This week: I got complacent and it nearly cost me £500 → gilt yields hit 5.25% and what it means for you → 30,000 landlords head for the exit → the setup 122 investors agree on → the credit card worth switching to → Buffett's not-stupid rule at 96.
THE BIGGEST LESSON:
I have a confession to make... I've been complacent. Complacent with my finances.
For the last couple of years, I've kept my £15k emergency fund in a Cash ISA earning 0.75%, and paid £170 a year for my AMEX Gold card. But last week I asked myself a simple question: "Is this the best option for me right now?" The answer to both was no.
If I'm honest, two things prompted this: my Halifax account moved to Lloyds, and my AMEX was up for renewal. I used both as an excuse to actually do something about it.
I moved my Cash ISA to a Lloyds one paying 3%. That made me an immediate £337.50. I let the AMEX lapse and saved another £170. Total improvement to my net worth: £500, for about 30 minutes of effort. Not a bad hourly rate.
I'm not letting this slip again. In future issues, I'll share a framework for auditing your finances quarterly, so situations like this never happen again — for you or for me.
WHAT YOU NEED TO KNOW:
UK 10-year gilt yields rise to 5.25%
I'm not an economist, so when I read this I wasn't sure what it actually meant for me. I asked AI to break it down in plain English:
- Costs more: Mortgages get pricier — expect a jump if you're remortgaging or buying soon. Energy and inflation are creeping up too.
- Taxes may rise: Government borrowing gets more expensive, which increases the odds of tax rises later this year.
- But some upside: Savings accounts pay more, some government bonds look better for tax reasons, and a market dip can mean cheaper entry points for investors.
- What to do: Check when your mortgage deal ends, max out ISAs and pensions where you can, keep an emergency cash buffer, and stay invested rather than trying to time the market.
30,000 landlords sell up
Buy-to-let has been getting harder to make work as an investment for years. A few reasons why:
- Heavier taxes
- Higher mortgage and running costs
- New tenant laws that add risk and reduce flexibility
- More paperwork and mandatory upgrades
When I weigh up an investment, I look at potential return versus effort involved — and having known a few landlords, BTL doesn't clear that bar for me compared to the stock market.
That's not to say money can't be made: 88% of landlords still turn a profit, but many bought in more favourable conditions than today's.
The best setup for a new investor
I ran a few polls on X this week to see what the community thinks a new investor's setup should look like:
- If you had £10,000 to invest, where would you put it? S&S ISA - 83.2% · SIPP - 16.8%
- Best investment platform in the UK? Trading 212 - 68.7% · Hargreaves Lansdown - 17.2% · Other (Chip/Robinhood) - 9.7% · AJ Bell - 4.5%
- Best ETF for a brand new investor? $VWRP - 52% · $VOO - 23.7% · $VALL - 17.9% · Other - 6.4%
The consensus: open a Trading 212 account, start an S&S ISA, and look at $VWRP. Hard to argue with that as a default — but always do your own research.
SOMETHING YOU CAN COPY:
Since ditching my AMEX Gold, I’ve been hunting for the best UK credit cards. I asked my followers on X and got 122 replies. Here’s the top pick from the thread:
- Chase UK — the most-recommended everyday card. 2% cashback (capped at £20/month) on groceries, dining, fuel and transport, with no annual fee. Requires a Chase current account.
QUOTE OF NOTE:
Warren Buffett turned 96 this past Monday. In his honour, one of my favourite lesser-known lines of his:
"It is remarkable how much long-term advantage people like us have gotten by trying to be consistently not stupid, instead of trying to be very intelligent."
Next time you're facing a money decision, don't ask what the intelligent answer is. Ask what the not stupid answer is.
THE TAKEAWAY:
This week was about doing the things you've been putting off. We all have a few: an account earning nothing, a subscription you forgot to cancel, an investment account you keep meaning to open.
So here's your homework: What's the one money change you could make right now that would instantly be worth your time?
Reply and tell me what you're changing. See you next week.
