That being said if you know you're going to use the money soon/are willing to pay via inflation for security, cash/bonds make a lot of sense. If the market goe

That being said if you know you're going to use the money soon/are willing to pay via inflation for security, cash/bonds make a lot of sense. If the market goes to shit and the knock-on economic effects come for you, cash is nice to have. What's worse, losing 5%/year or losing 30-50% all at once while simultaneously losing your job? My security fund is currently in 60/40 bonds/stock portfolio for precisely this reason, even if the stocks decline by half and the bonds dip a little with them I'll still have a good margin. My 401k that still has 30+ years to run is 100% stocks. Also my wife is pregnant, so I converted the entirety of our HSA to cash (most of it had been invested up this point) as we're going to need most of that money in the next few months (and that's just for what we can foresee) and losing half of it to potential market perturbations is unacceptable.