On Friday, Fundstrat's Tom Lee stood by what he told CNBC ahead of the election, which was that markets were in for a rally no matter who won.
Lee, who is founder, managing partner and head of research at Fundstrat Global Advisors, said that while the market is seeing a large rotation, the shift was already in motion before Donald Trump's win.
"The bigger move has been this huge rotation … into the value names, small caps, the laggards. The irony is these were all trades that were working into Election Day, so they just all got turbo-charged," he told CNBC's "Fast Money Halftime Report."
Lee said that with the new administration getting ready to take over, investors are trying to gauge what a world with normalized interest rates and deregulation of banks might look like.
"We've almost created a generation of people who've compensated for low interest rates by doing things like buying dividend, going into private equity, seeking leverage in order to juice up returns. It's made equity management a terrible business," Lee said.
"That's the thing we have to imagine: In a normalized rate world, equity is a great business [and] stock selection makes a ton of sense," he said.
Appearing on "Fast Money Halftime Report" alongside Lee, UBS' Rob Sechan argued that the market rotation was in some ways related to what he called Trump's "draconian" rhetoric on trade, but agreed that presidents cannot sway markets in a major way.