Troubling aspects of the market have persuaded one of Wall Street's most outspoken money managers to go defensive.
BMO Private Bank chief investment officer Jack Ablin is now refraining from taking risks in this volatile environment. He said this as stocks completed a four-week win streak last week, pulling the Dow Jones Industrial Average back above 17,000.
"I think we have come pretty far pretty quickly — especially since the underpinnings of value and fundamentals haven't really changed that much," Ablin said recently on CNBC's "Futures Now."
Ablin, who manages about $68 billion in assets for individuals and families, said two things "disturb" him right now: The 200-day moving average trending lower, and credit conditions remaining tight.
"We're not seeing much easing going on in credit spreads," he said, referring to the difference between the yields on riskier debt and on safer fixed income products.
"While overall yields that corporations pay may be at or just slightly higher than they were say six months ago, spreads... remain pretty aggressive, suggesting risk aversion," he added.