Based on your financial expertise, provide your response or viewpoint on the given financial question or topic. The response format is open.

Understanding the phrase “afford to lose” better
It's a phrase that has no meaning out of context.  When I go to Las Vegas (I don't go, but if I did) I would treat what I took as money I plan to lose.  When I trade stock options and buy puts or calls, I view it as a calculated risk, with a far greater than zero chance of having the trade show zero in time.  A single company has a chance of going bankrupt. A mix of stocks has risk, the S&P was at less than half its high in the 2008 crash. The money I had in the S&P was not money I could afford to lose, but I could afford to wait it out. There's a difference. We're not back at the highs, but we're close.  By the way, there are many people who would not sleep knowing that their statement shows a 50% loss from a prior high point. Those people should be in a mix more suited to their risk tolerance.