l am comparing DWCPF with SPX and looking at the ratio for how to know how much to allot to each sector. (Us TSP folk only have a couple funds we're allowed to invest in). DWCPF is the S Fund, and SPX is the C Fund in the TSP, for reference.
I added a comparison of IWM and SPX also, just because they really seem to move together and I wanted to see how true that was.
Baby blue = SPX Purple = DWCPF/SPX Yellow = IWM/SPX
Come to your own conclusions, but for myself I think I'll look to be more long small caps after a major recovery in the markets. Could be years until that happens, but that ratio chart just looks abysmal.
I'm 100% DWCPF , but I'll be looking to deversify soon unless we continue to see small caps outperform. We'll let the charts tell the story and react to what I see with the data provided
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