Cash on hand

[BBCWatcher]

always keep warchest of 20-50% in cash to take advantage of market crash or weakness

That doesn’t compute. If you always keep such a warchest you can never use it. Always means always.

What are you trying to suggest?

 

[kumokumo]

Keep at least 6 mths cash in a bank.
Preferable you would want another 6 mths of easily liquidable investments like etfs and funds.

 

[focus1974]

i have 7 digits in cash..

7 digits in stocks..

the reason ..why holding 7 digits in cash is because... cannot buy property now with all the taxes ... and cannot borrow money..

buy properties must have leverage then song.


I will never put more than 50% of my networth into stocks..
it's really too risky when compared to properties.

And my paper gain for this year on stocks is also 7 digits.

 

[lzydata]

6-12 months is a good starting point particularly if you have dependents. Some investments such as Singapore Savings Bonds can be counted as semi-liquid, since your principal is guaranteed and you can redeem anytime with a month's lag.

I wonder if experiencing 2020 made some people rethink this, as previously unthinkable things happened like the closure of bars, clubs, cinemas etc for months, stoppage of construction work etc. The airport and aviation sector may be in doldrums for years.

Maybe most of us here are fortunate enough that our jobs and income carried on without interruption, but it's also this group that tends to have less problems saving. It's those who earn less that have to spend most or all of what they earn - even putting aside a few months' expenses is going to be tough.