<prompt> Human: Peoples opinions that I have read on reddit vary on the amount needed in an emergency fund. From what Ive heard people generally say 3-6 months expenses. I want to contradict that notion, please hear me out. This only applies to people who have some money invested, please see why below.I think 1-2 months expenses is all you really need. Having extra money siting in your account means that you will are experiencing an opportunity cost of what could be made investing those funds. Ah! but maybe you lose your job, experience some other sort of financial woes ect... What do you do? this is where I feel I will be unpopular.First months expenses could be placed on a credit card. In the mean time liquid assets could be sold. The credit card then paid off before ridiculous interest fees occur. I have only been trading stocks for roughly two years, in this time I have never had trouble selling. I am diversified and hold 20 different for a total of 40k and 10k in a risk adverse mutual fund.I think having this 3-6 months expenses is unnecessary when you can sell investments when times are tough. What do you think? Am I way wrong? Of course the investments need to be diverse, holdings in different industries and different markets to avoid selling at a large loss. I just do not see how the 6 months expenses is necessary considering the TVM of six months expenses or many years when other options exist.  <response>: I have only been trading stocks for roughly two years, in this time I have never had trouble selling. It seems kind of naive to think that your 2 years of experience in a relatively stable timeframe trumps the decades of experience other people have during the 1980s and 2000s.An emergency fund is insurance. It is not an investment. It is meant to keep your kids fed when the market tanks 50 in a day and you lose your job for the next 6 months because of it.Youre also not guaranteed to keep your credit cards. Your bank could cancel it tomorrow for no reason if they see fit. Like if you just lost your job and the market went to shit. 