In his latest column for Canada’s Globe and Mail, Validea CEO John Reese says that, while broader valuations are up, investors shouldn’t avoid stocks.

“Yes, the market’s rise was rapid last year, and valuations jumped significantly,” writes Reese. “But that’s what valuations do in bull markets, and we are far from astronomical valuation levels. Perhaps more importantly, the stock market is not a monolithic entity but made up of individual stocks. While the average valuation rose quite a bit over the past year, plenty of attractive, very cheap individual stocks remain.”

Reese highlights some stocks that his Hot List portfolios are high on right now (his Canadian Hot List was up over 30% in 2013 vs. less than 10% for The S&P/TSX Composite, while the U.S. version gained more than 34%). Among them: Alimentation Couche-Tard, the Canadian gas station/convenience store chain that gets approval from Reese’s Warren Buffett and James O’Shaughnessy-inspired models.