Raider's Guide to Riches! Is Your Treasure Buried in Cash?

Fortune and Glory Kid! (Or Just Avoiding the Stock Market Rollercoaster)

Right then darlings! The markets are behaving like a mummy who's had their sarcophagus disturbed – unpredictable and a bit terrifying aren't they? Seems everyone's running for 'safe' cash like it's the Holy Grail. Now I appreciate a good pile of gold as much as the next tomb raider but stuffing all your doubloons under the mattress might not be the smartest move. After all as my dear Winston would say 'A little risk can yield great reward Miss Croft.'

The Lure of Liquidity: Is Cash King (Tut)?

Of course cash has its charm. Need to bail yourself out of a Peruvian prison? Cash is your friend. Fancy a new pair of climbing boots after a particularly nasty encounter with some Himalayan yetis? Cash is essential. As Carolyn McClanahan wisely says 'Everyone should have some cash and some equities.' It's about balance darling like a perfectly weighted grappling hook.

Inflation: The Real Tomb Raider

But here's the rub: inflation. It's like a relentless booby trap slowly draining your wealth while you aren't looking. Stash all your gold in a vault and a few years later it won't buy you as much gear. Stocks while riskier than navigating a crocodile infested swamp offer the potential for growth that can outpace inflation. Remember 'The greater the risk the greater the reward,' or so I keep telling myself when dangling precariously over a bottomless pit.

The Croft Guide to Investment: Know Thyself (and Thy Risks)

So how do you strike the right balance? Well if you're still in your 'collecting artifacts' phase – working and saving – keep enough cash for emergencies and near future splurges. The rest? Invest it keeping in mind your timeline and how much market mayhem you can stomach. As McClanahan said base your strategy on your "financial and psychological ability to take risk." Don't be like that chap Roth in Coastal Remains from Tomb Raider Underworld consumed by greed blinded by riches.

Retirement Raiders: Planning Your Escape Route

Nearing retirement? Time to play it a bit safer. Stash enough cash and stable investments to cover five years of expenses then diversify the rest. Even retirees need some exposure to stocks lest they run out of funds before they run out of adventures. Think of it as ensuring your supplies last for a particularly long expedition.

Stick to the Plan: Even When the Walls are Closing In

The most important thing? Have a plan and stick to it through thick and thin. Develop "an investment strategy that spells out how much they will have allocated to equities fixed income [bonds] and cash and they should stick with this investment policy through all markets good and bad," McClanahan wrote. Market's down? Don't panic and sell everything. Market's soaring? Don't get greedy and bet the farm on a single stock. Stay the course and remember 'It's not the years in your life but the life in your years.' So go out there take some calculated risks and live a little… responsibly of course!