TSP rebounds in July
But most funds still have not recovered from the financial losses of fall 2008.
All 10 funds in the Thrift Savings Plan's posted gains in July after an anemic June, and continued their upward trend since the beginning of 2009.
The I Fund, which invests in overseas companies and dropped 1.08 percent drop in June, had the biggest increase in July, gaining 9.74 percent. The fund has grown 16.99 percent since the beginning of 2009, but losses last fall mean the fund is still worth 21.59 percent less than it was in July 2008, the steepest decline of any of the funds in the TSP during the past year.
The S Fund, which invests in small- and mid-size companies and tracks the Dow Jones Wilshire 4500 Index, had the second-largest increase in July, rising 8.66 percent. The fund's value is up 17.2 percent so far in 2009, but still has not recovered from its losses during the worst part of the economic downturn in the fall, and is down 21.08 percent since July 2008.
The C Fund, which invests in common stocks of large companies on the Standard & Poor's 500 Index, rose 7.58 percent last month and has grown 11.13 percent so far this year. The fund's value is still down 19.89 percent since the same time last year.
The F Fund, which invests in fixed-income bonds, inched up 1.59 percent in July. The fund's value is up 3.57 percent in 2009, and it has posted the largest gains of all the funds during the past 12 months, increasing 7.87 percent.
The G Fund, or government securities, is the most stable of the TSP's options and rose 0.28 percent in 2009. The fund's value has increased 1.65 percent in 2009, and 3.19 percent since July 2008.
All five of the life-cycle funds grew in July. The L funds are designed to pursue aggressive gains early in an employee's career and shift to a more conservative mix of investments as employees near retirement. The L 2040 Fund rose 7.01 percent last month; the L 2030 Fund gained 6.16 percent; the L 2020 Fund grew 5.16 percent; the L 2010 Fund rose 2.44 percent, and the L Income Fund increased 1.94 percent. The L funds have posted positive returns since the beginning of 2009, though none has recovered yet from last fall's financial slump, and all are down in value since July 2008.
Since January, the L 2040 Fund is up 12.51 percent; the L 2030 Fund has grown 11.31 percent; the L 2020 Fund rose 9.79 percent; the L 2010 Fund is up 5.33 percent, and the L Income Fund saw a 4.6 percent hike. Since August 2008, the L 2040 Fund's value has fallen 14.79 percent; the L 2030 Fund has decreased 12.12 percent; the L 2020 Fund has dropped 9.22 percent; the L 2010 Fund is down 3.03 percent, and the L Income Fund has dipped 0.06 percent.