In her July 2025 piece, Geopolitical Jitters, Karen Umland offers a timely reminder that long-term investing requires resilience in the face of global unrest. The recent conflict between Israel and Iran has stirred uncertainty, but history shows that markets have weathered many storms—from oil embargoes and financial crises to pandemics and wars.
Umland highlights a powerful statistic: $1 invested in the MSCI World Index in 1970 grew to $126 by June 2025, despite decades of geopolitical and economic upheaval. This underscores the importance of staying invested and resisting the urge to react to short-term volatility.
Her advice is clear and grounded in experience:
- Stay diversified
- Stick to a sound financial plan
- Focus on long-term goals
Markets are remarkably adaptive. Investors who remain disciplined and avoid knee-jerk reactions are more likely to benefit from long-term growth.
Credit: “Geopolitical Jitters” by Karen Umland, CFA, published July 3, 2025.
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This is a hypothetical situation based on real life examples. Names and circumstances have been changed. The opinions voiced in this material are for general information only and are not intended to provide specific advice or recommendations for any individual. To determine which investments or strategies may be appropriate for you, consult your advisor prior to investing.