Latest Issue

DIY investor: Weighed down by cash

"We can shuffle portfolios of shares, bonds and funds in a second, but managing cash, the essential fuel of every investment idea, remains cumbersome"

By Andy Davis   February 2017

Last summer, Paul Lewis of the BBC’s Moneybox programme wrote a provocative article arguing that since 1995, simply moving your cash each January into the best-buy deposit account would have mostly produced a better performance than investing it in a FTSE 100 tracker fund. Whatever you think of this comparison, Lewis’s advocacy of “active cash”—managing bank deposits to generate the highest returns rather than leaving them where they are regardless of the interest rate—is worth following, particularly now that decent rates are so hard to find.

The problem is that it…

Register today to continue reading

You’ve hit your limit of three articles in the last 30 days. To get seven more, simply enter your email address below.

You’ll also receive our free e-book Prospect’s Top Thinkers 2020 and our newsletter with the best new writing on politics, economics, literature and the arts.

Prospect may process your personal information for our legitimate business purposes, to provide you with newsletters, subscription offers and other relevant information.

Click here to learn more about these purposes and how we use your data. You will be able to opt-out of further contact on the next page and in all our communications.

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.

We want to hear what you think about this article. Submit a letter to

More From Prospect