TSP returns down for June, new 5-year Lifecycle funds go live

More businesses, states and federal offices might be reopening — but last month still saw negative Thrift Savings Plan performances.

Tuesday marked the end of June and with it the end of the L 2020 Lifecycle fund. It was also the day six new Lifecycle funds were implemented: The L 2025, L 2035, L 2045, L 2055, L 2060 and L 2065 funds.

As Federal News Network previously reported,  the TSP will automatically move participants enrolled in the L 2020 fund into the L income fund and these participants can transfer out of the income fund and into any of the other lifecycle funds starting Wednesday.

Lifecycle fund returns for June followed the same trend as the stock funds. The L Income fund went from 1.23% in May to 0.73% in June. The L 2020 fund dropped from 1.31% to 0.77%, the L 2030 fund declined from 3.25% to 1.81%, and the L 2040 fund decreased from 3.88% to 2.14%. Finally, the L 2050 fund had a June return of 2.42% versus 4.43% in May.

Across the TSP, June returns were down from May in almost every fund except two: The Treasury securities-backed G fund which stayed flat at 0.06%, and the fixed income investment F fund which increased by 0.17% to a return of 0.63%, according to numbers released by the TSP on Wednesday.

The F Fund has also shown the highest growth — 8.65% — for the last 12 months.

The small capitalization stock index S fund had a return of 4% in June compared to 8.79% in May, while the common stock index investment C fund had a June return of 1.99% versus 4.76% the month before. And the international stock index I fund finished last month with a return of 3.44% compared to 4.5% in May, according to Wednesday’s numbers.

Nevertheless, performance drops were small enough to keep all funds in the black for the third consecutive month.

Thrift Savings Plan — June 2020 Returns
Fund June Year-to-Date Last 12 Months
G fund 0.06% 0.59% 1.54%
F fund 0.63% 6.08% 8.65%
C fund 1.99% -3.15% 7.41%
S fund 4.00% -5.85% 0.84%
I fund 3.44% -11.08% -4.82%
L Income 0.73% -0.23% 2.52%
L 2020 0.77% -0.74% 2.36%
L 2030 1.81% -2.80% 2.95%
L 2040 2.14% -3.64% 2.96%
L 2050 2.42% -4.42% 2.86%