Pitfall 2: Low Battery In Times of Need

Imagine the battery in your torchlight is running low when you are trapped in a cave? How would you feel? I am sure you will be willing to trade anything you have to get hold of the light to get you out of the cave. In real life, keeping adequate emergency fund (battery) is very important to tie you through your crisis. Without the emergency fund, you are exposing yourself to unnecessary loss which you may suffer in the event that you need to force sell your investment to raise the fund needed. If the postions you hold is favorable, you are in good shape but if the they go against you, you are bound to suffer loss which you may not have to if you have adequate emergency fund.