How to deal with client short termism

INVESTMENT

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Nearly every adviser invests for their clients over a period of decades. So what happens when they can't see past the end of the year?

Investing in the UK’s largest companies used to be a pretty safe bet. You put your money in, be it into equities or managed funds, sat tight, and watched it grow. Consumers do not quite feel the same way anymore. The FTSE 100 is lower than ten years previously for the first time in its history. And that is beginning to impact how advisers deal with clients. “There is no three-year or five-year trend anymore,” said James Baxter, managing partner at Tideway Investment Partners. “If you look the markets, they have simply stopped going up to the right. The vast majority are soaring up and...

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