Investing in equities under current market conditions calls for a change in approach, according to Clive McDonnell, regional strategist at BNP Paribas Securities.
McDonnell cites China's consumer staples as an example. He says investors have done well holding these stocks as they have proven to be excellent relative performers in 2008, especially in the second-half of last year. However, it is time to look beyond defensive plays.
"As we move towards the recovery phase of the market cycle, a key part of our strategy is to switch away from those defensive staple names (and move) towards (the) consumer discretionary (space), specifically retail names within China," he says on CNBC Asia's "Protect Your Wealth".