July was promising for TSP returns

After a June slump, which saw almost entirely negative returns, the Thrift Savings Plan reversed course and rose across the board in July. According to monthly returns released by the TSP today, nearly all stock and Lifecycle funds rose from June, even as inflation hit 9.1% last month.

All funds finished in the black as well, the first such time since April 2021.

The biggest month-over-month improvement was in the small cap stock index S…

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After a June slump, which saw almost entirely negative returns, the Thrift Savings Plan reversed course and rose across the board in July. According to monthly returns released by the TSP today, nearly all stock and Lifecycle funds rose from June, even as inflation hit 9.1% last month.

All funds finished in the black as well, the first such time since April 2021.

The biggest month-over-month improvement was in the small cap stock index S fund, which rose by 18.27 percentage points, from a return of -7.95% in June to 10.32% in July. Next was the common stock index C fund, which rose by 15.77 percentage points from -6.55% in June to 9.22% in July.

Behind that, the International Stock Index I fund increased from -8.21% in June to 5.15% in July, or a difference of 13.36 percentage points. And the fixed income index F fund had more modest improvement with a return of 2.47% in July versus -1.94% in June.

The only fund to decline was the government securities-backed G fund, which dropped slightly from 0.29% in June to 0.26% in July.

As for the Lifecycle funds, the L Income fund had the smallest monthly increase, going from -1.60% in June to 2.21% in July. The biggest increases were in the L 2060 and 2065 funds, which both rose by 15.15 percentage points, followed closely by the L 2055 which rose by 15.14 percentage points.

Year over year, increases were smaller but every TSP fund rose compared to July 2021.

 

Thrift Savings Plan — July 2022 Returns
Fund July Year-to-Date Last 12 Months
G fund 0.26% 1.41% 2.02%
F fund 2.47% -7.86% -8.87%
C fund 9.22% -12.58% -4.64%
S fund 10.32% -20.48% -21.59%
I fund 5.15% -14.77% -13.46%
L Income 2.21% -2.74% -1.19%
L 2025 3.50% -5.79% -3.45%
L 2030 5.00% -8.53% -5.62%
L 2035 5.47% -9.53% -6.46%
L 2040 5.92% -10.48% -7.24%
L 2045 6.33% -11.34% -7.98%
L 2050 6.71% -12.13% -8.64%
L 2055 7.89% -14.27% -10.16%
L 2060 7.90% -14.27% -10.17%
L 2065 7.90% -14.28% -10.17%