Arsenal manager Arsene Wenger has warned that Real Madrid’s free spending in the transfer market may backfire.

After splashing out nearly £150 million on Cristiano Ronaldo and Kaka, Real Madrid have spent a reported €15 million to sign Raul Albiol from Valencia and continue being linked to several other players, including Xabi Alonso, Alvaro Arbeloa and Karim Benzema, who is a possible target for Arsenal as well.

Wenger explained why he turned down the offer to manage Real, and spoke out against their transfer policy.

"Real Madrid lean towards football-spectacle, but there is another dimension: the success of building a team with a style, know-how, a club's own game culture, of youngsters," he told Dauphine Libere.

"Signing more than three players is to take a technical risk. They enter an area of incertitude. It takes time for a squad to learn to play together," the French tactician said, suggesting that Real's policy may well backfire.

"But if it works, they will make a lot of damage. It will be difficult to create a team out of individuals for them."

Wenger also added that he was hopeful about Arsenal's chances for the future, and promised his project would reap results.

"I enjoy watching my team play the football that I love. That is what I have chosen. I am in a project of a construction of a young team. I want to stay until the end and I am certain we can do well."