The federal government’s thrift savings plan, commonly called the TSP, has long served as a low cost savings method for government employees. The five base funds of the TSP offer government employees access to five major indexes in which they may invest.
TSP funds are not mutual funds, which means they cannot be invested in by the general public. Instead they are trust funds that are managed by Blackrock Institutional Trust Company. These trust funds have management fees of .039% and below, which comes out to $0.239per $1000. To keep management fees and transaction costs low, participants in the TSP are only allow 2 interfund transfers each month, after which they may only transfer money into the G Fund.
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