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Crisis-hardened markets have learned to look past military flare-ups

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By Sujata Rao and Dhara Ranasinghe

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My first investment adviser in Japan was a gold, commodities and EM bug. The portfolio did well for a while then tanked. He only slowly responded to my calls for switching heavily into Wall street stocks, arguing that Obama's fiscal spending and the Fed's QE would wreck the US economy and make "hard assets" more attractive.

I laughed at this, and managed to wrest control from him, and now that portfolio is seeing its highest returns ever.

Historically, and in the long term, you cant go wrong with US equity.

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Good.

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