Despite hefty valuations weighing on U.S. stocks ahead of the earnings season, one asset manager has told CNBC that the S&P 500 is not stretched and urged investors to enjoy an overly 'pessimistic" bull market.
The U.S. benchmark is currently trading 16.5 times forward estimates -- of its companies' earnings, according to recent data from Reuters. Forward estimates is an important metric that many analysts use to gauge the attractiveness of equity indexes, however, the S&P's is about 10 percent more expensive than its historic average of 15, according Reuters estimates.
In the meantime, the S&P 500 has risen 2.5 percent so far in 2015, but has rallied by over 210 percent since the depths of the global financial crisis in March 2009. By comparison, the index jumped 29.6 percent on the back of the extra liquidity being pumped into the economy by the U.S. Federal Reserve.
Nonetheless some analysts feel the index still has some ways to go.
"That's not stretched," Michael Kelly, the global head of asset allocation at PineBridge Investments in New York, told CNBC Wednesday.