Pellegrini, who took charge at the Etihad Stadium this summer, has inherited a squad that has been bolstered by the signings of Fernandinho, Jesus Navas, Alvaro Negredo and Stevan Jovetic for a combined near-£90million cost.
Pellegrini gave his opinions on stage during a question and answer session for fans at the club's season launch party in Manchester city centre.
The Chilean said: "I think we have the best squad in England.
"We bought four important players, we already had a very good team and with these four players I think we improved a lot.
"We hope that from the first match against Newcastle at home we will start winning, and we will try to bring another trophy here."
The event also saw defender Pablo Zabaleta receive the club's player of the year award for 2012/13 and the Argentinian also spoke of his confidence for the year ahead.
He said: "I can guarantee to everyone that we have been working really hard in pre-season and we are very hungry for more trophies, and we aim to win something this season.
"The atmosphere in the dressing room is great. We wish the new manager and all his staff the very best of luck for the future."
City finished runners-up to rivals Manchester United last season and suffered a shock loss to Wigan in the FA Cup final.