Key points

• History is filled with wars, conflicts, and geopolitical crises. Past events may help us consider how markets might respond to the 2026 conflict with Iran.
• Markets have tended to react sharply in the short term to geopolitical shocks before staging a full recovery within a few months or years, especially for investors that remain invested. Diversified portfolios have historically recovered even faster. 1
• To create a buffer between market volatility and spending needs, families may want to build a Liquidity strategy, funded with cash and high-quality bonds to cover spending in the event of a market disruption.Time frames may vary. Strategies are subject to individual client goals, objectives and suitability. This approach is not…