Market volatility is expected to proceed well into next year, yet investment managers do not expect to make substantial changes to their portfolios, according to the latest Investment Manager Outlook by Russell Investments. According to the report, 70 percent of surveyed investment managers expect comparable levels of risk and volatility through next year. However, nearly two-thirds of respondents are not planning any changes to their portfolio positioning. The 30 percent of investors who expect more tempered volatility in 2012 cited expectations for a resolution of the ongoing European debt crisis and other market-wide uncertainties. Additionally, nearly half of managers - 49 percent - claimed they believe the market to be currently undervalued. "The last half of 2011 has proven to be a roller coaster of market volatility, as issues in Europe and the U.S. drag on and new shocks to the system continue to appear," said Rachel Carroll, a client executive at Russell Investments. "Given the wide variety of issues and uncertain macro-economic outcomes, it is reasonable to expect that volatility will continue into next year."