HomeResearchMacroHow Small Investors Can Hit it BIG in Financings and Private Placements

How Small Investors Can Hit it BIG in Financings and Private Placements

After seeing it firsthand 20 years ago for the first time…

I was blown away by the results of one particular investment tactic.

Seeing this for myself was my first real insight into how a few well-connected investors can gain extraordinary wealth in bull markets.

And make doubles, triples, and 5x their money… even in bear markets.

As I found out nearly 20 years ago – and have repeated many hundreds of times since then – there is, in fact, a secret to it.

A secret I’m going to share with you today.

In short, they take advantage of this obscure market security – called Equity Financings and Private Placements.

It’s a little-known investment that’s usually off-limits to regular investors.

Even though they’re publicly issued, these investments are essentially “invitation-only” and fill up fast.

I was hooked since the first time I found about it in the early 2000s…

You’ll almost never hear private placements discussed on CNBC. And you’ll never see their secret symbol pop up on YahooFinance, MorningStar, or anywhere else.

They’re completely off the radar of people that even pay close attention to the markets.

In fact, as far as I can tell, these deals are completely off the radar of the mainstream media.

And I should know.

I’ve been featured on Forbes, Yahoo!, CNN, Bloomberg, and many other outlets and I’ve been a leader in the resource industry for nearly 20 years…

Not once have I ever seen private placements mentioned. I’ve never even been asked about them in any of the interviews I’ve done.

  • It’s why many people tend to think they’re only available to insiders, or wealthy investors.

But as I’ll show you – it’s actually easy to tap into them…

…once you know how.

Fellowship Winners How Equity Financings and Private Placements Work

When companies need to raise money to do things like building solar farms, wind farms, drill for oil, explore for gold or uranium, or develop a gold mine…

They often do it through “private placements”.

They do this to raise money from high-net-worth investors who understand the opportunity and risks.

A private placement also allows a company to sell shares to investors that are not listed on the stock exchange yet, but will be shortly.

In a private placement, companies typically offer shares at a discount to the current market value. This discount is often in the 5% – 25% range.

The price of shares and the dollar amount raised is negotiated in advance.

For large investors, negotiating the price and the amount invested in advance is a huge positive.

It means they can acquire large blocks of shares without dealing with the market’s day-to-day fluctuations.

It means the share price can’t “run-away” and shoot 25% – 50% higher while a large investor is trying to acquire a position.

Being able to acquire a large number of shares in a company at a set discounted price is enough to make private placements a very attractive investment vehicle for both large and small investors alike.

The truth is that even regular folks can hit it big in these kinds of deals…

For example, I encouraged a friend of mine, M.T., to invest in the Ryan Gold private placement we did a few years back.

The result?

His MBA paid in full—all from an initial investment of less than $5,000:

“On Marin’s recommendation, I invested $4,800 in a private placement with Ryan Gold. He turned out to be right, and the company soared in value. I sold my stake for more than $150,000, which paid for my MBA.”

Another friend of mine, M.S., got into another one of these deals. He told me:

“In 2010, I got into the Bayfield Ventures private placement. Within five months, my $2,500 investment turned into $11,080, a 343% gain.

I also invested in the Challenger Deep deal. I turned $2,500 into $14,310.

My only regret is not putting more money into your ideas.”

But there’s another aspect of private placements that makes them even more lucrative…

Like icing on the cake.

It’s a very unique “add-on bonus” that can make you significant money (as it has for me) WITHOUT any additional capital or RISK.

(I’ve literally woken up some mornings, checked my brokerage account for this “add-on bonus” that I forgot I had, and it was up several hundred percent).

Tomorrow, I will teach you about one of the most powerful upside kickers in the world.

It’s a way to amplify and supercharge your wealth and profit in these situations…

And when it hits, it can really change your life for the better.