The 2011 Forbes List (Tips another Bubble?)

Just read a report and went through the new Forbes top richest people's list and well, it shows an unexpected or even shocking increase in global wealth accumulation. I dont want to go into the detail of the list, here is a link for your thorough investigations of the complete list Forbes 2011 Wealthiest.

What I wanna do is discuss why I see signs of another bubble forming and how people should be careful not to fall into another unanticipated financial melt-down.

First-off I wanna start by saying that I am not an economist in anyway, I have no economic authority to issue any harsh warnings, rather, I have experience. A decade of closely monitoring patterns from stock rises to rich lists and so on.

Here is a bit of superstition....

In 2007 prior to the economic downturn, number of billionaire in China around doubled, same with this years list. Also prior to the burst Russia had the most number of billionaires. Russia has also claimed the most billionaire in 2011.

We also have a record number both in terms of billionaires and also their combined wealth. But I can't come up with a theory based on superstition.. I need genuine logical proof. Here we go

The Bubble..

The cause of the last financial crisis was the housing bubble, the one before it was caused by the Internet bubble. So, what bubble do I see for ming now?

I think the bubble may not have formed yet, but its gathering momentum and getting ready to form, blow up and burst in the future.

Why do I see a bubble now?..

We are still in the road to recovery while we are see bloated valuations for companies, assets and net-worths. The truth is the Global economy hasn't fully covered, may be not even halfway but we are seeing record wealth and net-worths. By the time the economy fully recovers, we'll completely be in a bubble.

Internet assets..

Internet companies are being valued much higher than media companies, while the Internet companies can't earn half in revenue of what media companies earn given the same content.

Due to this, many TV shows are skeptic of forgoing Network dollars of streaming chicken change.

Africa..

There isn't a bubble forming here, Africa is actually undervalued and has lots of potential in the coming future. As economies improve and new development comes to Africa, we will see similar growth rates to what we have seen in India and China in the past decade.