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"In retirement, the Emergency Fund is a stash of cash or cash equivalents that in combination with insurance precludes people from being forced into a Buy High - Sell Low investment plan."

Pretty much spot on.
I have also heard folks argue that a cash-equivalent "bucket" provides a portion of your
net worth outside of the typical investment risk areas. Similar to an annuity but without a
fee - outside of lost upside potential. Course this assumes that negative interest rates do
not become a banking feature.

I read about companies supplementing their pension funds through buying annuities.
Seems like a way of increasing costs without asking the contributors.
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