Those Juicy Utility Yields May Lead To A Nasty Shock

When falling interest rates give small investors sleepless nights, many seek the comfort and reassurance of Wall Street's security blanket: electric utilities. With their unmatched dividend yields, power companies are drawing investors like moths to a light bulb, and utility funds are gaining a new generation of fans. "It's been pretty unrelenting," says Jeffrey W. Ubben, manager of three utility-oriented portfolios at Fidelity mutual-fund group in Boston. "Every day, there's new money from people who wonder: `Where can I get above-money-market returns with growth?' "

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