The Globe and Mail reports in its Tuesday, Sept. 27, edition that BCV Asset analyst Tony Demarin says, "Utilities can be a good source of dividend income." The Globe's Joel Schlesinger writes that Mr. Demarin, however, says utility stocks can be hurt by rising interest rates. Mr. Demarin says larger firms such as Fortis, Emera and Canadian Utilities "are well managed, diversified companies with long track records of dividend growth and share price appreciation." However, as the long run of falling interest rates continues, INK Research analyst Ted Dixon says the risk builds. He says: "We're in the early innings. There is still time for people to slowly position their portfolio for the risk of rising rates." Still, rising rates themselves may not be enough to negatively affect the industry, says Conrad's Utility Investor editor Roger Conrad. During the last tightening period in the U.S., "the Fed rate went from 1 per cent to 5.25 per cent, but utilities averaged a return of about 60 per cent, about four times what the S&P 500 did." Mr. Conrad recommends investors scale back their positions and return to the market when prices are more reasonable, just as his advisory firm has done.