What’s the next bubble?

What’s the next bubble? –@Unpacktherat

This might be the wrong question. I don’t think there will be any next bubbles. Bubbles imply that an asset class goes up today simply because it went up yesterday (so more and more people flock into it for no reason).

But, the next asset classes to experience enormous returns: biotech and energy.

Biotech because we have 70 million baby boomers retiring. And they are all going to get sick and die horrible deaths. All of them. So whatever we can do to alleviate their pain and extend their lives we will do. There will be pressure on the FDA to relax their standards so drugs can get out the door. And more and more smallcapbiotechs will find a new lease on life as their drugs are used to extend the lives of the retiring baby boomers.

Energy because it’s getting cheaper to drill for oil (in the US) using the technology called fracking, which gets oil that was previously hard and expensive to get. This will transform the US into a new Saudi Arabia and reduce our dependence on middle eastern oil.

Of course, I also think social media will do well: whatever the next Zynga, etc. might be .