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Don’t Focus on Volatility: Strategist

Short-term swings in the stock market don't alter fundamental factors, UBS Chief Investment Strategist Mike Ryan said Thursday.

On CNBC's "Fast Money," he urged patience for investors, who should "not get too caught up in volatility" following wild swings in the Japanese yen and fluctuations in the stock market.

"Now, in our view, we don't think this fundamentally alters either the trajectory of the Fed, nor do we think this changes the underlying growth dynamics for the U.S., so we're still constructive, and we're still overweight," he added.

Ryan, who has a 1,730 year-end target for the S&P 500, added that market conditions required a shift in strategy.

"This notion of purely risk-on, risk-off has to give way to something where we're going to focus on the economic fundamentals and which sectors of the market that's going to drive, not the market overall," he said.

Ryan rejected the idea that the market was addicted to quantitative easing like a drug.

(Read More: A Wait-and-See Approach for Stocks: Joe Terranova)

"I liken it differently," he said. "Think of about us having to now transition from being on antibiotics. We've had the medicine. We've now started to see some improvement. And now, just like with an antibiotic, you eventually have to taper the dosage when you're well enough to stand on your own."

Ryan's top sectors were technology, industrials, consumer discretionary and financials.

Sectors to avoid were utilities, health care and telecom.

Ryan also warned of additional bumps in the long-term bullish market.

"It's not going to be a smooth, easy ride," he said. "When you get inflection points around policy for a potential tapering, whenever that may be, you're going to get more volatility in the market."

(Read More: 'Summer of Discontent' for Stocks: Weiss)

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