The recent outbreak of war with Iran has triggered a familiar wave of anxiety across the global financial landscape. In just this past month, since the conflict began, the S&P 500 Index ($SPX) has retreated by roughly 5%. This decline is largely fueled by fear of a prolonged conflict as investors grapple with the potential for disrupted supply chains and the unpredictable nature of an economy involved in war.
When geopolitical tensions are high, the instinct for many is to flee toward the perceived safety of cash. However, the timeless wisdom of Warren Buffett suggests that retreating is often the costliest mistake an investor can make.
