I've got a TSP account - was going to post this on the TSP board -- but, this one's more active and so I thought I'd do it here.I have to make a 28k deposit to pay back a loan to my account. It's a substantial amount for me and I've been pondering how to allocate it. TSP offers a govt. bond fund, a private bond fund, a common stock fund, an int'l stock fund and a small cap stock fund. I'm retired but fairly risk tolerant.My current overall portfolio is about 69/31 equities to fixed. Given that equities have had quite a run lately I'm thinking I'll put it in the fixed fund to miss the potential correction that some say is coming (always have put into the private bond fund vice the govt. one.)Dumping the whole 28k into the fixed fund(s) would make me 62/38 - putting it all in equities moves me to 72/28. Or I could mix it to stay around 70/30...Any ideas welcome.
If you are going to need any of this money in the next 5 years, I would avoid the more aggressive equities and seek capital preservation over growth.FuskieWho in that situation might even consider reversing his balance, with a smaller equity position...
Is there not a Stable Value or money market option?I would put it there and then DCA back in over the next year over buying anything 100% at this point.
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