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The Eiffel TowerThe Eiffel Tower was purpose built and designed in 1889. Created by Gustave Eiffel who, with a small and dedicated team, created and delivered the ultimate in unique and innovative design. -
Big Ben
The specifications for the construction of Big Ben's massive clock were exacting to say the least. However after almost seven years Edmund Becket Denison created what was considered "unattainable", a clock that could keep time to within one second per day. -
The Leaning Tower of Pisa
Without intervention, the Leaning Tower of Pisa would have fallen over. It just goes to show that its never too late to take remedial action. -
Tower Bridge
When the bridge was completed in 1894 it was hailed as the most sophisticated "see saw" ever created. The vision and skill of the engineers and construction team was many decades ahead of its time. -
The Great Pyramid of Giza
The Pyramids were built by the Egyptian Pharaoh Khufu who began planning the structure many years before his death. The result has stood for over 4500 years. -
The Arc D'Triomphe
The Arc d'Triomphe was designed in 1806 to be an enduring landmark in Paris. Two hundred years later it is one of the focal points of the city and serves to remind all of Napoleon's victories and the armies that fought in them.
Welcome to Axiom Wealth
Not surprisingly, all investors face the same problem - deciding on who you can trust to look after and grow your investments and hard earned savings.
You need to be sure you can work with them, you need to know they will have your very best interests at heart and, most importantly, you need to be able to rest assured that they are always working on your behalf to improve your financial situation in the face of an increasingly complex and sophisticated investment market.
As the principals, we formed Axiom Wealth because we were disenchanted by the unnecessary bureaucracy and lack of transparency that are common place in the financial planning industry.
We are a medium-sized, energetic and professional team with our hearts and minds focused entirely on our client's future prosperity.
Investment Market News
Markets in Review
It is important to view the historic performance of your investments against the backdrop of how investment markets more generally have behaved. In this regard, the following contextual information, sourced primarily from our independent research house, Lonsec, is relevant.
Markets in Review
Australian shares rose 2.8% in August. IT and Consumer Discretionary were the top returning sectors. Once again earnings season was dominated by the dire effects of COVID-19 as companies cut dividends and increased cash holdings. Appen (-2.6%) reported 1H20 results in September, with revenue growth of 25% on the same quarter last year. Relevance was the largest contributor, with revenue growth of 24%, however Speech and Image revenue fell 20% following a breakout result in 1H19.
IOOF Holdings (+1.5%) announced the acquisition of MLC for $1.44 billion, which will be partially funded via an entitlement offer and placement. A2 Milk Company (-11.8%) reported revenue and EBITDA growth of 33% on the prior corresponding period. Infant formula was the main driver of the result, supported by a 65.1% increase in Chinese sales. CSL (+5.9%) announced in September it had signed Heads of Agreements with the Australian Government and AstraZeneca to supply two potential COVID-19 vaccines within Australia following successful clinical trials, however, AstraZeneca briefly halted the trial to investigate an adverse reaction from a study participant in the UK. However, the trial has now been resumed.
Global equities
The S&P 500 Index rose 7.2% in US dollar terms, ending August at record highs and fully recovered from its March low. The rebound in global equities has been led by large cap growth companies, which have benefitted from the persistent low rate, low growth environment.
However, the start of September saw some pressure taken out of extended valuations, especially among US technology shares. In the first week, the NASDAQ fell 6.4% in price terms from Wednesday's record high. Electric car manufacturer Tesla gained 74.2% in August and fell 16.1% in the first week of September but was still 400% higher on the start of 2020.
×Market Outlook
February started with a bang, with the US market experiencing its biggest pull back since early 2016. The pullback occurred on the back of fears of rising inflation and interest rates as wage growth data in the US ticked up. Furthermore, volatility traders were unwinding their short volatility trades creating volatility in markets. Previously we have discussed the low level of volatility in markets and that at some stage volatility would return to more normal levels.
