How Does the Market Perform Following Crisis Events?
Over the past few weeks, the global stage has been marked by heightened geopolitical tensions, particularly with the increase in hostilities between Israel and Iran. We understand that such events can naturally raise concerns about destruction, loss of life, and potential for future acts of violence. We also understand how a destabilizing event such as this could influence the investment markets and your portfolio.
At Riggs, we want to assure you that we are closely monitoring the developing situation and remain vigilant in our approach to managing your portfolios. While volatility has increased, the Riggs portfolios have held up well. Our strategic gold positions have performed as intended, acting as a reliable safety net during this period of uncertainty.
It’s essential to remember that financial markets have encountered similar crises in the past. Over time, once escalation subsides, markets have typically recovered. The table below, from Ned Davis Research, shows the performance of the Dow Jones Industrial Average during Crisis Events and provides a good historical perspective.
Our approach remains unchanged. We are focused on risk management and strategic decisions that prioritize the safety and long-term growth of your investments. These principles serve as the foundation of our investment philosophy, even during unpredictable times.
If you have any questions or would like to discuss your portfolio further, please don’t hesitate to reach out. We are here to serve as your guiding partner in navigating periods of uncertainty with clarity and confidence.
Thank you for placing your trust in us.
The Riggs Investment Team