"For more than 180 years, Consolidated Edison (NYSE: ED) has served the world's most dynamic and demanding marketplace: metropolitan New York," notes Dennis Slothower in his Stealth Stocks newsletter. Here, he explains why ConEd is his "stock of the month."

"Con Edison, our latest 'stockj of the month' provides electric service to about 3.2 million customers and gas service to approximately 1.1 million customers in New York City and Westchester County.

"It also provides electric service to 300,000 customers in southeastern New York and adjacent areas of northern New Jersey and eastern Pennsylvania.

"Con Edison's competitive energy businesses participate in segments of the electricity industry that are less comprehensively regulated than our regulated businesses.

"These segments include the operation of electric generation facilities, trading of electricity and fuel, sales of electricity to wholesale and retail customers, and sales of certain energy-related goods and services.

"I can't tell you how tough it is to find and recommend a company based on my strict selection criteria. I have never seen so many stocks in my universe in steep down trends. While there are some good companies paying high dividends, their stocks are in a free fall.

"Con Edison is a strong utility company that I feel confident will continue to pay a nice fat dividend. The 10-year U.S. Treasury bond is yielding about 4%, while Con Ed's dividend is yielding 5.3%. We get a good combination in Con Ed: a high yield and possible increase in the stock price."

Steven Halpern's TheStockAdvisors.com offers a daily look at the latest market commentary and favorite stock picks and investment ideas from the nation's leading financial newsletter advisors.

MAJOR PAPERS:

• The books of Fannie Mae -- Federal National Mortgage Association (NYSE: FNM) -- and Freddie Mac -- Federal Home Loan Mortgage Corporation (NYSE: FRE) -- are being examined by the Federal Reserve and the Office of the Comptroller of the Currency to review their financial condition, according to the Wall Street Journal.
• The Wall Street Journal also reported that the Chevy Volt, an electric car from General Motors Corporation (NYSE: GM), is slated to roll out in two years and it received a major boost from 36 utilities that operate in 40 states who agreed to work together to make the plug-in vehicle possible. Among the utilities are American Electric Power Company Inc (NYSE: AEP), Consolidated Edison Inc (NYSE: ED), Duke Energy Corporation (NYSE: DUK), and Edison International (NYSE: EIX).
• Struggling mortgage lender Paragon is reportedly in talks with The Blackstone Group LP (NYSE: BX) about a potential takeover by Blackstone, the Financial Times reported.

OTHER PAPERS:

• The New York Times reported that TiVo Inc (NASDAQ: TIVO) will today introduce a "product purchase" feature in partnership with Amazon.com Inc (NASDAQ: AMZN). Under TiVo's plan, the television remote control will be turned into a tool for buying products that are advertised and promoted on talk shows and commercials.

In typical times, investors with years to invest look for innovative, dynamic companies in growth sectors. It is the lifeblood of a healthy, growing equity market.

But as most investors/readers know, these are not typical times. And under these conditions, sometimes tried-and-true safety of capital, plus a modest return, is more than enough. Consolidated Edison (NYSE: ED) is a prudent play with the above in mind.

Utility Consolidated Edison, or "Con Ed," is the holding company for the primarily electric utility that serves the five boroughs of New York City, most of Westchester County, N.Y, other parts of New York state, Pennsylvania and New Jersey.

Residential and commercial electric utility customers represent the company's main revenue stream, comprising 63% of revenue in 2006. Natural gas customers accounted for 16%, non-utility revenue 14% and steam 5%. In short, Con Ed is a classic regulated utility play, and its results reflect that:strong, steady cash flow, low customer turnover, conservative technology implementation cycle, and a solid dividend.