Replies to post #241 on The "Stock Trading Riches" Investment Sy

[PraveenP]

Hi Greg,

If I was retired, I would have at least a year of expenses in a bank account (2 would be safer).

I would use this cash account to pay for expenses, and deposit any incoming money (i.e. social security, pensions, part-time job, etc) into it.

So I would leave the investment account alone during the year. Then, at the end of the year, I would pull out money from the investment account to top back the cash account to 1 (or 2) years of expenses.

Also, to cushion the volatility in the investment account, you can increase the amount in the cash/STB portion - maybe allow a maximum of 40 or 50% cash instead of a maximum of 30%.