Assignment 2: Investment appraisal - Real Estate vs Stocks and Shares Mr L says: invest in real estate not stocks and shares, and not currency speculation unless George Sauros Mr L invested: 50K small house suburb of London 1979, now 650K. 200K flat in Kensington SW7 1988, now 1.75m 200K gracht Central Amsterdam 1993, now 650K (Assume mortgage interest equals rental/dividend) Show if and how Mr L better off with mixed share/real estate portfolio or 100% shares What sort of risk profile does Mr L have