Which investment is best for someone who is likely to need cash soon?

The choice of a savings account as the best investment for someone who is likely to need cash soon is based on its liquidity and low risk. Savings accounts are specifically designed to provide easy access to cash, making them ideal for individuals who may need to withdraw funds at short notice. The funds in a savings account are readily available, and there are typically no penalties for withdrawal, which makes it a reliable option for immediate cash needs.

Additionally, although savings accounts usually offer lower returns compared to other investment types such as stocks or mutual funds, they provide a safe and stable way to hold funds without the risk of fluctuating market conditions. For someone needing access to their money within a short timeframe, the security and liquidity of a savings account are paramount, ensuring that the individual can cover any expenses without delay.