No ESG at TSP Act

This bill prohibits the Thrift Savings Plan (TSP), which serves federal employees and retirees, from offering investment funds that base decisions on environmental, social, and governance (ESG) criteria. It bans mutual funds or exchange-traded funds marketed using ESG factors - such as climate policies, diversity metrics, gun manufacturing ties, or political affiliations - from the TSP's investment options. The bill requires the TSP board to remove existing ESG-linked funds within 90 days of enactment and gives participants 90 days to switch their investments to other TSP funds, with unselected funds automatically moving to a government securities fund. The law directly affects federal employees' retirement savings by restricting their investment choices based on ESG considerations.