Stocks don't make sense for emergency funds. They go up and down. Emergency funds have to be available 24/7 and you cannot wait until it goes up again. EDIT: I

Stocks don't make sense for emergency funds. They go up and down. Emergency funds have to be available 24/7 and you cannot wait until it goes up again. EDIT: I should also add that depending on your region (especially in Europe) there can be serious tax implications if you take it out all at once.