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Subject:  Re: The Next Step....? Date:  8/11/1999  5:13 PM
Author:  x4a54 Number:  13086 of 102456

i'll volunteer to be the crazy person :

my Emergency Fund is in the RP4
[not suitable for all investors] --

Small emergencies, write a check against Margin (cheaper
than CC)

Big emergencies, liquidate part or all of the stocks,
immediately or over time.

Downside (BIG) -- may have to liquidate in a down market.

Upside --possibly earn significantly above MMF.

i prefer RP4 for this instead of other stocks because,
try as i might, i get emotionally involved with my
others and it would Hurt to sell before i was ready.

but one has to seriously consider the possible emergencies and
each of their likelihoods.

(note that the Downside decreases over time -- 3 or
4 years of +20% and the market will have to seriously
tank to get you back behind MMF rates. otoh, a serious
drop in the first year could cause much heartburn)


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