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Fiction: Investing in alternative energy is the wave of the future and something I should do with a large portion of my investment dollars.
Fact: With the rapidly rising prices in crude oil, the alternative energy sector has been growing very well. While we are making baby steps toward becoming more energy efficient and independent, however, drastic change is not imminent.
Moreover, allocating a large chunk of your investment dollars to this trend, or any wave of the future, has potential downfalls. Alternative energy investments may make sense for you as part of a well-diversified portfolio, but they should not necessarily be the target of additional investment.
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