Thursday's TSP Scorecard

Almost everything in the TSP slipped on Thursday, Oct. 30. The one exception was the G Fund, which edged up 0.01% to $19.4497. That is its usual behavior. It tracks a Treasury rate, not a stock or bond market, so it barely moves.

The stock funds did the damage:

  • S Fund: -1.25% to $100.2605
  • C Fund: -0.99% to $108.8882
  • I Fund: -0.42% to $53.6635
  • F Fund: -0.16% to $20.8183

The One Over 1%

The S Fund's 1.25% drop was the only move past the 1% mark. It tracks the Dow Jones U.S. Completion index, which covers the U.S. stocks outside the S&P 500, so the smaller and mid-sized companies. The S Fund is also the only fund in the lineup down over five days, at -1.07%. Its year-to-date gain is 10.91%.

The C Fund came within a hair of 1%. It fell 0.99%, which matches the S&P 500's 0.99% decline. That is what an index fund should do. Its five-day gain is still 1.25%, and it is up 17.43% for the year.

The I Fund, which follows MSCI ACWI ex-US ex-China, lost 0.42%. Its five-day return is +0.28% and its year-to-date gain is 27.98%, the best among the five core funds. The F Fund followed the Bloomberg U.S. Aggregate lower, down 0.16%.

L Funds: A Blend, So a Blend of Results

The L Funds mix the five core funds, so their day depended on how much stock each one holds. The more stock, the bigger the drop.

  • L Income: -0.22%
  • L 2030: -0.49%
  • L 2040: -0.60%
  • L 2050: -0.68%
  • L 2055 through L 2070: -0.82% each

Their five-day numbers are all positive, ranging from 0.2% for L Income to 0.6% for the 2055 and later funds.

What Moved IRA Index Funds and ETFs

The broad market data tells the same story. The index figures I have are labeled as the prior session close.

  • S&P 500: -0.99% to 6822.34
  • Nasdaq Composite: -1.57% to 23581.141
  • Dow Jones Industrial Average: -0.23% to 47522.121

The gap between the Dow and the Nasdaq is worth a glance. Weakness was uneven, and the Nasdaq took the brunt of it.

The ETFs many IRAs hold followed suit. Vanguard Total Stock Market (VTI) fell 1.07% to $334.08, which crossed the 1% line. Vanguard Total International Stock (VXUS) lost 0.62% to $74.81. Vanguard Total Bond Market (BND) slipped 0.17% to $74.60.

The bond move lines up with rates. The 10-year Treasury yield rose 0.86% to 4.093. When yields rise, existing bond prices tend to fall, which fits BND's small loss and the F Fund's 0.16% dip. The data here does not say why stocks or yields moved, so I will not guess.

What It Means for Your Plan

One down day, even one with a 1.25% drop in a single fund, rarely changes a long-term plan. These funds are still up for the year: the C Fund at 17.43%, the I Fund at 27.98%, the S Fund at 10.91%, and the F Fund at 6.86%. The G Fund is up 3.68%.

If you are years from retirement, a day like this is mostly noise. If you are close to retiring or already drawing income, look at how much of your balance sits in stock funds and whether that fits your comfort level. That is a question for your own timeline, not a reaction to one session. This recap is general information, not advice for your situation.

Check back after the next close.