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By examining your assets based on when you need access to them, you can build a more reliable framework for risk tolerance, as opposed to just classifying yourself as a “moderate” or “aggressive” investor. Even aggressive investors need to keep some money for short-term expenses, and even conservative investors want to generate returns. There is no one portfolio allocation for every investor or even for the major risk tolerances. There is an allocation out there that you can be comfortable with and understand so that you can see it through in good times and in bad ones. That’s the allocation you want to be building.