Asked by Anonymous
Background: 34 YO Married no kids, no intention of having kids for the foreseeable future, no need to take care of parents. Both of us are earning typical degree salaries of 5-6k each. Our apartment has 150k loans. Portfolio: 40 K in robo on more aggressive setting, 70 K in SSB, 140 K in cash total among the both of us. Insurance: Have 2 term each and 1 small life each. Expenses: Mainly Dining, Shopping plus 2 long holidays that average about 7-10k each time.
None of this information helps unless you actually sat down with a financial planner like myself.
If you want 140k cash on hand for some god forsaken emergency, your portfolio is perfectly balanced.
You have to decide things like when you want to clear the loan. Then we can discuss how to arrange and balance your portfolio to clear the loan SOONER than if you didnt balance the portfolio. That's financial planning.
Sorry, but any follow ups are basically worthless.
You can see decent generic advice below, which since you didn't specify any specific goals, you'll be unlikely to follow.
You have too much cash lying around not working for you. Another option is you can use the money to pay off your house.
You have around 250k, less than 20% are in robo, less than 30% are in SSBs and almost 60% are lying around. You should not hold that much cash. In my opinion thats way too much cash on hand for emergency even if you are a person who prefer to have more cash to feel safer. Usually emergency fund are 3-6months expenses but you can increase that number if having more cash makes you more comfortable and make sure you find a high interest savings account that is suitable for you. Robo itself will have some bonds as well unless your robo is 100% stocks. Robo and SSB you have to see your risk appetite. If you are ok with higher volatility, more in Robo will get you more returns. No kids no need take care parents if you 2 spend much lesser and invest the rest, you can reach financial independence really fast. Wait, you only have life insurance? No hospitalization or critical illness?