Asked by Katie  |  Submitted September 16, 2013

I've been saving money and I think I have enough to begin investing. Should I open an investment account and transfer all of my savings?

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  Answers  |  2

September 18, 2013

Hi Katie,

Congratulations on saving enough to begin investing! You are on the right track.

You probably shouldn't transfer all your savings. Keep some back as an emergency fund for large unexpected expenses or in case you lose your source of income. Investing is a long term process and will provide you with better results if you can be consistent and steady. Having to tap your investments to pay for a major car repair for instance, will disrupt your investment plan.

A good rule of thumb is to keep 3 to 6 months of expenses in a savings account for emergencies.

Good luck.

Barry Bailey CFP

$commenter.renderDisplayableName() | 01.27.21 @ 00:13


February 09, 2016

You need to see Financial advisor to do your financial need analysis. whom you can trust to, can help you to make right decision about your investment.

$commenter.renderDisplayableName() | 01.27.21 @ 00:13