While the United States appears stronger overall, Europe offers mispriced opportunities, Brooks Macdonald Asset Management Head of Investment Strategy Gemma Godfrey said Wednesday.

"Well if we're looking longer-term economically, the U.S. is in a stronger position," she said. "However, if you're looking for where mispricings are, and where the opportunity is to exploit them, that's going to be Europe because, at the moment, there are so many misunderstandings in the market."

On CNBC's "Fast Money," Godfrey, who has more than $7 billion in assets under management, said that Europe-based companies with international exposure offered the greatest potential.

(Read more: 'The best house right now is the U.S.': Pete Najarian)

"There are pockets of opportunity," she said. "The U.S. is going to continue to rally strongly. It is in a stronger position, but it depends on if you want to be opportunistic and remain stock-specific or not."

Godfrey , who had previously warned about potential risks in Europe, said that there was a new one on the horizon in the election victory by German Chancellor Angela Merkel.

(Read more: Markets aren't pricing in European risks: Gemma Godfrey)

"The concern is she won, actually, by such a strong margin and therefore will have such confidence that she will continue, actually, and renew her focus on austerity," she said. "Meaning that the growth, the fragile growth that we are starting to see in Europe, may actually be erased, and that's a certain risk that potentially markets haven't really accounted for and could lead to volatility and could lead to pull-backs — but that could lead to attractive entry points, but for international firms."

— By CNBC's Bruno J. Navarro. Follow him on Twitter @Bruno_J_Navarro.

— CNBC's Patricia Martell contributed research to this report.