Compare different types of investments by filling in the missing information in the chart below: Investment Risk Stocks High Bonds Mutual Funds Less than stocks, more than mutual funds Rental Real High. Estate Collectibles Low Return eamings Avg. 10-12% long term Depends on market Could be high if you acquire How it Works A small piece of ownership in a company; as the value of the company goes up, it pays dividends (profit) to investors. A piece of property you own that another person lives in and pays you the rent Advantage Easy to track since the investment is in one company. U.S. Treasury Bonds are seen as patriotic: better rates than CDs Many people enjoy Disadvantage Long-term investment; need to leave the money alone for a minimum of five years