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Target-Date Funds Are Tanking, But Don’t Throw In The Towel
Interesting that they cite Professor S lauding TRP (a firm I actually like), which happens to be the most expensive on the chart. Since Vanguard is 0.5% x 20 (25, 30 yr?? [optimists live longer] cheaper, I'll take my 10, 12.5 or 15% to good cheap restaurants, a lake shore cabin, a winter in Portugal, my granddaughters' college graduations, any place but the grave.
Run the market straight up for months on end to unsustainable heights. Than “wring your hands in richeous indignation” on a little correction (quote borrowed from @Ted). For the year TRRIX is off about 2.8%. Me about the same. It’s a 40/60 fund. But I suspect you can find quite a few 60/40 funds off just as little or even less.
So since when does a 3 or 4% dinging over a one year period constitute “tanking”? A cliche in sports is “Act like you’ve been there before.”. Might also apply here.
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Run the market straight up for months on end to unsustainable heights. Than “wring your hands in richeous indignation” on a little correction (quote borrowed from @Ted). For the year TRRIX is off about 2.8%. Me about the same. It’s a 40/60 fund. But I suspect you can find quite a few 60/40 funds off just as little or even less.
So since when does a 3 or 4% dinging over a one year period constitute “tanking”? A cliche in sports is “Act like you’ve been there before.”. Might also apply here.
@ johnN : can you help me out as you're a TSP user?
Thanks , Derf
https://www.fedsmith.com/category/pay-benefits/