WSJ: The Coming Utility Surge ...

Old_Skeet

Hello,

The article linked below covers why utilities are a good investment. The article list mutual funds, etfs and utility stocks that are felt to be note worthy, one being Franklin's utility fund which carries Moringstar's Gold rating.

http://online.wsj.com/article/SB10001424052702303863404577283650908288014.html#printMode

In addition, the below link will take you to Moringstar's List of utility funds. You can sort the list as you like and if you wish to view the fund report on any of the funds just click on its name, ticker.

http://news.morningstar.com/fund-category-returns/utilities/$FOCA$SU.aspx

For informational purposes utilities comprise about 15% of my equity holdings because of their defensive charcter.

Have a good weekend ... and, "Good Investing."

Skeeter

Ted

Dear Skeeter: Nice link. The time to have bought individual utilities was in March of 09. Since then many of them have doubled and in the case of NiSource (NI) which I purchased on March 6, 2009 at $8.17 and is now trading $23.00. Plus a 11.2% dividend
Regards,
Ted

Mark

Ted - that was a great time to be holding enough cash for all sorts of bargains.

Ted

Dear Mark: So true !
Regards,
Ted

Old_Skeet

Hi Ted,

Back in 1974 I purchased my first shares of stock. It was in a utility company known back then as Duke Power Co and the shares were purchased at $10.00 a share. My average cost today in the position is about $2.50 as it has split several times since then. With this, the yield on amount invested per share is 40% as it pays a $1.00 per share dividned today.

Not a bad bang for the buck! And, this is one reason I favor good dividend paying stocks over bonds.

Good Investing,
Skeeter

Ted

Dear Skeeter: As Peter Lynch would say, "Duke was a ten banger" for you. In addition to good paying dividend stocks, I invest in preferred stocks and bonds for a steady stream of income in my capital preservation portfolio.
Regards,
Ted