Post
Topic
Board Speculation
Merits 2 from 2 users
Re: Buy the DIP, and HODL!
by
Salahmu
on 11/08/2025, 11:52:39 UTC
⭐ Merited by JayJuanGee (1) ,Berry2d (1)
emergency funds should be a little bit lower than your investment, this is because profit comes in with investment and the higher the investment the higher your return on investment, but emergency funds is just there and it doesn't give you a return on investment, it is just there to create balance in case of unforeseen circumstances, so it shouldn't be more than investment in terms of percentage range.

If you think on the perspective of non profit making of emergency funds you might be led to use all your emergency fund and invest on Bitcoin but however the reason of such disciplinary measures of making sure there is an emergency fund is not because of any intentions of profit but because of what it stands to resist from you so actually the purpose of the emergency fund is almost or equal to the possibility of the profit you might have from your investment because if there was no emergency fund who knows if you could have still be investing or keeping the investment you already have because as a business person when all the money you have kept for the family consumption has finish and there is no source to refill it, the business the person is doing will become the target and gradually a shop that was filled with products will be dried empty so actually this is what emergency funds protect from investors.