TSP Funds Tumble Again in June

After a brief rebound in May, the federal government’s 401(k)-style retirement savings plan continued a descent last month that has lasted nearly the entirety of 2022.

The international stocks of the Thrift Savings Plan’s I Fund saw the worst performance in June, falling 8.21%. So far this year, the I Fund has lost 18.95% in value.

TSP portfolios tracking domestic corporations didn’t fare much better. The common stocks of the C Fund finished last month 6.55% in the red, bringing its 2022 performance down to 19.96% in the red. And the small- and mid-size businesses of the S Fund lost 7.95% in June. So far this year, the S Fund has fallen 27.92% in value.

The fixed income bonds in the F fund lost 1.94% last month. Since January, the fund has decreased 10.08%.

The G Fund, which is made up of government securities, was the only TSP fund to finish June in the black, gaining 0.29% last month. So far this year, the G Fund has gained 1.15% in value.

All of the TSP’s lifecycle (L) funds, which shift to more stable investments as participants get closer to retirement, posted negative returns last month. The L Income Fund, for people who have already begun making withdrawals, lost 1.60%; L 2025, 2.98%; L 2030, 4.37%; L 2035, 4.84%; L 2040, 5.29%; L 2045, 5.69%; L 2050, 6.07%; L 2055, 7.25%; L 2060, 7.25%; and L 2065, 7.25%.

Since January, the L Income Fund fell 4.84%; L 2025, 8.98%; L 2030, 12.88%; L 2035, 14.22%; L 2040, 15.49%; L 2045, 16.62%; L 2050, 17.66%; L 2055, 20.54%; L 2060, 20.55%; and L 2065, 20.55%.