Organize your investments by time horizon: cash for short-term needs, medium-term positions in the middle, and angel investing as your long-term bucket. This framework lets you add private company bets without disrupting your other strategies or liquidity.
Chapters
Anytime you you're creating kind of an investment strategy there's always an approach to it and diversification is oftentimes key to that approach. And when you're diversifying, particularly trying to manage your short term, medium term and long term investment objectives and you pick different investments that fit within those kind of slots, short term you may do a little bit of cash or some high interest or high yield savings accounts, things of that nature. So those are your short term positions that you can easily access if you need to. Then you may have your medium term position, then you have your long term positions. And so angel investing would be considered a long term position. All right. And so you can just kind of slide your angel investments right within your portfolio in the long term position slots. Right. And so you can still do all these other things that you still do in traditional investments and just fit angel investment in there and the long term position slot.