TSP is composed of the following six funds:
- Government Securities Investment Fund (G Fund). The G Fund consists exclusively of investments in short-term nonmarketable U.S. Treasury securities specially issued to the TSP. G Fund investments earn guaranteed interest at a rate that is equal to the average of market rates of return on U.S. Treasury securities with 4 or more years to maturity. The interest is calculated monthly.
- Fixed Income Index Investment Fund (F Fund).
- Common Stock Index Investment Fund (C Fund).
- Small Capitalization Stock Index Investment Fund (S Fund).
- International Stock Index Investment Fund (I Fund).
- Lifecycle Funds (L Funds). The L funds are invested in the five individual TSP funds (G, F, C, S, and I) based on professionally determined asset allocations. The objective is to strike an optimal balance between the expected risk and return associated with each fund.
The F, C, S, and I funds are index funds. The TSP invests each fund proportionately to replicate the risk-and-return performance of the fund’s benchmark index.
Employees may allocate their TSP contributions, including agency contributions, among the six investment funds. Employees must make fund allocations in whole dollars or whole percentage of the employee’s basic pay.
Contributions of employees who do not make a contribution allocation for their TSP funds will be invested according to the following rules:
- For employees enrolled on or after September 5, 2015, all their contributions that the TSP received will be deposited into the Lifecycle (L) Fund targeted most closely to the year they turn 62.
- For employees enrolled before September 5, 2015, all contributions to their account are deposited into the Government Securities Investment (G) Fund, until the employee elects another investment option.
Employees may request to change the allocation of contributions at any time via telephone or online. (See 591.12 for more information.)
An interfund transfer is the movement of money already in the employee’s account among the investment funds. The TSP determines how many interfund transfers are permitted per month, per fund. Visit www.tsp.gov for more information.
TSP issues an individualized participant statement to each participating employee after the end of each calendar quarter. Calendar quarters end March 31, June 30, September 30, and December 31.
Covering all account transactions during the past 3 months, the TSP quarterly participant statement provides valuable information about the employee’s account. Because the statement replicates the information in the employee’s TSP record, it is important that employees review each statement and report incorrect information on any to the TSP.
The TSP mails to employees their first quarterly statement. After that, TSP statements are available online at www.tsp.gov. In addition, employees may request that the TSP mail them their quarterly statements. The TSP will mail statements to the employee’s address of record on file. Employees may update their address through the USPS Blue or LiteBlue websites or by submitting a completed PS Form 1216, Employee’s Current Mailing Address, to the HRSSC.
