The market may be reaching new highs, but there may be trouble ahead if President Donald Trump's agenda doesn't go as planned, portfolio manager Mark Spellman told CNBC on Monday.
While first-quarter earnings and cash flow were "very good," Spellman said, he was "amazed at how much we have just ignored the political and the background noise."
"If the Trump domestic agenda gets delayed into next year, that's what I think is the biggest risk to the market right now. If that were to happen, I think you'd have a problem," the co-portfolio manager at Alpine Funds said in an interview with "Closing Bell."
Cole Smead, portfolio manager at Smead Capital Management, is concerned about the fact that much of the gains have been concentrated on the biggest names.
"The biggest names in the market right now have the highest prices, and that's a big problem for the market. It's getting narrow. … That's just to the detriment of the passive investor," he told "Closing Bell."
That's because stocks don't go up in a straight line, and there is the unanswered question of what is the market's next act, he explained.
Spellman, meanwhile, said he would be a buyer of companies that are raising their dividends at an exceptionally high rate, like Lowe's.