red, at 0.74 percent and 0.16 percent, respectively.

These numbers come one week after the financial turmoil following the British referendum resulted in favor of leaving the European Union. The Federal Retirement Thrift Investment Board quickly warned enrollees not to make any hasty decisions, and stay the course.

Thrift Savings Plan — June 2016 Returns
Fund June Year-to-Date Last 12 Months
G Fund 0.15% 0.93% 2.02%
F Fund 1.80% 5.50% 6.41%
C Fund 0.26% 3.87% 4.07%
S Fund -0.13% 2.71% -5.00%
I Fund -3.33% -3.44% -9.81%
L Income 0.11% 1.46% 1.92%
L 2020 -0.12% 1.63% 0.74%
L 2030 -0.31% 1.75% 0.16%
L 2040 -0.31% 1.75% -0.39%
L 2050 -0.58% 1.68% -1.05%

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