Stephen Taddie

CBE™, CFM
Personal Finance, Retirement, Investing
89%
Helpful
43
Answers
9
Articles
25
Followers
“Stephen Taddie, a 30 year veteran in the investment industry is the Managing Partner and Chief Economist for Stellar Capital Management. His investment responsibilities include applied economic research which influences sector and industry weightings.”
Firm:

Stellar Capital Management, LLC

Job Title:

Managing Partner

Biography:

Stephen Taddie is co-founder and Managing Partner of Stellar Capital Management. His primary investment responsibilities involve establishing the firm's economic outlook and forecast and using that research to provide input to the Investment Committee regarding asset allocation, sector, and industry weighting decisions for stocks, and yield curve analysis for bonds.

Stephen has over 30 years of professional experience in the investment field. Beginning his career as a Merrill Lynch Financial Consultant in Arizona, he finished his brokerage industry tenure in branch management with Prudential Securities on the East Coast. In the early 1990's he established a Phoenix, Arizona branch office for a mid-sized investment advisory firm, and in the late 1990's established S.J. Taddie, Inc., Investment Counsel, prior to co-founding Stellar Capital Management in July of 2000. He has worked with a select group of clients ranging from publicly traded corporations, government entities, and Native American Indian Tribes, to high net worth individuals and families across the country. He is frequently asked to speak on economic and investment management trends, has authored numerous articles and has often been quoted on the same subjects.

Stephen is a member of the National Association for Business Economists (NABE), a Panelist for the NABE Outlook (National Forecast) and the NABE Financial Industry Roundtable, the Western Blue Chip Economic Panel, the Arizona Blue Chip Economic Panel, and a member of the Arizona Legislative Finance Advisory Committee. He is a member and Past President of the Arizona Economic Round Table, a member and Past President of the Central Arizona Estate Planning Conference, a member of the CFA Institute and the Phoenix CFA Society, and an Arbitrator for FINRA. He is a past member of the Economic Club of Phoenix, the Western Pension & Benefits Conference, Arizona Town Hall, and the Madison School District Financial Oversight Committee. He has served on the Executive Board of the Desert Botanical Gardens Foundation, the Advisory and Executive Boards of the Foundation for Burns & Trauma, the Executive Boards for the Foothills Foundation, the Phoenix Camelback Rotary Club, and the Finance Committee for the Desert Botanical Gardens. He has also volunteered with Junior Achievement and coached youth sports teams.

Stephen holds a Bachelor of Science degree in Business and Economics from Lehigh University, and a Master of Business Administration from the University of Phoenix. He has earned The Certified Business Economist™ (CBE™), which is the certification in business economics, and data analytics developed and owned by the National Association for Business Economics, and the Certified Financial Manager (CFM), which is the certification in financial management issued by the Merrill Lynch Institute, Donald T. Regan School of Advanced Financial Management.

Education:

BS, Economics, Lehigh University
MBA, University of Phoenix

Assets Under Management:

$375 million

Fee Structure:

Percent of assets managed

CRD Number:

1358566

Disclaimer:

Different types of investments involve varying degrees of risk, and there can be no assurance that the future  performance of any specific investment, investment strategy, or product made reference to directly or indirectly in newsletters, articles, or responses to questions, will be profitable, equal any corresponding indicated historical performance level(s), or be suitable for your specific situation.  Due to various factors, including changing economic or market conditions and regulations, the content may no longer be reflective of current opinions or positions.  Moreover, you should not assume that any discussion or information serves as the receipt of, or as a substitute for, personalized investment advice from Stellar Capital Management, LLC. To the extent that a reader has any questions regarding the applicability of any specific issue discussed above to his/her individual situation, he/she is encouraged to consult with the professional advisor of his/her choosing. Please remember that past performance may not be indicative of future results. A copy of our current written disclosure statement discussing our advisory services and fees is available for review upon request.

Videos
  • Investopedia Video: What Are Stocks?
All Articles
Sort By:
Most Helpful
January 2017
    401(k), Retirement Savings
January 2017
    Investing
January 2017
    401(k), Retirement Savings
December 2016
    Investing
September 2017

All Answers
Sort By:
Most Helpful
    Financial Planning, Retirement, Bonds / Fixed Income, Choosing an Advisor
What are the best fixed-income investments for someone that has immediate income needs, and is also approaching retirement?
100% of people found this answer helpful

While income investing in a rising interest rate environment is challenging there are few tools that we use that have proven successful:

1. Bonds with "step-up" coupon structures. These types of bonds increase the coupon rate as the bond nears maturity, the initial rate, the magnitude and timing of the coupon rate increases are important and require the adviser to have an educated opinion regarding the future shape of the yield curve to determine which of the various step-up structures is best at this time.

2. Bonds with fixed-to-floating rate structures. These types of bonds offer a set coupon rate for a period of time, then the coupon rate floats at a rate above a specified benchmark (e.g. 3-Month Libor). The drawback is that these types of bonds typically have perpetual maturities. That said, given the right float rate, an income investor may not care. Here again, the initial coupon rate, and the spread of the float above the benchmark is important, and, don't forget about bond quality. You want to make sure the company is around to make payment of those lofty rates in the future....

In this category, I would include preferred stocks, as they behave much like bonds, but are lower on the capital structure of the issuer. The details of preferred stocks are important, such as cumulative or non-cumulative dividends, ordinary or qualified dividends (drives the taxability of the dividends). Preferred can offer fixed, floating, and a variety of hybrid type dividend structures that can fill a void in an income investors portfolio.

3. Stocks. Typically, not something that is first choice for a bond investor, but stocks pay dividends (read income), many dividends have preferential tax treatment, and many typically increase those dividend payments over the years, so an investor's income can rise keeping up with, or beating inflation. The drawback here is volatility of investment value, and this can be a show-stopper for an income investor that is more used to bonds. One has to rembemer that volatility it a two-edged sword; with negative volatility equaling losses and positive volatility equaling gains. Longer term, meaning over 5-10-15 year periods, stock have made a solid contribution to many a retiree's portfoio.

It is typically a combination of the above investments that makes up a successful long-term income portfolio.

Hope this helps,

Steve

July 2018
    Debt, Retirement, Estate Planning
Should I pay off all my debt at once with the inheritance money I am receiving?
100% of people found this answer helpful
July 2018
    Retirement, Investing, Bonds / Fixed Income, IRAs, Stocks
If I invest 50/50 in stocks and bonds with my retirement account, is it possible to still have the same amount that I put into it after 30 years of retirement living?
100% of people found this answer helpful
July 2018
    Retirement, Investing, IRAs, Taxes
Should I cash out my IRA to buy investment property?
100% of people found this answer helpful
July 2018
    Financial Planning, 401(k), Asset Allocation, Real Estate
Should I change my asset allocation strategy?
100% of people found this answer helpful
July 2018