Bursting the Bubble Tulips were the first, but they won’t be the last. What forms a “bubble” and what causes them to burst? Related Content Your Shifting Risk Tolerance Time and market performance may subtly and slowly imbalance your portfolio. The Investment Risk No One’s Ever Heard Of You face a risk for which the market does not compensate you, that can not be easily reduced through diversification. When Markets React When markets shift, experienced investors stick to their strategy.