Overall, the market looks worrisome, said Bob Phillips, senior partner at Spectrum Management Group.
“QE2’s going to end sometime in June and we cannot determine how to rank the probabilities of what that means,” Phillips told CNBC.
Phillips’ stock picks include Prudential , Qualcomm and MasterCard .
“We think [Prudential] fundamentally is a strong company…and we think the stock is cheap around 10 times this year’s earnings and maybe 9 times next year’s,” he explained.
Meanwhile, Phillips said he expects disruptions ahead and recommended investors to “think about raising 20 percent of cash in their portfolios” because of the uncertainty.
(Phillips' Opponent Suggests: How to Invest Ahead of Possible Inflation—Watch the Video for More.)
Scorecard—What He Said:
- Phillips' Previous Appearance on CNBC (Feb. 18, 2011)
More Market Intelligence:
- 12 Best Value Plays For Investors: Strategists
- Greenberg: Seven Flatlining Stocks in Need of the Paddle
- Markets to Chase All-Time Highs This Year: Stock Picker
CNBC Data Pages:
More News From CNBC.com:
Google's Spending Spree Invites Rare Downgrade
Bank of America
Bank of America Misses Estimates on Mortgage Drop
Phillips and his clients own shares of PRU. Phillips also personally owns shares of QCOM and MA.