Investors rushed towards equities following the news that Donald Trump had been elected as the next U.S. president. However, such an appetite could be hit by volatility surrounding the President-elect's policies, a UBS analyst told CNBC.
Stocks in infrastructure, mining and metals, banks have benefited from Trump's campaign pledges of spending $1 trillion dollars to boost growth, cutting corporate tax and reducing regulation.
According to Vinay Pande, managing director at UBS Wealth Management, there is "an absolute value in equities" and the markets have realized it.
"The Trump reflection … makes the argument much stronger and this has produced the trigger to release the value and the relative value we see in equities versus bonds," Pande told CNBC on Friday.