Does any TSP fund guarantee a rate of return?
No. The only assurance is that the most conservative fund, the government securities G Fund, will produce a positive return. Because of the way the fund is invested, it cannot suffer a loss. However, no particular rate of return is guaranteed. It roughly reflects the returns of mid-term government bonds.

The returns of the other funds mainly reflect gains and losses in the stock and bond markets whose returns they track; trading costs, interest and dividends also are reflected. The international stock I Fund further reflects changing values of foreign currencies versus the U.S. dollar. The lifecycle L Funds reflect all of those changes since they are made up of differing mixes of the five underlying TSP funds.

2020 Digital Almanac

Stay Connected

Latest Forum Posts

Ask the Expert

Have a question regarding your federal employee benefits or retirement?

Submit a question