About 20% of my income comes in at the beginning of each year from being a business owner. For the past few years, I've been keeping reserves needed to hold me over to the next year in a money market account.
However, I've been thinking that given that the this income is relatively predictable, I'd probably be better off putting it in a taxable investment account and including the allocations as the rest of my long-term portfolio. My thinking is that I can take long-term risks because even though the balance fluctuates between 100% at the beginning of the year and close to zero by the end of the year, it does so every year.
If I do treat this as part of my regular long-term, well-diversified investment portfolio's asset allocation, what investments make the most sense to keep in this account, knowing that most of the funds will be liquidated over the course of each year? Remember that my risk tolerance is high and long-term, so that shouldn't be a factor.