Caramel Coconut Frosting

1 cup (8ounces) evaporated milk
1 cup granulated sugar
3 egg yolks
1/2 cup butter
2 teaspoons good vanilla extract
1 1/3 cups grated coconut
1 cup finely chopped pecans

Combine all ingredients except the coconut and pecans in a heavy saucepot over medium heat. Cook, stirring constantly, until mixture thickens. Remove from heat, stir in coconut and pecans. Allow to cool off thoroughly, then beat with a wooden spoon until desired spreading consistency. If mixture is too thick, add a few drops of milk at a time, beating to desired consistency.