Jitters over a crisis in Ukraine appear to have subsided for now, but analysts say political risk in general has become the new norm and something investors should pay more attention to.
"Geopolitical risk is no longer a tail risk," said Callum Henderson, the global head of currency research at Standard Chartered. "You have to assume that it is going to rise in the short-term and not just in the Ukraine. We've seen the rise of geopolitical risk in Latin America, Asia, in Turkey and South Africa and these are considerations that investors didn't have to think about before the [financial] crisis."
Indeed, financial markets have had a tumultuous week – with risk assets selling off sharply and safe-havens such as gold rallying on Monday after Russia tightened its grip on Russian-speaking Crimea in a move that followed the ousting last month of Ukraine's president after bloody street protests.
On Tuesday, Russia's President Vladimir Putin said he would use force in Ukraine only as a last resort, easing fears of tension between the West and Russia over Ukraine and boosting risk assets.
(Read more: Global markets rally on Putin 'climb down')
While analysts say global markets have proved resilient to bouts of geopolitical uncertainty, recent developments in both developed and developing markets suggest investors need to be more wary about pricing in political risk.
And this means safe-haven assets such as the U.S. dollar could see greater demand.