Why is Mumbai Financial hub of India when the region is at a high risk geographical location?

MUMBAI.....what a location - prone to sea level rise or tsunami, near to tectonic plate junctions inviting warm welcome for earthquakes or dangers of volcano,
which country's administration in his good mind will make them their major hubs,
the fact is that a city rises owing to it's trade, it's resource treasure or it's strategic location facilitating transport.
Port cities facilitate export and import and thus promote trade within and outside the country.
Shanghai is world's one of biggest financial center because it has the largest port and consequently handles the largest amount of cargo annually.

In case of Mumbai's development as a financial capital, it also has a history associated with itself apart from having the above mentioned points.
The component 7 islands together provided a very good natural harbor and also at the same time provided natural insulation from land attack.
You see, places giving strategic natural defense were the most preferred choices of place for any rule of administration which use to have war every now and then. This was also the reason for the decline of Surat which was earlier the trade giant of India before it had been shifted to Bombay by british.
In 1853, the first railway line setup and 1861-65 American civil war made the city world's chief cotton-trading market, resulting in a boom in the economy that subsequently enhanced it to heights of reputation. This was all just going normal until the SUEZ CANAL been opened in 1869, which turned it into one of largest seaports of Arabian sea (which acted just like added fuel in fire for it's upsurge in trade).

In subsequent years especially during the late 20th century, although it faced stiff competition from Pune, Hyderabad, Bangalore, but owing to it's huge population (highest at that time) having high amount of unskilled and semi-skilled labour, Mumbai attracted a lot of financial and manufacturing capital investments which ultimately led to it's development as the Financial capital of India. this was the most important reason for it's rise, as you know market runs after labor and MUMBAI had it all...