SKAGEN Funds was launched in December 1993 by Kristoffer Stensrud, Tor Dagfinn Veen and Åge K. Westbø.

SKAGEN Funds was approved to operate in Luxembourg in 2005, in the Netherlands and Finland in 2006, in Iceland and Great Britain in 2007, in Switzerland in 2011, in Belgium in 2013, in Ireland and Germany in 2014, in France in 2016.

[1] Bloomberg reported on January 29, 2014, that Skagen's emerging market fund, SKAGEN Kon-Tiki, had assets under management of 50 billion krone ($8 billion) with an annualized return of 14 percent over the previous 10 years, the eighth-best performer among 1120 similar funds tracked by Bloomberg.

[citation needed] In October 2017, SKAGEN Funds was acquired by Storebrand.

The firm's portfolio managers base their investment decisions on their own research, rather than corporate relationships or internal analyst teams.