Emergency Funds: Shielding Investments and Financial Health

Think of an emergency fund like a financial safety net.

It's money saved up to help you if something unexpected happens, like losing your job or your car breaking down.

Instead of borrowing money or selling investments when times are tough, an emergency fund lets you cover those costs.

It helps you avoid debt and lets you stay calm about your money.

Also, it lets you keep investing even if the market goes down.

Make sure you have enough saved up to cover several months of expenses before you start investing.