R.W. Rogé & Company, Inc.
Director of Research and Portfolio Manager
As the Director of Research and Portfolio Manager at R.W. Rogé & Company, Inc., Steven Roge provides the investment committee with research, investment and portfolio allocation recommendations. He is the lead portfolio manager and helps to implement and refine the ResearchEdgeTM process, which drives all of the investment decisions. Steven also serves on the firm’s Research and Investment Management Committee, and is responsible for the oversight of the firms operations and management, as well as business development and client relations.
Frequently quoted in the national and local press and media, Steven’s articles and commentary have appeared in The Wall Street Journal, BusinessWeek, Kiplinger’s Personal Finance, Smart Money, Bloomberg, The New York Times, Dow Jones Newswires, Newsday, TheSteet.com, Fox Business News, U.S. News and World Report, Barron’s, Investment News, Financial Advisor Magazine, BottomLine Personal, The Wall Street Journal Transcript, CNBC’s “MSN Money,” and more. In addition, he has appeared on Fox Business Network, Fox News and CNBC as an expert stock picker.
Steven is married with two children, Benjamin and Samantha, and runs our Beverly, MA office.
MA, Business Administration, Babson College Graduate School of Business
BS, Finance and Economics, Bryant University
According to OPEC monthly oil reports demand and supply for oil continues to increase and hasn’t had a decrease since the Great Recession in 2008/09. The rate of growth in demand seems to be growing around the same rate as inflation, or around 2%. However we do believe there has been a fundamental shift in the energy industry over the past decade. We’ve seen technology do to this industry as we’ve seen with other high margin industries in history. Technology has stabilized the supply of energy by improving the methods of extraction, particularly here in the U.S. with fracking. In addition we’ve seen supplemental sources of energy come on-board such as natural gas, solar, wind, etc. Going forward, all these new alternative energy sources limits the amount of excess profit that the oil industry can achieve for any meaningful amount of time. The oil sector is around 9% of the S&P 500 and we expect that to decline gradually over time as it only increases at the rate of inflation like other commodity businesses. However, like most sectors it can become hot and cold for long periods of time and defy logic.
This is a question we get often from retirees, and there are several ways to look at it. The short answer is yes, a well-diversified portfolio of higher-quality dividend paying stocks has historically been able to generate reasonable amounts of income over time. We would generally advise utilizing a number of low-cost dividend index funds that will help you diversify your assets. There are some low-cost funds that pay monthly dividends instead of quarterly to help provide an even more consistent income stream. However, we generally recommend a diversified portfolio of stocks, bonds, and money markets, and draw a reasonable amount from that portfolio over time, usually no more than 4% of your total portfolio’s value. It’s best to work with a professional advisor to find an appropriate asset allocation and withdrawal an amount that will work for you.
You will report your capital gains when you fill your taxes and pay them along with federal and state taxes.
Interesting question! Although it might seem like many advisors focus on older generations, I would argue that’s not the case for all advisors. In fact, I can think of a few off the top of my head that solely market to younger generations, like Millennials. Other companies have financial solutions for every age. My company, for instance, has services appropriate for high net worth Baby Boomers, but we also offer services like online automated investment management tools for younger savers. Regardless of age, the time to start saving and planning for the future is right now.
Total return is the best indicator of an investments return, assuming no inflows or outflows during the period of time you are looking at. Total return takes into account capital appreciation and income from the investment. Calculating the return for a whole portfolio can be trickier, but it is generally accepted that Time Weighted Rate of Return (TWRR) is the best indicator of your portfolio’s performance. TWRR takes into account cash coming in and out of the portfolio, as well as, multiple purchase or sales of investments over a given time period.