Rush to High Yield Equity

[bcwildthing]

I'm new here but have watched trends for awhile. Have you noticed all the increases in bank preferred stocks (e.g., Bank of Nova Scotia J) and income trust stocks recently? Despite the fact that they are mostly going to be converted to regular equities, these income trusts keep on rising.  Bond rates at the bottom of the barrel, high yield equities and secure equities on the rise, is there a trend towards safety here?

Question is, what can we do to cash in?  I noticed that some preferred have risen $3-5 for a $20 share...thus yields are down for these shares and you have the added problem of potential drops in their share price should the market stabilize.

There is risk in buying high yield trusts also as they will mostly convert and there is a potential loss in value from that conversion. Some trusts have promised to keep their converted share dividends as high as the trust payouts for some years.

Anyone else watching these trends trying to figure out where to benefit?