Market Outlook
When the COVID-19 crisis hit financial markets, we decided to hold more frequent Investment meetings and provide you with regular updates on our thoughts and discussions from a portfolio perspective.
The key question we asked ourselves during these meetings was: when is the right time to take a more positive tilt towards risk assets given the material market pull-back we have experienced? When we assessed our Dynamic Asset Allocation (DAA) models, it was clear that valuations across most risk assets had improved materially over recent months. The biggest unknown was to what extent the market had priced in the impact on company earnings.
In terms of policy, liquidity conditions improved over the month as central banks and governments reacted quickly via monetary and fiscal backstop initiatives. Most notable was the US Federal Reserve's decision to extend their bond purchasing program to investment grade credit, which significantly improved liquidity conditions in global credit markets. From a cyclical perspective, our expectation is that economic news will be negative as it tends to be lagging in nature, and from an overall sentiment/risk perspective our indicators showed an improvement (decline in risk), although risk indicators such as the VIX remain at elevated levels.
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Barry, retired business owner" Until I met the team at Axiom, none of the older and larger financial advisors seemed to understand how to work to meet client needs. I always got the feeling that I had to fit their systems and only hear about their products. I could never get the information I needed. The financial planning industry seemed preoccupied with regulation, meeting internal objectives and lost in legacy systems not in tune with the changing superannuation investment environment. " - Tony, ASX Company Director
" As the Managing Director of a listed company I needed to know that my family's financial affairs were being managed expertly, timely and cost effectively. Through their non - aligned ownership structure I know Axiom are doing what is in my best interests whilst their systems bring best of breed performance from managers and product providers that really suit my needs. " - Bill, Private Investor
" We were having some second thoughts about our adviser of the time and a friend referred us to Axiom. They listened to our situation, took on board our lifestyle and financial objectives and came up with a strategy that provided for a significant increase in our after-tax returns; without taking on a lot of extra risk. " - Jennifer, CEO
" It's so important to find the right adviser one who you can genuinely rely upon to do the right thing by you. I've been investing through Axiom for some time now and have benefited from some excellent returns. Everyone at Axiom is always really helpful and I sleep well at night knowing these guys are managing my investments. " - Andre, Managing Director
" Axiom were referred to us as a financial advice group with a difference. We were initially sceptical, because we had been victims of prior financial advisers whose main goal seemed to be finding innovative ways to increase their fees without adding much value to our portfolio. After the initial meeting, we came away with a feeling of clarity we had not experienced before. " - David, Private Investor
" I had been managing our personal investments and superannuation fund for the past three years following separation from our previous adviser. Whilst satisfied with portfolio results I was somewhat reluctant to let go of control again however we were approaching a period where specific structural and taxation guidance was required. Whilst our involvement with Axiom commenced on a limited basis, over time the relationship and confidence has grown to the extent that Axiom now fully manages our financial affairs ." - Tanya, Retired business owner
" In my prior life, I only invested in bricks and mortar as a busy mother and businesswoman I had little time left over to do anything else. Then as a consequence of giving up my career I began my own Superannuation Fund and pension. I also began an earnest search for the right person to help me with my investments. I scoured Canberra and Sydney for suitable financial advisors, big investment houses and super funds, to no avail nothing and no one suited me until I was introduced to Axiom. " - Peter, Retired Businessman
" The Axiom team have guided and structured my investment strategy and achieved the maximum return for my investment dollars in line with my life goals. They have rare skills and commitment in helping their clients formalise a budgeting plan and have been a delight to deal with. It makes me wonder why people try to manage their own investment and create unnecessary stress for them selves when they could enhance their life by using someone like Axiom to do it all for them. " - John, Retired CEO
" Our association with the Axiom team has been a remarkable experience. The intricacies and complexities of superannuation and market investing as we all know can be a minefield. With their support, advice and guidance, access to quality market research and the availability of user friendly investment management systems, investing for us in the various markets has ensured that our returns have been maximised at every opportunity. "