Markets don’t seem to be worrying a lot about Friday’s failed coup in Turkey.

Markets in Asia (with the exception of Japan, which is closed for a holiday, and China, which ended in the red) ended their sessions in positive territory.

Europe doesn’t seem to be worried.

It’s too early to get a good idea of what the consequences of the failed coup will be:

• on the Turkish economy;
• on Europe with its still unresolved migrant crisis for which it needs the help from Turkey; on Turkey’s role in NATO and its relations with the U.S.;
• on the democratic process in Turkey.

The Turkish authorities have tried to calm worries through its Deputy Prime Minister Mehmet Simsek who told the Financial Times: “How global investors will react matters, and I have been frank with them - we will let prices adjust for the Turkish lira (TRY). This is a major event, and we will only step in if we feel that markets need help functioning properly.” He also added, “We are back in business. Don’t get me wrong - this is a huge event, extraordinary even, but I don't think that domestically, it will have huge impact on consumption.”

On the financial front, the Central Bank of the Republic of Turkey (CBRT) has already announced on Sunday that it would cut the commission on daily liquidity options for banks to zero and that it would provide unlimited liquidity to banks to maintain effective operation of the financial markets. It added that it would take all necessary measures to protect financial stability and that all central bank markets and systems would stay open until transactions are complete. If needed, it would increase the current USD $50 billion foreign exchange deposit limit.

The Turkish lira has responded positively and has recuperated half of Friday’s losses.

For emerging markets investors, maybe it’s good to recall that Turkey’s stock market index XU100 Index has more than tripled since 2009,  which is substantially better than the MSCI Emerging Markets index, of which Turkey is part of its 23 countries that are taken into account.

As an investor, it's impossible to overlook the fact that more than 2,745 judges and almost 3,000 suspected military plotters, ranging from top commanders to foot soldiers, and prosecutors were sacked or arrested as well as 8,000 police across the country, including in Istanbul and the capital Ankara have also been removed.

And last but not least, the EU Commissioner in charge of European Neighborhood Policy and Enlargement Negotiations Johannes Hahn said that for making arrests in such large amounts, circumstances suggest that the Turkish government had all those lists ready and that the EU now expects that the follow up of this event should be along the International rule of law standards. Mr Hahn added, "What we see is that this is not yet met."

As an emerging market investor, in part driven by search for yield, of course, I would now prefer playing safety first in Turkey and for that reason in emerging markets overall for the very simple reason we should better not expect positive surprises coming out any time soon out of Turkey.

All that said, it’s really interesting to see how extremely complacent investors remain notwithstanding that, first we had the Brexit vote and now we have the failed coup in Turkey that implies a lot of still unknown and unpleasant consequences.

Of course, markets as well as most of investors have the long-standing reputation of performing very poorly by estimating geopolitical risks.

Maybe nothing more than anecdotal, but WikiLeaks just communicated, “Get ready for a fight as we release 100k+ docs on Turkey's political power structure.”

All this and especially the complacency we see at present makes me think at what Napoleon's mother, Maria-Letizia Ramolino, said to her son when he was at the top of his power, “Pourvu que ça dure! Let us hope it will last!”

As we all know, Napoleon’s power didn’t last …

Etienne "Hans" Parisis is a bank economist who has advised global billionaires and governments on the financial markets and international investments. To read more of his articles, GO HERE NOW.