People are becoming afraid they are missing out on the rally, and that's "tremendously supportive" to the stock market, investing expert Michael Yoshikami told CNBC on Wednesday.
"Panic is starting to set in," the founder and CEO of Destination Wealth Management said in an interview with CNBC's "Closing Bell."
"We hear it from investors all the time. They were incredibly frightened going into the market. Now after a month or so people wonder, 'What do I do now? The market's rallied. Looks like there's going to be lower taxes.' So I think that's an important consideration forward in 2017."
The stock market has been moving higher since President-elect Donald Trump's victory in November. However, certain sectors sat out the rally.
Now, many of those stocks, like health care and big tech, are coming back, Yoshikami pointed out.
"I think it's a huge positive for the market that you're starting to see a broader rally," he said.
Stephanie Link, managing director and active equities portfolio manager at TIAA Global Asset Management, also thinks the broader rally is healthy for the market.
"I think 2017, the narrative is better growth, better earnings growth, higher interest rates, stronger dollar," she told "Closing Bell."
She also believes stock picking and sector picking will be a lot more important than it has been in the past.