It's one thing to buy a piece of land, sit on it and do nothing and then sell it later at a "profit"; It is a different story to buy the plot, put some development and sell it at a profit. The first case is going round in circles; It is old-school thinking The second is doing real work; it's what Trump does. It is also what the new Real-Estate barons are doing. The only problem with Real estate is that it needs a huge capital investment up-front. Share on the other hand can be accumulated in small chunks over time - you can even invest less than 5k at a time.

In my view, 60-40 in favor for real estate would do for me. It is true that stocks are good and are pretty liquid, but real estate is more predictable and more certain than shares..... tell an Uchumi shareholder to put all the money in shares - well, i know you will say there is hope in diversification but it does highlights the magnitude of something going bad.... Shares ride alot on market confidence, which is very volatile and sensitive and you have no control over. With real estate, it has the advantage of leverage too as someone has said. I would say, buy property when you are young - you may not afford them when you grow old. Invest in shares when you are mid years and develop your properties.... In old age, play with shares full time because that you can do anywhere in the world as you play golf!

Hmmmmm....Ask all the baby boomers who had allocated 100% of their assets in stocks over the last two years, this can be risky and push your retirement a couple of years! Diversification (bonds/property)to less volatile assets will ensure your nest egg is not tanked in an over correction of the market. You won't have enough time to recover (Not YOU personally, just older wanainchi in general).

Real estate ofcourse 50% real estate, shares 30%, 10%bonds 10 cash

deal, going by your formula, shouldn't you be putting 75% into stocks? (assuming you are no more than 25 years)