Innovation in investing is normally promoted and celebrated by those who shape and drive the current market. Finding new ways to succeed in this area is considered necessary in order to adapt to an always-changing economy. ISIS claims that the United States is next, and that means that our investments are at risk. We cannot live in fear, but should surely consider how security and terrorism impact our economic market, specifically, investing, retirement planning, and estate planning. So, how does this connect to the money that you invest? Is all of the impact bad? How are we to embrace the change that comes from more protection and turmoil in the business environment? What kind of financial ramifications does the recent Paris terror attack have on the US Market?
While markets continue to rise, despite the bad news in the streets of Paris, what has not changed is the threat to the oil supply chain, shipping, air transport and all forms of Western commerce–all of the things that affect your portfolio. In his article for Forbes Magazine, Brett Nelson describes the ways in which attacs on Western economic interests, change the way we do business. He says that acts of terrorism give investors a wake up call, prompting us to “follow our dreams and gain control of our own destiny.” In other words, they make us realize that, in order to change the world, we must be as successful as our potential allows us to be, and this includes the investments that we make in light of any new terrorist attacks on U.S. soil. Markets will rise, yet we will still remain vulnerable. For instance, what if a cyber attack damages an online retail website and your portfolio is invested in their stock? What about the larger market if an oil refinery is attacked? The Dow continues to climb, but instability in areas where commerce must be transported creates unease with our investments. Global money is being dumped into the U.S. market, because it appears to be the safest place to put money. From soft targets, to cyber attacks, to the debt we accrue, the long-term effect on markets will most likely be negative.
In fact, smart investing is .one of the best antidotes to terrorism, according to the U.S. president Barack Obama. Since 9/11 and recent days, protecting ourselves, our families and our portfolios from the unknown has become a more immediate goal. Our portfolios could certainly be exposed to industries that face increased costs due to the heightened risk of terror attacks, and our 401ks could suffer, as well. In light of this, the most positive action we can take is smart investing and planning.
It is obvious that we can’t help but to be anxious about potential acts of terrorism when attending to our portfolios. However, certain financial portfolios will always be protected no matter what. They go up with the market, and your gains are always locked and never go down. In any financial climate–including one which is seemingly hostile–your money is not affected, because it is in a protected place.
The world and its economies are ever-changing, and, while we’re constantly under the shadow of terrorism and resulting heightened security, our focus should be on accomplishment and protection of our successes. While we seek protection from the chaos around the world, we can also find protection for our money. The world’s events can dramatically impact our portfolios. The best solution may be a product that is safe, simple and provides a reasonable rate of return. TetonPines Financial is available to review your financial portfolio to make recommendations to help significantly reduce the negative impact that terrorism has on you and your family. If you would like to speak with us about how we may help you, please contact us and we would be happy to discuss our services with you.