Time horizon — matching money to goals

When you need the money matters as much as what you invest in.

A timeline changes the risk

Your time horizon is how long until you expect to need money. Money needed soon has less time to recover from a market drop than money for a distant goal.

Near-term money needs stability

Rent, emergencies, and a purchase planned soon generally should not depend on a volatile market recovering on schedule. Cash-like savings may fit those needs better.

Longer does not mean unlimited risk

A longer horizon can allow more time for ups and downs, but it still needs a plan you can actually hold through. Your comfort and goals remain important.

Continue with Long-Term Investing lessons.

For education only. Quoliv uses fake money and does not provide personal financial advice.