Skanberg: Valuations in Europe 18% below US

Martin Skanberg has managed the Schroder European fund since October 2008, helping to generate a return of 7.4% in the last three years compared to the sector average loss of 1.9%.

As the European crisis continues to play out, Skanberg,  who runs the fund with co-manager Rory Bateman, has suffered along with peers, losing 18.1% in the last three months compared to the sector average loss of 17.1%, according to Morningstar, as European markets sell off heavily. Here Skanberg talks about the chances of a double dip in Europe, the problems caused by a lack of leadership in the region, and the prospects for equities following a summer of woe for many investors. How is the crisis in Europe affecting your portfolio? On the macroeconomic side, we are either seeing a s...