Europe's financial situation stabilized a lot since 2012; there's much less talk about dissolving the currency and economic union, or widespread bank failures, observes Bob Carlson, editor of Retirement Watch.

Even the basket-case countries now report decent economic growth, though they still are in depressions. European stocks have been among the world's best-returning assets since late 2011, and that is likely to continue for a while.

This doesn't mean Europe is risk-free. If Europe wants real growth, the European Central Bank probably needs to implement a version of quantitative easing.

For now, the trends are positive, and investors should capture them. If policymakers make smart moves, this could be a very profitable position for several years.

Or, it could turn out to be a short-term position if there's a new round of chaos. To protect your capital, have a firm sell signal in place, in case things turn south in Europe.

T Rowe Price European Stock (US:PRESX)—my top speculative idea for 2014—is an ideal way to capitalize from this opportunity, because it has low expenses, no load, extensive experience in the sector, an eye for value, and long-term success.

Top holdings recently included Royal Dutch Shell, Anheuser-Busch Inbev, GlaxoSmithKline, Gas Natural, and Wirecard. Its top performer for 2013, with a return of over 115%, was Bankinter, a Spanish bank.

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