Thrift Savings Plan (TSP) fund performances surged for a second year in a row in 2024, as investors dropped hundreds of billions of dollars into the market, reported Fed Smith.
The C fund, which performed a personal best of 26.25% in 2023, saw a positive return of 24.96% in 2024. The S fund came in at 16.93% in 2024, while the I fund saw a 4.27% return and the G fund had a 4.40% positive return.
Fed Smith attributes the growth to rising market activity. In 2024, the S&P 500 went up 23% and recorded 57 highs throughout the year, likely due to the increased movement surrounding artificial intelligence (AI) technology.
The emergence of high-tech tools and products has historically helped with increasing stock performances. U.S. stocks had their two best consecutive years in 1997 and 1998, right when the dot-com boom ballooned to serious market capitalizations and rapid startup growth.
Fed Smith also links inflation to influencing stock market returns in 2024. The rate of inflation went down from 9% in mid-2022 to 2.6% in October 2024, therefore ensuing a resilient stock market.
As the stock market grew, TSP investors poured hundreds of billions to the two largest stock funds: the C fund and S fund. Total assets in these funds increased from $274.4 billion to $460.8 billion by the end of December 2022, while G fund assets fell from $240.1 billion to $229.1 billion in the same timeframe.
Below is a full list of the TSP returns for December 2024 and all of 2024.
| Fund | December 2024 | 2024 Returns |
| G Fund | 0.36% | 4.40% |
| F Fund | -1.71% | 1.33% |
| C Fund | -2.39% | 24.96% |
| S Fund | -7.05% | 16.93% |
| I Fund | -2.83% | 4.27% |
| L Income | -0.66% | 7.37% |
| L 2025 | -0.81% | 8.28% |
| L 2030 | -1.86% | 11.52% |
| L 2035 | -2.08% | 12.18% |
| L 2040 | -2.30% | 12.85% |
| L 2045 | -2.49% | 13.42% |
| L 2050 | -2.66% | 14.02% |
| L 2055 | -3.14% | 16.28% |
| L 2060 | -3.14% | 16.28% |
| L 2065 | -3.14% | 16.28% |
| L 2070 | -3.13% | N/A |
Source: TSPDataCenter.com
SEE ALSO:
TSP Realized Significant Gains in 2023
August Another Solid Month of Growth for TSP Funds
Amanda Umpierrez is the Managing Editor of 401(k) Specialist magazine. She is a financial services reporter with over six years of experience and a passion for telling stories and reporting news. Amanda received her degree in journalism and government and politics at St. John’s University. She is originally from Queens, New York, but now resides in Denver, Colorado with her partner. In her free time, Amanda enjoys running, cooking, and watching the latest drama show.
