<prompt> Human: I have always been taught to hold 4-6months of living expenses in case of emergency. Thats all well and good, but living in one of the most expensive places in the country Silicon Valley means that 4-6 months of living expenses is a non-trivial sum of cash 35k.I always held that cash in a savings account in a bank, since that way it was immediately accessible. Lately Ive been reading more about investing and it caused me to realize that given a 2.5 inflation rate and an interest rate of probably...0.1 or so, that money is wearing away.Ive held this money for 3 years and it has done nothing for me. I want to be smarter about it. Where should I put it?Options Ive considered:1 higher interest savings account.This will probably yield 1.5 or so, which is still lower than inflation. Not ideal.2 BettermentWealthfront robo-advisor with risk set to lowThis will yield possibly more than inflation and keep my money from slowly disappearing. But in bad times, it could also mean losing a bunch of money, or watching my emergency money disappear just when I need it most, or being forced to pull out money when it wouldnt be smart to.3 stacked CDsThis will yield an ok amount, be safe, and ensure I always have some money in case of emergencies. But it also means I wont be able to access it all at once, in case something goes terribly wrong.4 other ideas?What do you guys think? Whats your strategy here?Assistant: This subreddit will recommend a high-yield savings account. Thats what I use. Yeah, I know, lower than inflation, etc. but the point is that I can get to the money quickly, and I wont lose the principal if the market tanks.Your emergency fund is insurance, its not an investment. Youll earn some free coin keeping it in a 1.6 APY savings, and itll be there when you need it.With the Fed trying to get us back to a more traditional interest rate environment, those high-yield savings will become more appealing as time goes on. Assuming we dont hit another big recession...Human: Should I put it all in a high yield account? Or maybe half, and the other half in something like a CD or robo-advisor set to low risk?  <response>: Most or all of it into the high yield savings. You want it to be easily accessible at any given moment. 