Is it safe to treat stocks and ETFs in my brokerage account as savings and emergency funds as long as I have a significant number of lots with a Stop Loss or Stop Limit Order in place? My Savings Account technically doesn’t cover 3 months of expense, but combined with my brokerage account it does. Is it safe to be have 1 month in savings and 2 months in stock/ETF with stop loss orders in place that if exercised equate to 2 months of expenses?
I think the conventional wisdom is “no”. Cash is king and if you have a legit emergency you want that stability from basic savings.
For me, I work for a company in n NASDAQ (big fucking deal). If the overall market takes a shit both my investments AND my job will be at risk. Liquid emergency savings cover that possibility in a way that stonks and ETFs can’t. OFC savings rates kinda suck so there’s sort of a loss there too.
