July was a very good month for the TSP accounts no matter what you put your money in. Some funds did much better than others, but everything made some money. The winner was the S fund followed by the I and C.
I think that I’m doing pretty good with a 15.19% gain for the first 7 months of the year and I would take that every year if I could get a guarantee. Someone at work told me that they have been 50-50 C&S the entire year and they now have a return of 20%. I ran the numbers as of today and they are still right on, 19.99%. That is awesome. They asked me when is it going to be a good time to bail. Welcome to my world friend. There is no crystal ball in the market or for anything else for that matter, so it is best to have a plan. Have a goal. Don’t be greedy. There are so many ways to do this but the main thing is to babysit.
My goal is to make 7% a year and take no double digit losses. I use charts and not news to get out and to get in the market. I accept that I will never get in at the bottom and I will never get out at the top. Lastly, I will never let news on TV, internet, in print, or from an individual influence my decisions. I will always make my decisions based on what I see and not on what I hear.
Ok, For all those folks out there that keep saying that this is to hard and takes to much time, let me make this as simple as possible for you. Over the last 9 years if you would have followed the method below, you would have made 7 moves in 9 years. Wow!
So looking at the chart above, you never took a loss over some really nasty years in the market. That alone is amazing. So what did you make over those 9 years? 88.2% which is 9.8% a year. If that doesn’t make you want to babysit your money, you’re hopeless. Do not whine when you loss money, just stand front of the mirror and cuss out the person staring back at you.
Using the method above, we just closed the month of July and it say’s what?
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