After a rough 2022, some investors are flocking back to tech. The Nasdaq Composite has been the best-performing Wall Street index to date, having gained nearly 7% because the start of the 12 months. But investment veteran Michael Landsberg is staying on the sidelines for now. “I feel tech is dead for some time and you might be higher off selling rallies and tech to position yourself for things that you just need,” Landsberg, partner and chief investment officer at Landsberg Bennett Private Wealth Management, told CNBC’s ” Street Signs Asia ” on Wednesday. “As we head into 2023, we imagine it is important for investors to sell profitless and high multiple stocks, as all these stock won’t perform well during a recession and having extra money on the sidelines goes to be crucial as we head into what is going to likely be a disappointing earnings season,” he added. He said he believes investors are in a “waiting game riding out this current storm” and so they must be selective when putting recent money to work within the stock market. Stock picks Against that backdrop, Landsberg said he favors the buyer staples and health care sectors. The buyer is now “in a foul spot,” Landsberg said, pointing to “multi-decade high” bank card debt and “multi-decade low” money levels. Consumer staples will due to this fact be a greater trade than discretionary stocks as consumer spending power is reined in, he added. “I feel discretionary gets hurt quite a bit greater than staples if the buyer does get incredibly weak. Staples will get hurt too obviously if the buyer pulls back to the extent that we expect, but it may be hurt much less,” he said. Landsberg pointed to discount stores reminiscent of Costco and Dollar General , which he said have been “pretty solid throughout.” “I feel people will trade down. They’re still going to must buy a few of these items, and that is going to be a spot that is going to carry up higher.” Inside health care, his top pick is UnitedHealth — an organization he described as a “dominant player” in its field. He likes the corporate for its consistent revenue and earnings per share growth, in addition to its “outstanding” dividend growth. Beyond these, Landsberg likes NextEra Energy for its leadership in renewable energy and “very profitable” regulated utility business. The corporate also enjoys strong dividend growth, he added. Rounding off his top picks is U.S. consulting firm Booz Allen Hamilton , an organization with “dominant market share” that counts the U.S. government as a key customer. “Booz Allen is definitely type of the alternative of the buyer being stretched and tightened. The one customer that never seems to stop spending money is the U.S. government. It’s a number one player in consulting but more importantly in tech consulting, which is cybersecurity, artificial intelligence, and defense,” Landsberg said. “With cyberattacks all over the world that is going to proceed, I do not see them really having an issue getting more business and continuing the business that they’ve,” he added. He noted that its share price has pulled back from its highs, and now looks “attractive” as a longer-term investment.