For investors, now is not the time to 'be a hero,' David Gerstenhaber says

A view of the charging Bull with a woman in New York City USA during coronavirus pandemic on April 25, 2020.
John Nacion | NurPhoto | Getty Images

This story is for CNBC Pro subscribers only.

Hedge fund manager David Gerstenhaber said on Thursday that he thinks markets are fully valued but said investors shouldn't make big bets. 

Gerstenhaber, who is one of the so-called Tiger Cubs that worked under famous hedge fund manager Julian Robertson, said on "Squawk Box" that the market has not factored in the longer-term damage from the pandemic.

The economic shock from the pandemic has created a "substantive swatch of long-term unemployed people," and that will become more visible and cause a larger hit to the economy as government support programs expire, he said.