The C Fund is a heavily diversified investment but it does come with the risks. The C Fund is moderately volatile and is subject to market risk as the price of stocks in the S&P 500 Index rise and fall. Further, you are exposed to inflation risk if your C Fund investment does not grow enough to offset inflation. While there is some volatility, the C Fund is very popular because there is tremendous opportunity for significant dividends as market prices shift.
See Also
Are You a Federal Employee? Here's How Dave Ramsey Would Use a TSPThe One Word Answer for How Much You Should Have in Your TSPHave questions about the C Fund and how to make the most of your TSP? Contact us to learn more.
