Investors banking on an aggressive raft of reforms following the China plenum should be positively surprised, said Stephen Roach, senior fellow at Yale University.
It is hoped that Chinese president Xi Jinping will unveil plans to create a national social security system, reform state-owned enterprises, and create equal valuation of urban and rural land following the meeting.
(Read More: What you need to know about China's Third Plenum)
"This is not a leadership that has to run for election, they are very secure and Xi Jinping has very well established power for a new leader," Roach told CNBC Asia's Squawk Box on Tuesday. "I think they are going to surprise in terms of their commitment to a wide array of reforms."
Previous plenums have marked important turning points for major policy shifts in China. In 1978, Communist Party leader Deng Xioping announced a reform plan that led to the opening up of China's economy and paved the way for the country's rapid economic development.
Roach told CNBC the Plenum would also mark an "important juncture for China."
"The strategy is clear. It's [China] shifting the model from external to internal demand... and they've got to do things to achieve that goal," he said.
Roach said key to this transition would be altering the behavior of Chinese families, in terms of moving them away from a culture of "saving out of fear," to "spending with confidence."
"To do that [the government has] to build out the social safety net that has really been neglected," he said, adding that he hoped to see the government address issues around retirement, social security, healthcare, unemployment, insurance, reform to the residential Hukou system - a household registration system that has been criticized for restricting migration - and the liberalization of interest rates.
"If they can do this, then families will be more confident about the future," he added.