Dave Forest'S Warrants Master Course

DAVE FOREST’SWARRANTSMASTER COURSEBY DAVE FOREST, EDITOR, STRATEGIC INVESTOR

Strategic InvestorWARRANTS MASTER COURSETABLE OF CONTENTSIntroduction to the Warrants Master Course. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3Module #1: Warrants 101 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4Module #2: Finding Warrants in Your Online Broker . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6Module #3: How to Buy and Sell Warrants. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9Module #4: The Best Warrant to Buy Right Now. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 152

Strategic InvestorWARRANTS MASTER COURSEINTRODUCTION TO THE WARRANTS MASTER COURSEWelcome to Dave Forest’s Warrants Master Course.In this Master Course, you’ll see what warrants are how they’re unique and powerful profittools and – most importantly – how to buy and sell them with your existing brokerage account.First thing, why warrants?Simple: Because warrants are truly a tool for transformative wealth. Time and time again, we’veseen gains like: 161% gain in 4 days 2,117% in 6 months 2,233% in three months 393% in 10 months 2,805% in less than two years 4,942% in 20 months. that’s a 40-bagger.Most mom-and-pop investors will never get a chance to see these types of gains or invest inthis tiny, but extremely lucrative portion of the market.Because the big money wants to keep it for themselves.But Dave is going to unlock this area for you.The types of gains mentioned above in such a short time period are almost unheard of unlessyou’re in a risky part of the market like cryptos or options.But warrants aren’t either of those things. And although they are speculations which arepositions we recommend putting small money to work in they’re still by far one of the bestand safest risk/reward setups in the market.And why the small money? Well it’s because in this exclusive, mostly unknown area of privateinvestments, small money is all you need to make life changing gains.Buckle up, get comfortable, grab a pen and paper, and let’s work through these lessons, startingwith Warrants 101.3

Strategic InvestorWARRANTS MASTER COURSEMODULE #1: WARRANTS 101Welcome to Warrants 101.If you’re here, you already know about the explosive power of warrants, and want to make theselife changing gains for yourself.In this lesson, we’re going to cover: What warrants actually are How and why they’re created And how they can shoot up hundreds or thousands of percent, while the underlyingstock doesn’t move as much.Let’s get started.I like to think of warrants as a sort of penny stock play on a bigger company. And penny stocksare often great, explosive speculations.See, publicly traded companies have their stock But sometimes, they run on hard times or need to raise capital quickly or go public bymerging with a Special Purpose Acquisition Company, or SPAC for short.And then, a company issues warrants which can sweeten the deal when this happens.Often, these warrants are offloaded by private investors to take some of their initial risk off the table.But they are valuable Because warrants give the holder the right to buy a share of a company at a specified priceduring a specified time frame, often for less than the current price of the stock.So here’s a real example. If you have a warrant that says you can buy shares of Zions Bancorp for 36.27 apiece at anytime during the next 10 years and Zions trades at 52 apiece 8 years later then you can “exercise” your warrants which means pay the price to convert them to normal,conventional shares and then you can sell the shares back to the market, and make money.But that takes a long time, and it makes profiting off warrants far more complicated than necessary.But that’s where our gain lies because most people have no idea of the simplest way to makemoney from warrants, which we’re cracking wide open for you in Strategic Investor.Here’s the big secret feel free to write it down.4

Strategic InvestorWARRANTS MASTER COURSEWe’re simply going to buy and sell warrants, just like any normal stock. And we’ll have thechance to make higher gains with less capital at stake and less risk.Take Zions Bancorp (ZION) mentioned above.When the 2008 financial panic happened, the company issued warrants because it needed toraise money quickly.Then they hit the market.And while ZION stock went up 60%, the warrants went up 3,000% more than the company’snormal, everyday stock.And you may think there’s some crazy way you have to buy them, but I promise, you can do this justas easily as buying any stock in your online brokerage account, but we’ll get to that in Lesson 3.In short we don’t want you to worry about exercising warrants or doing anything unnecessaryand overly complicated.We’re going to make huge gains just by trading the warrants on the open market.And lots of these warrants have a long time until their “expiration date.” This means thecompany has a long time to hit potential profitable catalysts which will cause the prices of theirshares to go up But will cause their warrants to absolutely skyrocket.I can’t wait for you all to find out how easy it is to get into this life changing niche of the market.In the next lesson, I’ll show you how to find these warrants in your online broker We’ll just“spot the W” .5

Strategic InvestorWARRANTS MASTER COURSEMODULE #2: FINDING WARRANTS IN YOUR ONLINE BROKERGenerally, the easiest way to find a company’s warrant is to simply type the company’s nameinto your online broker’s search bar.Of course, different brokerages will offer a different experience some may be more userfriendly, or some will charge a fee to buy warrants (like TD Ameritrade) whereas some won’t(like Charles Schwab).(Keep in mind we don’t have vested interest or receive any kickback based upon which brokeryou use we just want to give you the facts.)And warrants show up differently across exchanges When a warrant is listed on an exchange, its ticker symbol will often be the symbol of thecompany’s common stock ticker with a W or a .WS added at the end.For example, Vivint Smart Home, symbol VVNT, has warrants listed on the Nasdaq under thesymbol VVNT.WS.6

