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Buy the Dove!

Federal Reserve Chair Janet Yellen listens during a reception for her on Capitol Hill in Washington.
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Federal Reserve Chair Janet Yellen listens during a reception for her on Capitol Hill in Washington.

The Federal Reserve softens its tone and indicates that a rate hike is unlikely at its April meeting.

So how do you trade in this new, dovish world?

David O'Malley, CEO of Penn Mutual Asset Management, plans to greenlight a long-short 'dove' trade by increasing exposure to equities and higher risk fixed incomes, like CLOs and some high yield, while selling long maturity Treasuries.

"We remain bullish on interest rates," said O'Malley, "Especially the long end of the yield curve.

But don't expect smooth sailing near-term. O'Malley remains modestly bearish on stocks. "I expect equities to be down roughly five percent by year-end."

Read MoreYellen: Can't rule out a rate increase in June

According to Todd Rosenbluth, with S&P Capital IQ Global Markets, another play in a dovish environment is to weight any portfolio with dividend paying ETFs diversified across various sectors, like the Vanguard Dividend Appreciation ETF

"The VIG has 10 years of dividend growth not on yield," added Rosenbluth. "It's also diversified into staples and economically sensitive sectors."

But according to Rosenbluth, not all dividend ETFs make sense, "For instance, you might want to rotate out of iShares Select Dividend ETF, given its high cyclical exposure with hefty weightings in financials, industrials and materials,

"It's a savvy bear trade" said Rosenbluth, "Especially if you think rates will rise in the second half of 2015, like we expect."