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statistics show either there is no point in putting any investment money (i.e., not contingency fund) is bonds/fixed income as long as you have new money to invest in market down turns

That sounds a lot like market timing. Is there something here that I ought to investigate further?

Asset allocation/rebalancing is a form of market timing (despite denials). However, it is based on systematic principles, not guesses what the market will do next. Whether it is effective, especially in a taxable account (taking profits, generating taxes) is a different question. I don't know about further investigation on the topic. What you will find with bonds and stocks is whether rebalancing works depends on when you look at the numbers and when you would have chosen to rebalance. That isn't a whole lot of help.

For my e-fund, I am shooting for 3-6mo of living expenses. Over time, I hope that 20-30% of assets would be a heck of a lot more than 3-6mo living expenses and having 20-30% of assets out of equities would be overkill.

3-6 months living expenses is nice if you decide to take a few months off between well paying jobs. 3-6 years is more like it in the real world where stuff happens (unless you happen to have the ultimate safety net of a rich family that will bail you out if you party into your 40s).
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