ABOUT STEVE SHAW, OUR FOUNDER & PRESIDENT
Steve Shaw is responsible for all of BondSavvy's corporate bond investment recommendations and educational content. His experience over three key areas has prepared him to help people make successful corporate bond investments:
- 20 years of experience analyzing and valuing hundreds of companies and businesses
- Keen understanding of bond markets and trading systems
- Strong performance of his own corporate bond investments
During his 20-year career, Steve has evaluated investments in, and acquisitions of, hundreds of companies in a wide variety of industries, including cable, broadcast television, big data, mobile, Internet, telecommunications, social media, financial technology, financial services, and retail. As an investment banker and a senior executive of media and financial technology companies, Steve led business due diligence, valuation and financial analysis, and deal negotiations across a variety of successful transactions.
In addition to his investment experience, Steve has deep knowledge of the bond markets, having worked for two leading fixed income electronic trading technology companies, including when he was Head of Tradeweb Direct, which he led through a period of strong growth.
As he learned more about how the corporate bond market worked, Steve began investing in individual corporate
bonds. His significant experience in financial analysis and his understanding of how corporate bonds
are traded helped him create a method he follows when making corporate bond investments. This method has
driven strong investment returns and laid the foundation for BondSavvy.
WHY WE CREATED BONDSAVVY
Steve Shaw launched BondSavvy to solve a crucial investment problem: investors continuing to overlook individual corporate bonds as an investment opportunity. We believe this problem has persisted due to investors not being well equipped to successfully capitalize on these investments. A key cause of this is large financial institutions having an incentive to keep their clients in expensive recurring-fee products such as bond mutual funds, even if they do not offer clients the best potential return. Mutual fund fees are typically more lucrative to financial companies than one-off commissions on individual bond transactions, especially when investors hold bonds to maturity.
We believe the continued placing of clients into bond mutual funds – in lieu of individual bonds – represents a conflict of interest for financial institutions and a missed opportunity for investors. To illustrate, through $220,000 of corporate bond investments across 13 different bonds and 18 transactions, Steve paid a total of $355 in commissions and markups while executing trades using online brokers from January 2013 through June 2017. During this time, he generated annualized returns of 23.2% in high-yield and 9.3% in investment-grade corporate bonds. Had he invested this money in bond mutual funds, he would have achieved worse performance and paid tens of thousands of dollars in fees for that underperformance. Unfortunately, many investors do this day in and day out.
BondSavvy seeks to put investors on an even playing field with Wall Street. We will provide investors with simple, easy-to-understand analysis that will help them make successful investments in individual corporate bonds. Above all, we will put the control and the money back in the hands of the people who have worked so hard to earn it.