It’s tempting to invest in markets that are taking off, but the wisest investors find opportunities that have bottomed out or are just getting started. The fastest way to lose your money is to buy when your target is at its high point.
DailyFinance warns you to be wary of investing in the following flavors of the week:
*Gold — While it’s nearly quintupled in price over the last 12 years, gold has no intrinsic value and can slide into oblivion as quickly as it rises.
*Chinese real estate — The market is still rising, with gains of 9.1 percent this year, but since amateur speculators are getting in on the action, it’s only a matter of time until the bottom falls out.
*Alternative energy — Green stuff is trendy and popular, but the technology and feasibility of its applications leave a lot to be desired.
Click the source link for seven other potential money sinks. Which bubble do you think will be the next to pop?
10 Market Bubbles That Could Soon Burst [DailyFinance]