Quarterly Client Letter – 2021 Q1

Brent Urbach |

My, what a quarter it’s been. At work and play, who isn’t eager for this summer to be the most awesome one ever?  

We’re seeing similar pent-up yearnings in an array of analysts’ second-quarter financial forecasts: 

A second coming? That last one may take the prize for being the most aspirational of all. 

Now, think back to April 2020. A year ago, fear was tempting many investors to pile into safe-harbor holdings, even as most markets staged remarkably strong and surprising recoveries.   

This year, we’re seeing many of those same market players chasing all kinds of hot holdings, as they now succumb to the absence of fear. Consider these quarter-end headlines: 

In its quarter-end recapThe Wall Street Journal summarized similar sentiments as follows: 

     “If there is a unifying theme to all this, it is that investors big and small showed no fear of risk-taking to start 2021. In fact, they embraced it.” 

Sometimes, an extra shot of bravery is just what the doctor ordered. “No fear,” you tell yourself, as you enter your first marathon. Or launch a new business. Or hug your college-bound child farewell.  

That said, to all things balance. No fear can be at least as damaging as an excess dose. That’s often true in life. It’s true in investing too, where it’s always best to maintain an accurate assessment of the potential risks and realistic rewards involved in any given approach.  

We hope favorable markets continue. But investing is no game of chance. If you were a client of ours last April, we were honored to be by your side, to remind you that your disciplined investment strategy was already in place. Your globally diversified portfolio was already structured to help you maximize expected returns while minimizing the risks involved.  

At the time, we encouraged you to stick to plan. Today, we encourage you to do exactly the same. Markets may run hot or cold. The scenery may be different. But your financial journey remains the same.  

Excel Financial 


Excel Financial is registered as an investment advisor with the United States Securities and Exchange Commission (SEC), and only transacts business in those states in which it is properly notice filed or in which it qualifies for an exemption or exclusion from notice filing requirements. Nothing in this material should be construed as a solicitation or offer, or recommendation, to acquire or dispose of any investment or to engage in any other transaction. 

All written content is for information purposes only.  It is not intended to provide any tax or legal advice or provide the basis for any financial decisions.  The information contained herein has been derived from sources believed to be reliable but is not guaranteed as to accuracy and completeness and does not purport to be a complete analysis of the materials discussed.