U.S. Treasuries are not attractive investments, but companies that have exposure to the rapid growth in Asia are, says Matthew Drennan, executive general manager of investments at Zurich Financial Services Australia Ltd.

“U.S. Treasuries are at unsustainable yields,” he says.

Drennan likes property developers China Overseas Land & Investments Ltd. and Sun Hung Kai Properties Ltd.; China Minsheng Banking Corp.; oil and gas explorer ConocoPhillips; and software developer Microsoft Corp.

“I find it hard to see stock markets hitting new lows,” he says.

Drennan says he prefers Australian cash investments, rather than sovereign debt. He also prefers corporate debt investments over sovereign debt.

“Corporates are paying higher yields and many have a lot of cash on their balance sheet,” says Drennan.