HYSA
BondBloxx USD High Yield Bond Sector Rotation ETF
stock NYSE ETF

Two different purposes for me:
SIPP - sweep old workplace pensions
S&S ISA - £20k/annum
Premium Bond / HYSA - overflow

An emergency fund is basically a cash reserve kept outside the market for unexpected expenses or short-term needs.
A HYSA can be a common place to keep it, because the money usually stays liquid, separate from investments, and can earn some interest. But the main point is not “HYSA specifically.” The main point is that the money should be stable, accessible, and not exposed to market risk.
So yes, it is closer to cash than investing. The purpose is not return. The purpose is avoiding forced selling when life happens.

Good start with the HYSA. On YouTube, look up “Bogleheads investing basics,” “index funds explained,” and channels like Ben Felix or The Plain Bagel for no-hype fundamentals. Theres also tools out there like tryLattice that can guide you with analysis and in-depth research. Goodluck OP!

HYSA. Stocks and even ETFs are too volatile when dealing with a timeline of a year or less. The average might be a 7% return, but that makes harshness of any given year and years can be negative, an average is an average.
If you know you need the money Roth in the next 2 years, put it in a HYSA or something similar.

I'd check the HYSA rate. You could set one up today and later on the rates could change without you ever knowing. The thing is, rates change and the top accounts can pay a full point more than average ones.
If you're parking sinking fund money, might as well let it earn some passive income while the money is untouched.
If you want to shop around for these HYSAs, we run an aggregator website that tracks current HYSA and CD rates. Should make it easier for you to spot the HYSA trends, but you should also do your own research as well.

I would 100% put it in a HYSA or SGOV or TIPS or something to earn some interest and wait for the crash at this point. Might be another year or two. Could be tomorrow. It's nice having a ton of cash to deploy when the entire market is red and everyone is complaining. Shoot, Buffet is sitting on $400B in cash.

Take the 10% and figure out the annual total that is. Multiply that by 5 and keep it in bonds or HYSA. Rest in equities.

For now. interest rates at banks cna be changed on a whim. treasuries can be locked in for known period s of time. HYSA should only be used for very short term holdings while money is being moved to other investments. CDs or treasuries at a minimum to lock in rates ofr what desired period.

Recently getting into investing and just wanting a simple portfolio to hold majority of my savings (I have an emergency fund in a HYSA)
Everyone talks about VTI and VOO but using schwab, I went with SCHB. I did 80% into SCHB and 20% of it into VXUS. These are both in my roth and brokerage account. Is this a good beginner set up? Just wanting to keep putting money in weekly and letting it grow over the years.
Thanks!

Read this sub's [FAQ writeups](https://reddit.com/r/phinvest/w/faq?utm_medium=android_app&utm_source=share). You'll learn a lot by just reading those.
The sequence is usually:
1. Pay off all debts. Ignore if you don't have this.
2. Build your emergency fund (EF), which is usually 3-6 months of your expenses or income. Decide on your target EF amount. Consider saving some of your EF in high yield savings accounts (HYSA) offered by digital banks. Go over to r/DigitalbanksPh to learn more. *Never use EF unless it's an emergency.* That means, you also don't invest EF - it stays in the bank or in cash.
3. Make sure you are covered with HMO, either through your employment or a personal plan. Health insurance is optional for added safety net. *Don't ever get a VUL.* Go for term insurance if you need life insurance (if you have dependents/may magugutom pag nawala ka). Search r/phinvest for HMO/insurance recos.
4. Save and invest. *Never invest in anything you don't fully understand.*
The above steps are done one after another, so build EF first before getting HMO/insurance and so on. #2 and #3 are your safety nets.
When you get to #4, define your short- and long-term financial goals, their time horizon, and assess your risk appetite. Along the way you should be reading about diff investments available to you (available in FAQs and numerous threads in this sub). Then you decide which ones suit your goals best.
If you really don't know what to do, consider Pagibig MP2 as your first investment bec it's easy to understand, tax-free, and capital is guaranteed by the govt. You can read more about it on this sub's FAQ.
Index funds, ETFs, IBKR/Gotrade, S&P500, etc. are more advanced topics. Like I said above, don't invest in anything you don't understand. You have to learn it by yourself (it's called personal finance for a reason). If you want to learn about them in advance (while finishing up to #3), use the search feature on this sub liberally. There are lots of posts/comments to learn from.
Lastly, it's very important to not subscribe to the get-rich-quick mindset. One bad financial decision can set you back years of hard work/savings. Slowly but surely is the key to building wealth.

