TSP Fiduciary Security Act of 2026

Key Points

• This bill changes how the Thrift Savings Plan (TSP) is managed. The TSP is the retirement system for millions of federal workers and military members. If passed, the people in charge of the fund would be legally required to make sure their investment choices do not harm U.S. national security.
• The policy specifically targets investments in countries like China, Russia, Iran, and North Korea. It would ban the TSP from investing in Chinese military companies or any business on certain government blacklists. This includes any investment options found in the TSP's special mutual fund window.
• Supporters are concerned that retirement savings from U.S. government employees are being used to fund foreign companies that work against American interests. The bill aims to ensure that while federal workers save for the future, their money isn't supporting technologies or militaries that could threaten the U.S.
• The bill also changes how the fund uses its voting power in companies. It would prevent the fund from voting in favor of deals that move critical defense technology to foreign rivals or electing board members who have ties to Chinese military companies.
• The Department of Labor would work with defense and intelligence agencies to create strict rules for these investments. They would also have to send a report to Congress every year explaining which investments were checked and what actions were taken to protect national security.