The appeal of Spanish public debt’s profitability is diminishing as it experienced a decline from 3.876% to 3.314%. This drop is due to the anticipated change in the European Central Bank’s monetary policy, which is expected to result in interest rate cuts. Consequently, experts predict that this downturn will continue and affect various financial instruments including Treasury Bills and deposits.

Despite the decline in profitability, bank deposits offer a more attractive alternative for investors seeking stability and returns amidst market volatility and uncertainty. Short-term deposits, such as those offered by BluOr Bank and Latvian bank, provide high annual percentage rates (APRs), ranging from 3.90% to 4%. These offers are particularly appealing for those who prefer short investment periods and lower investment amounts.

For investors looking for longer-term options, there are also highly profitable alternatives. The Haitong one-year deposit, for instance, offers an APR of 3.95% for deposits between 10,000 and 100,000 euros, while the System Banking Deposit provides a 3.85% APR for investments of at least 20,000 euros. Both options are protected by the respective country’s guarantee funds.

If liquidity is a priority, the Trade Republic account offers a flexible savings account with a 4% interest rate for up to 50,000 euros. The EVO Banco Smart Account is another option for account holders as it offers a 2.85% APR for balances up to 30,000 euros without any specific requirements. Meanwhile, Banco Sabadell offers new customers an online account with an initial return of 6% TIN during the first three months and 2% TIN indefinitely, along with other benefits such as bill reimbursements.