Keeping Recent Volatility in Historical Context

With the Ukrainian crisis escalating into a full-scale Russian invasion, global markets have seen an uptick in volatility as investors analyze the far-reaching repercussions of this conflict. While we should expect short-term volatility amid the crisis, global markets have historically recovered relatively quickly from these types of geopolitical events. For context, markets have fallen on days of history’s biggest geopolitical crises by an average of just 1.2%. And on average, markets have recovered within just six weeks.

Source: LPL Research, S&P 500 Dow Jones Indices, CFRA, 01/06/20

We of course are keeping a close eye on the situation. But during these times of fear and uncertainty, it is important for investors to stay disciplined and to avoid decisions that could impact the long-term success of portfolios.

Please let us know if you would like to speak with us. We are here to answer any of your questions. But in the meantime, we’ll leave you with a quote from Warren Buffet, which we feel is as relevant as ever:

Be fearful when others are greedy and greedy when others are fearful.”


All indexes are unmanaged and cannot be invested into directly.
Past performance is no guarantee of future results.
The modern design of the S&P 500 index was first launched in 1957. Performance before then incorporates the performance of its predecessor index, the S&P 90.

Investment advisory and financial planning services offered through Summit Financial, LLC, an SEC Registered Investment Adviser, doing business as Conway Wealth Group (4 Campus Drive, Parsippany NJ 07054. Tel. 973-285-3600). 

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