Both accounts are fine. You'll get a better rate at Sofi with a direct deposit. SoFi also has a bunch of other offerings in their ecosystem. Get a referral code/url from someone if you go with SoFi. That'll give you a little bonus. If you do SoFi be ready to get emails and ads from them regularly trying to get you into more of their products.
You say you have a good bit of money saved. You may want to check out the current Cap1 bonuses. I think the current APY is 3.1%. Not amazing, but better than BofA.
Outside of the bonuses and gee whiz features I would choose a different HYSA. You can get 4.4% at PiBank, 4.25% at OnPath if you have 25K to park in their MM account, OpenBank offers 4%. I use all of the accounts. Even Marcus Bank offers a better APY (3.5) at the moment. You can get a .25% boost if you use someone's referral URL too.

The big banks give virtually no interest on savings accounts. CD rates are not much better than a HYSA. Bonds are paying out the same as CDs. Over the last 15 years you would get a better return by keeping your money in an index ETF than you would with anything else.
Additionally many employers offer 401ks which juice the market up positively every month.
Unless 401ks get wiped out and we return to a time when savings offered decent returns, there is no incentive to do anything else with your money than invest in stocks, especially when zero commission trades are now available.

Bathtub principle. Lumpy money flows into the bathtub, from the dividend spigot, money leaves smoothly via the plughole. Use an MMF or HYSA and put 1-3 years of dividends into it, withdraw a fixed amount each month and periodically readjust for the increases in income (e.g. your birthday).

Investing in companies based on when they pay is a pretty dumb idea, especially when you realize that a) that doesn't actually do much to smooth out the income because it varies from company to company and b) those payouts move a little. e.g. a couple of years ago SCHD's Q2 payment slipped into July.

An HYSA would have made you more money ER that period of time😂

I have a 7 figure portfolio and I think not having an EF is naive.
Margin loans? Yeah, in a prolonged down market the money backing that margin loan will continue shrinking. You're going to have a real bad time if you get a margin call when you're trying to live off of margin loans. Not to mention when everyone wants to take out margin loans, rates are going to skyrocket.
Credit cards? Kinda need to have a wage to pay them off.
Personally, I started investing before the dot com bust. So my context is a bad market being a 50-60 drop over the course of years. Not blips that bounce back in a few months. Mass waves of unemployment. It is a situation I've lived through.
Personally I maintain 2 emergency funds. One which represents one month of bills in a HYSA. Then another "deep emergency fund" which is 6 months worth of bills in SGOV.
I just had our furnace break ($2k), a car problem ($2.5k), and refrigerator break ($500) in the span of 2 weeks. Being able to pay cash for all of it without touching my investments? I don't regret that in the slightest.

Emergency fund in what sense is it like a HYSA? If you can please explain 🙏

Two important concepts:

1) Imagine that there was a fixed amount of cash in the world. What would happen to the price of most things? Almost everything would go down over time (except apparently education and medical costs). We get more and more efficient and making and growing things. Yet, prices on most things will gradually drift upward at like 2-4% a year because cash keeps getting added to the system. So much cash, that it overwhelms deflation and causes inflation instead. If you are sitting in cash or similar, you are betting a lot that the future will be way different than the past.

2) Even if if you are terrible at market timing, you still get better returns than cash. Imagine you invested at the absolute peak of the market before the 2007 crash. The S&P was at around 1565 at it's peak before a huge crash. Still, buying at the peak before that crash is way better than sitting in cash/HYSA that whole time. Go look at what the S&P 500 is at now.

Most see dividends as like "Interest" that a bond or like a HYSA pays out or they confuse dividend with returns
Like they think if a stock pays out an 8% dividend that equals to an 8% returns, the actual return may be higher or lower.
I guess the somewhat valid answer is a dividend can be a sign of a stable and mature company and it requires the management to keep some fiscal restraint as the goal is to keep a steady dividend or increase the dividend means management is unlikely to do really dumb things like risky expansion .
However most dividend aristocrats or index funds only pay slightly higher dividends then broad market funds like VOO
Because like in the case of MSFT , the stock price usually rises much faster than the dividend so even after growing dividends for 20 years the yield is only like .8%

Ok.. I take it back a little bit. Consider someone who takes their paycheck money and saves up in a HYSA until they have, e.g., $10,000. Then they lump sum invest. Given that option investing with every paycheck starts to look more like DCA again, no?

At the very least stick it in a HYSA while you learn