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Stocks Will 'Grind Higher': Credit Suisse Exec

The consensus right now: buy the rumor, sell the news. "We're actually advising clients right now to buy the rumor, buy the news," Richard Zinman, managing director at Credit Suisse private banking USA, told CNBC on Monday.

"The equity marketwill grind higher becuase of absolute valuations. Stocks typically trade at 17 times earnings—they're 12.5 to 13 times [right now]. If the market were to trade at 17 times earning, you're looking at an S&P of 1550. That's 30 percent higher than these levels," Zinman said.

"The market is discounting a fairly benign growth rate of two- to- three percent. But if you look at the relative valuation also compared to bonds, stocks have underperformed bonds for 30 years on average—the last time that happened was eighty years ago," he said.

In addition, Zinman is bracing for higher interest rates by not just looking at the investment side of the balance sheet, but, more importantly, looking at the liability side.

"It's a great time right now to optimize your liabilities, refinance mortgages, to call your tax professional or legal professional and get a complete diagnostic check-up in terms of income tax planning and trust and estate planning," he said.

"We are getting out of high-yield and we're getting into floating-rate debt, which is senior secured bank loans—high on the capital structure, 90-day duration, very good yields, not correlated with the Treasury market," Zinman concluded.