With everything happening overseas, I wanted to share a quick perspective to help cut through the noise. It’s completely natural to feel uneasy when the news cycle turns to conflict, but the long view tells a very different story.
I’ve included 2 charts that show a different story to the one that is being played out in the ratings mad media.
- “Markets tend to ‘sell the build up and buy the invasion’”
- The Vanguard chart’s long‑term message that “Growth of $10,000… with all income reinvested” has compounded through crises and recoveries.
History shows that markets often over-react more to uncertainty than to the events themselves. As one of the research slides above highlights, “Markets tend to ‘sell the build up and buy the invasion’” — meaning markets typically stabilise once the situation becomes clearer. Across multiple major conflicts over the past 60 years, markets have recovered as uncertainty lifted.
War-in-The-Middle-East-Historical-Market-Reactions-To-War-1
To put this into context, I’ve also included the long‑term Vanguard Index Chart. It tracks the “Growth of $10,000… with all income reinvested” from 1995 to today. What it shows is powerful: through wars, recessions, elections, pandemics, rate cycles, and countless global shocks, diversified portfolios have continued to grow over time.
Your investment strategy is built with this resilience in mind. It’s designed to weather short‑term volatility and keep you on track for your long‑term goals. Staying the course has historically been one of the most reliable ways to protect and grow wealth, even when the headlines feel unsettling.
If you’d like to talk through any of this or revisit your plan, I’m always here.
