I talked about war chests and I talked about emergency funds before. Now, we might keep the latter in a chest as well but it should be designed differently from a war chest.
The chest we keep our emergency funds in should have double or triple locks compared to a war chest! Since we call it an "emergency fund", then, we must make sure that we only open the chest when there is an emergency.
In the meantime, the money will most probably lie fallow. Well, almost, anyway.
What? Remain in a savings account to make a miserable 0.1% in interest per annum? Why don't I invest it in a REIT and make 7% to 8% per annum? Sure, why not?
Before doing that, please redefine what is an "emergency fund". Maybe, it should be "a fund kept for times of need but it might not be there when needed"......