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sarah
Starting Member
USA
13 Posts |
 Posted - 03/18/2005 : 10:13:31
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I wish TSP allowed greater flexibility, similar to the flexibility offered in the financial markets. That is, we should be allowed to short the markets (make money when the markets go down). We should also be allowed to leverage by means of futures and options. As an example, the Rydex and ProFunds mutual fund families permit both of these options for their index funds (e.g. They offer S&P 500 (C) funds that yield double the return of the C fund and double the inverse return of the C fund.) Why can't the TSP allow these options as well?
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tspwatch
Forum Admin
USA
6 Posts |
Posted - 03/18/2005 : 10:35:20
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Indeed if we could have gone short in the March 2000 - March 2003 stock market crash, we would have done very well.
Shorting requires that we BORROW funds (actually the stocks) from our broker, whether it be Ameritrade, Charles Schwab, or whatever. Short selling is not very common amongst mutual funds and I believe there are SEC rules against in regarding retirement accounts.
The next best thing is go to G-fund.
see ya
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Timer
Starting Member
2 Posts |
Posted - 03/18/2005 : 10:42:46
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| I am wondering???? When we ask for more services from TSP, wouldn't higher service mean higher costs to adminster the TSP? Meaning we pay? |
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sarah
Starting Member
USA
13 Posts |
Posted - 03/18/2005 : 11:17:43
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quote:
Originally posted by tspwatch
I believe there are SEC rules against in regarding retirement accounts.
It's permitted. I have an IRA from Fidelity that includes a ProFunds fund, as described. |
Edited by - sarah on 03/18/2005 11:56:35 |
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sarah
Starting Member
USA
13 Posts |
Posted - 03/18/2005 : 11:59:08
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quote:
Originally posted by Timer
I am wondering???? When we ask for more services from TSP, wouldn't higher service mean higher costs to adminster the TSP? Meaning we pay?
Look at all the funds that a large mutual fund company such as Fidelity offers. Are their costs so prohibitive that you would never want to go there? Nah. |
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Rolo
Starting Member
USA
8 Posts |
 Posted - 03/18/2005 : 20:10:40
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quote:
Originally posted by sarah
I wish TSP allowed greater flexibility, similar to the flexibility offered in the financial markets. That is, we should be allowed to short the markets (make money when the markets go down). We should also be allowed to leverage by means of futures and options. As an example, the Rydex and ProFunds mutual fund families permit both of these options for their index funds (e.g. They offer S&P 500 (C) funds that yield double the return of the C fund and double the inverse return of the C fund.) Why can't the TSP allow these options as well?
Boy, you women just want everything, don't you?  |
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SkyPilot
Starting Member
4 Posts |
Posted - 03/20/2005 : 08:59:16
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| I wish that the daily deadline was closer to market close, instead of the current 4 hour delay. Is the mid-day deadline arbitrary, or is there a good reason? Will we ever know? |
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Rolo
Starting Member
USA
8 Posts |
Posted - 03/20/2005 : 10:33:32
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There doesn't have to be a good reason; it just IS. Quitchyerwhinin' and work with it! :D
THE REASON: Do you like a flood of new work "that's gotta be done now" to hit your desk ten minutes before its time to leave? |
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SkyPilot
Starting Member
4 Posts |
Posted - 03/20/2005 : 13:14:38
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| You would think that these (TSP allocation) changes would be/could be automated. If real people are doing these computations, that's gotta be a lot of work hours. |
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sarah
Starting Member
USA
13 Posts |
Posted - 03/20/2005 : 16:22:30
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| The changes ARE automated, silly. You really think they have GS-5s making these changes for thousands of people each day, and going on disability from carpal tunnel syndrome? *LOL* The problem is that GUARANTEEING a certain price requires a particular amount of lead time. They take into consideration the maximum workload that their computers can process per minute. IMHO, the lead time will reduce further in the future, as the computers improve. That is, e.g., I wouldn't be surprised to see obtaining the next day's price even if u transfer by 5 PM of the previous day. |
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SkyPilot
Starting Member
4 Posts |
 Posted - 03/21/2005 : 07:37:26
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Rolo, See! My whining resulted in better info from Saraho! I like her answer better . Now, if I could just get the improbability drive on my computer to work right, I might get somewhere.  |
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Rolo
Starting Member
USA
8 Posts |
 Posted - 03/27/2005 : 09:46:32
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LOL!
quote:
Originally posted by SkyPilot
Rolo, See! My whining resulted in better info from Saraho!
You don't wanna know what my whining results from Saraho!
quote:
Originally posted by SkyPilot
Now, if I could just get the improbability drive on my computer to work right, I might get somewhere.
Bahahahaha! You'll go everywhere!
Seriously...think about this: my mutual fund trades at Scottrade and USAA still take at least a day, usually two, before the order is executed and I've had to wait three days for the cash settlement. TSP is actually superior in this regard. Add to the fact that there are no trade limits. Some of my funds have limit on exchanges--I've exceeded them--and I therefore have to sell and then buy to exchange (D'oh).
So, as much as the noon deadline can be a PITA, I am not complaining since it is consistent and the trades are expedient.
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sarah
Starting Member
USA
13 Posts |
 Posted - 03/27/2005 : 11:52:28
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| Rolo's right. I just want more of a selection of what I can do with my money. Let me short...and leverage.... and I'll be happy. |
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TSP Limitations
