Are savings accounts worth It? A lot of people ask me:
Ayman, why would I put $2,000 in a savings account earning 1% interest when I can put it into a mutual fund earning 10%?
It’s a legitimate question.
It appears that you are leaving money on the table by sitting on the sidelines and not playing the market. What I’ve discovered is that people often need these emergency funds the most, when the market is performing the worst. This actually makes sense, usually when the market is tanking, the economy is as well. This leads to lost jobs, failure to launch, and stalled revenue streams.
The last thing you need during times of turmoil is reaching for your $2,000 emergecy fund, and realizing its worth half that. Keep your emergency fund in cash and you can properly hedge those risks.
I'd text you...
But that would be creepy. Give your best email instead and I promise to only send you my best work.
Right in your inbox 🙂