April brought a solid rebound that more than made up for the dip we saw in March.

U.S. earnings were especially strong, with tech companies once again leading the way. The strongest performers were momentum and high-beta stocks, as both retail investors and hedge funds favored riskier options. The “buy the dip” mentality is still going strong.

For Canada, early earnings reports have led to a quieter rally. Senior living companies and banks contributed the most, while energy saw a small gain as hopes for peace led to lower oil and gas prices—though prices are still higher than before the recent conflicts.

 

Here are some key highlights for April:

 

To Infinity and Beyond
April’s tech earnings reignited interest in artificial intelligence. The semiconductor index jumped 49% for the month, mainly driven by companies making computer memory and CPUs. As demand for AI grows rapidly, building the necessary infrastructure is causing shortages in critical computer parts. Since supply can’t keep up, basic economics suggests prices will rise. April’s earnings reports showed this clearly, catching many analysts—including us—by surprise. While the chip industry is known for its ups and downs, we’re currently in a strong phase. However, this is driving up the overall cost of AI development, and it’s unclear how long these supply shortages will last.

We’re not planning to chase these high-flying stocks right now, as they seem overbought, but we’ll keep monitoring the situation closely.

 

The Straight of Ho Hum
Despite the excitement around AI and new stock market highs, the ongoing crisis in the Strait of Hormuz has been largely overlooked. Many expected the strait to reopen in April after a ceasefire, which led to falling oil and gas prices. But as of early May, it’s still closed. Oil prices are starting to rise again because of continued supply pressure, and neither side seems willing to compromise. If this continues, it could have a major impact on the global economy, as temporary solutions to the supply disruption are running out.

We’re also seeing higher inflation expectations, lower consumer confidence, and rising bond yields—all of which put additional pressure on the economy.

 

Adding to the HALO Trade
The closure of the Strait of Hormuz has once again shown how sensitive global industries are to supply shocks. While the impact on oil and natural gas prices is clear, the strait is also a key route for other essential goods like fertilizer, aluminum, and helium.

When you combine these supply constraints with growing demand for AI infrastructure, climate change impacts on agriculture, and the long time it takes to increase supply, commodities are becoming more attractive. Hard Asset Low Obsolescence (HALO) assets—like energy, metals, and agriculture—are the opposite of the AI trade.

Looking back at the tech bubble of 2000, energy, emerging markets, and commodities outperformed for nearly a decade after the bubble burst.

If we look at a mix of one-third energy, one-third metals, and one-third agriculture, commodities offer several benefits:

•    Low correlation to stocks, bonds, and to each other
•    Strong performance in late economic expansions and early recessions
•    Outperformance during inflationary periods
•    Currently undervalued compared to historical averages
•    Years of underinvestment, making new supply slow to come online
•    Ability to invest directly in the commodities, not just the companies that produce them
•    Opportunity to diversify across various commodities

With all this in mind, we’ve made an initial investment in a commodities fund that holds the actual commodities themselves.

 

If you’d like more information, please feel free to reach out.

 

Experience our New Website

A Refined Experience, Thoughtfully Reimagined

 

We are pleased to welcome you to the newly refreshed experience at The Applegath Group, thoughtfully redesigned to better reflect the level of care, strategy, and personal attention that define every client relationship. More than a visual update, this evolution was created with intention, offering a clearer window into who we are, how we serve, and the experience clients can expect when working with our team.

We invite you to take a few moments to explore the highlights of the new site, particularly our featured video, which beautifully captures the heart of our philosophy and the personalized approach behind every client journey.

•    A refined and elevated look that reflects the sophistication of our client experience
•    A featured video offering a more personal introduction to our team and values
•    Enhanced insight into our philosophy, planning approach, and long-term vision
•    Streamlined navigation for a more seamless and engaging experience
•    Thoughtful resources and updates designed to keep clients informed and connected
•    A stronger reflection of the hospitality, trust, and relationships at the center of everything we do

We hope you enjoy exploring the new experience as much as we enjoyed creating it for you.

 

T.A.G. Team Spotlight

Susy Fossati, Financial Associate

 

With more than 25 years of experience in marketing, event planning, and client service, Susy brings a highly refined and relationship-focused approach to her role at TAG, where she has been an integral member of the team since 2000. Her longstanding collaboration with Lisa and Tom, spanning more than 25 years, has helped shape the thoughtful, elevated client experience that defines the team today.

Known for her warmth, professionalism, and attention to detail, Susy oversees many of the client-facing touchpoints, from events and communications to appointment coordination and personalized client support. Her background in fine arts, luxury event planning, and hospitality allows her to approach every interaction with both creativity and care, ensuring each experience feels seamless, polished, and genuinely meaningful.

Susy also brings a distinctive expertise in modern etiquette and professional presence. She completed etiquette training at the renowned Institut Villa Pierrefeu in Switzerland and is the founder of Avignon Etiquette.

Outside of work, she loves cooking, travelling, listening to business podcasts, enjoying a a nice glass of Piemontese wine (Dolcetto, anyone?) trying new restaurants (her son recently moved to Italy to pursue his culinary dreams…it runs in the family), and reading and writing.

 

Willful

 

 

Willful is a trusted Canadian online platform dedicated to making estate planning simple, secure, and accessible for everyone. With Willful, you can create legally valid wills and other important documents in just minutes, all from the comfort of your home. 

The platform guides you through an intuitive questionnaire, ensuring your wishes are clearly documented and compliant with provincial laws. Unlike traditional estate planning, which can be costly and time-consuming, Willful offers a streamlined and affordable solution that removes the guesswork and complexity. 

By using Willful, you gain peace of mind knowing your loved ones are protected and your estate affairs are organized. Whether you’re starting your estate plan for the first time or updating an existing one, Willful empowers you to take control of your legacy with confidence and ease.

For more complex needs or assistance, please speak with a member of our team to discuss your own personal situation.