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The global economies, their industries, their businesses determine the income and capital value of those investment assets for those financial products you recommend. There's a lot wrapped up in economies, industries and businesses that is too much to cover here.

I appreciate your comment re clients' interests. You mentioned risks but I assume you take into account many other factors in your clients' lives and circumstances. That's what we expect of good financial advisors. I expect financial advisors to question economic and business forecasts. I expect financial advisors to read the goings on in politics, regulations, taxations to be able to assess potential impact on their clients.

I am saying that portfolios need to be adjusted in their holdings to meet economic and business cycles ups and downs and to reduce volatility and risk to the portfolio. Businesses work on anticipation and so should investors. I am not saying that clients' portfolios need frequent adjustments otherwise they lose by paying out fees (high in Australia compared to other developed economies).

Re your last sentence - risk is a whole topic in itself. There's good risk and there's bad risk. Just like opportunity costs.

To be positive about this, there are some very good financial advisors out there and who have done their clients well at reasonable rates and within the bounds of legalities.