When global conflict breaks out, it often triggers a wave of anxiety among investors. Headlines warn of uncertainty, markets react sharply, and many people begin to wonder whether this time might truly be different. But history tells a very consistent story about how markets behave during periods of geopolitical tension. Don explains how markets have historically responded to global conflicts and why long-term investors should be cautious about reacting emotionally to short-term news.

Here’s some of what we discuss in this episode:

🌤️ Spring & March Madness: Unpredictability appears in markets too

🌍 Global Conflict Concerns: News about Iran raises investor anxiety

📈 Historical Recoveries: Markets often rebound after crises

🧩 Diversification Matters: Balanced portfolios reduce volatility risk

🎲 Speculation Risks: Emotional decisions can hurt long-term results

📰 Media Influence: Headlines often amplify fear and uncertainty

Episode Links:

150 years of Market Drop and Recoveries –

https://www.morningstar.com/economy/what-weve-learned-150-years-stock-market-crashes

Too Much Concentration Risk in the Stock Market –

https://russellinvestments.com/content/ri/us/en/insights/russell-research/2024/09/today_s-markets-are-extremely-concentrated-what-does-this-mean-f.html

How well did a well-diversified portfolio in 2022 –

https://www.morningstar.com/portfolios/why-portfolio-diversification-helped-investors-2022

Lessons over the past 50 years –

https://www.boldin.com/retirement/history-of-market-downturns/

The Dalbar Study –

https://www.forbes.com/sites/wesmoss/2026/01/27/how-the-average-investors-returns-compare-to-the-market/

The Media Effect on the Investing –

https://kayne.com/insights/why-investors-should-avoid-the-noise-of-everyday-media/

Get in touch with Don and learn more: https://doncashpodcast.com/