Where should you invest €100?

CategoryInvestment or businessAnnual returnMain riskAccess to your money
U.S. government bonds3-month Treasury bill3.9%No default risk in dollars. Inflation can reduce its real valueAfter 3 months
10-year Treasury bond4.7%No default risk in dollars. You can lose if you sell earlyAfter 10 years, or sell earlier
30-year Treasury bond5.2%No default risk in dollars. Inflation and selling early are the main risksAfter 30 years, or sell earlier
Company and country bondsHigh-quality company bonds5.2%The company could fail to repayEasy
Alphabet/Google bonds4.8%Low risk, but Google could theoretically fail to repayFairly easy
High-yield company bonds7.0%Higher probability that companies fail to repayEasy through funds
Emerging-country dollar bonds6.4%The country could default or restructure its debtEasy through funds
Riskier emerging-country bonds7.3%High default and political riskEasy through funds
Emerging-country local-currency bonds7.2%The local currency could lose valueEasy through funds
Stock marketsS&P 50010.0% historicallyCan temporarily fall by 40–50% or moreVery easy
Small U.S. companies12.0% historicallyMore volatile; worst calendar year: −46.1%Very easy through funds
PropertyListed real estate—REITs9.7% historicallyCan fall by 40–60% during severe crisesVery easy
Private real estate7.7% historicallyProperty prices can fall, and debt can increase lossesDifficult
Real-estate development business7.0%Money can remain blocked for years; construction and selling risksVery difficult
Other investmentsPrivate credit7–11%Borrowers could fail to repayUsually blocked
Private equity12.3% historicallyCompanies can fail completelyBlocked for 7–12 years
Venture capital12–13% historicallyMany startups fail completelyBlocked for 10+ years
Private infrastructure11.8% historicallyProject, debt, demand and government-policy risksVery difficult
Gold5.6% historicallyProduces no income and can fall significantlyVery easy
Bitcoin/cryptoNo reliable annual returnExtreme losses and complete loss are possibleEasy but extremely volatile
Hedge fundsDepends on the strategyManager failure, borrowing and hidden risksOften restricted
Start your own businessSoftware50.2%Very high startup failure riskVery difficult
Advertising agency37.3%Depends heavily on clients and employeesVery difficult
IT services36.4%Depends heavily on skilled employeesVery difficult
Consulting/business services31.1%Can become a job rather than a real investmentVery difficult
Machinery manufacturing27.3%Requires factories, inventory and working capitalVery difficult
Engineering/construction25.5%Project delays, cost overruns and payment risksVery difficult
General retail—Walmart type20.6%High competition, inventory and operating risksVery difficult
Restaurants18.9%High failure, rent and location risksVery difficult
Education/training18.9%Less attractive if every sale requires your timeVery difficult
Data centers18.7% recentlyExtremely expensive to build; recent AI demand may not continueVery difficult
Agriculture7.8%Weather, commodity prices and low profitabilityVery difficult
Grocery retail—Carrefour type7.0%Very small profits and intense competitionVery difficult
Car manufacturing2.6%Requires enormous investment for a low average returnVery difficult

*Bond figures are current yields. Stock-market and alternative-investment figures are historical returns. Business figures represent average returns from established listed companies, not guaranteed returns for a new business.*