Stocks in the TSP (Thrift Savings Plan) regain strength after experiencing ongoing declines for several months.

The Thrift Savings Plan (TSP), the federal government's 401(k)-style retirement savings plan, returned to positive territory in May, with all lifecycle (L) funds finishing the month in the black. This marks a significant turnaround after a challenging start to the year.

The common stocks of the C Fund, a key component of the TSP, gained 6.29% in May, while the S Fund, another part of the TSP, saw a robust growth of 7.21%. The international investments of the I Fund also performed well, increasing by 4.97%.

Despite the overall growth, the fixed income (F) fund experienced a slight decline, falling 0.71% last month. However, this was offset by the strong performance of the L Funds.

The L 2030 fund, which is designed for investors with a retirement horizon of around 10 years, grew by 3.65% in May. Since the beginning of the year, it has increased by 4.05%. The L 2035 fund followed closely behind, growing by 3.97% in May and 4.23% since January.

For those with a longer-term retirement horizon, the L 2040, L 2045, L 2050, L 2055, L 2060, and L 2065 funds all saw positive growth in May. The L 2040 fund grew by 4.29%, while the L 2045 fund increased by 4.57%. The L 2050 and L 2055 funds grew by 4.66% and 5.03% respectively, and the L 2060 and L 2065 funds saw the highest growth of all, increasing by 5.03% and 5.05% respectively.

The L Income Fund, designed for retirees, grew by 1.79% in May and has increased by 2.94% since the beginning of the year. The L 2070 fund, the most aggressive of the lifecycle funds, grew by 5.90% in May.

It's important to note that despite the growth, the S Fund remains 3.13% in the red for the year so far. This underscores the inherent risks and uncertainties associated with investing, even within the TSP.

The Federal Retirement Thrift Investment Board manages the TSP, which consists of the S Fund, C Fund, I Fund, F Fund, and Lifecycle Funds. The I Fund's gains for the year are now at a TSP-best 14.42%, demonstrating the potential for strong returns in international markets.

In conclusion, May was a month of growth for the TSP, with all lifecycle funds finishing in the black. While there were some fluctuations in the performance of individual funds, the overall trend was positive. As always, investors are advised to consider their individual retirement goals and risk tolerance when making investment decisions.