Strategic InvestorWARRANTS MASTER COURSEAnd on the Charles Schwab mobile app, the Vivint warrants stick pretty closely to thatformula with a “back slash” WS instead of a “dot” WS:However, on the TD Ameritrade mobile app, the Vivint warrants are listed with a “plus” sign,like this:Now, some warrants will use a conventional-looking symbol – no backslashes, or periods, orplus signs.For example, Hostess has a ticker symbol of TWNK. Its warrant symbol is TWNKW. Here is ascreenshot from TD Ameritrade on the mobile app.7

Strategic InvestorWARRANTS MASTER COURSEBut again, one of the easiest things to do is just type in the symbol for the underlying stock, andthe warrant should pop right up.And you’ll notice that each of the example warrants have “exp” with a date next to it that’s an“expiration date” which all warrants have.When we recommend warrants, we’ll always give you the expiration date, ticker symbol, and abuy up to price however Oftentimes brokers do NOT have the most up-to-date research and information on theirwebsites. For example, they may have the expiration date listed incorrectly.But you pay us for our research.Our team uses a Bloomberg terminal, the most expensive and elite research tool out there. Wescour the company filings and SEC records.You can be confident that we provide you with the correct information.But if the expiration date on your broker doesn’t match our recommendation, don’t worry aboutit. If you type in the company’s name, and find the associated warrant as we’ve shown above,you will be buying into the correct play.Then after you’ve located the warrant you want to trade, just click on the warrant to buy it (orsell it) just as you would for any conventional stock.We’ll cover this in depth in our next lesson.8

Strategic InvestorWARRANTS MASTER COURSEMODULE #3: HOW TO BUY AND SELL WARRANTSThere’s something I want us to get out of the way, first and foremost and that’s the conceptof “exercising warrants.” I’m sure several of you have questions about exercising warrants butI want to tell you right now, that the best way to make money from warrants is not exercisingthem. So we won’t be doing that in Strategic Investor.Why? Because it’s confusing, and often not as lucrative as the method we use.At Strategic Investor, we will be buying warrants basically like penny stocks at a low price.And we’ll sell them when they rocket up on a catalyst before the expiration dates.It’s worth repeating: we’ll be treating warrants just like any explosive stock. Buying low andselling for massive gains.No confusing process for exercising warrants, and you don’t have to worry about the expirationdates. We’ll sell our position before then.Okay. I’m glad we got that out of the way.So now that you’ve found the warrant in your online brokerage account using the steps in lessontwo, it’s time to buy your position.But first, you must decide how much to invest and it’ll be different for everyone.It’s very important that you control your risk in any of our warrants – or other picks in ourspeculator’s corner portfolio – by position sizing appropriately. That means, only bet a smallamount. Only speculate with money you can afford to lose.After you’ve decided how much to invest, go into your brokerage account Find the warrant, Click the “buy” or “trade” button, Specify how many warrants you want to buy, Make sure you adhere to our buy-up-to guidance, And be sure to use a limit order. Do NOT enter “market price.”For those of you who don’t know, a limit order is a type of order to purchase or sell a security (inthis case, warrants) at a specified price or better. For buy limit orders, the order will be executedonly at the limit price or a better (lower) one. In short, a limit order allows you to get the bestprice on these warrants.9

Strategic InvestorWARRANTS MASTER COURSEFor example, if our buy-up-to guidance is 5 and a warrant is currently trading at 3.50, putyour limit order near 3.50. This way, you’ll get that price or better. And if our buy-up-to priceis 5, and the warrant is trading at 5.10 then 5 is the price point for your limit order.Patience is how we make money.And make sure you use the time in force, “good til canceled” option, rather than just a “day” order.Let’s go through a few examples.Here’s the Purple Innovation warrants in my TD Ameritrade desktop account. To be clear, wedo not recommend you buy this warrant, it is just a good example.To buy the warrant, first confirm we’re looking at the company’s warrant 10

Strategic InvestorWARRANTS MASTER COURSEThen click the “buy” button Then we’ll enter the number of warrants we want to buy in this example, 50 11

Strategic InvestorWARRANTS MASTER COURSEThen, from the “order type” drop down list, we’ll choose “limit.”And we’ll enter the limit price, in this example, let’s assume our buy-up-to guidance was 8.65.So, I chose the market “asking price.”12

Strategic InvestorWARRANTS MASTER COURSEThen, from the time-in-force drop down list, I chose “GTC” which means, “good til canceled.”That means if my order isn’t filled today I can be patient and wait for the price to come to me,without reentering a new order every day.Then, click “review order” and then, “place order”.13