Industrials and technology names have farther to climb in a market that fears tapering, Scott Migliori of Allianz Global Investors U.S. CIO Scott Migliori said Friday.
"I think the whole tapering discussion is a red herring," he said, adding that the market should be focused more on corporate earnings than murmurs that the Federal Reserve would cut back on its asset purchases.
(Read More: Are Investors Overconfident in the U.S.?)
Migliori added that a slowdown in emerging markets could have a larger impact on the market than the Fed, as well.
On CNBC's "Fast Money," Migliori said that investors are banking on a second-half recovery in Asia, which means the sectors to buy are industrials and technology.
Precision Castparts, he added was a play on the aerospace cycle.
(Read More: 'A Great Trading Summer': Bessemer CIO)
"I do think you have to be selective in industrials," he said.
In the tech space, Migliori said that he liked Microsoft, seeing it as a company that could grow "10 percent-plus."