Why doesn’t the TSP limit interfund transfers to 24 per year instead of two per month?
The purpose of the regulation is to reduce costs to plan participants. Transaction costs are highest when the markets are the most volatile. The Agency is seeking to minimize the dollar volume of trades, especially during those times. With an annual limit, it is likely that a bunching of trades would occur during volatile times, precisely the opposite of the intention of the interfund transfer limits.
Related Questions
- Why hasn the TSP already placed restrictions on the number of interfund transfers that a participant can make each month?
- Why is the TSP placing limits on the number of interfund transfers a participant may make each month?
- Why doesn’t the TSP limit interfund transfers to 24 per year instead of two per month?