Unlocking Warren Buffett’s Hedging Secret: A Review of the StratagemTrade Hedged Portfolio Class
Let me tell you about a feeling. It’s the feeling of being a smart, disciplined, and long-term investor who is, despite doing everything right, still completely terrified. You’ve built a solid portfolio of good, quality stocks. You’re in it for the long haul. But you have this deep, gnawing, and unshakable feeling of dread in the pit of your stomach, the feeling that you are just one black swan event, one market crash, one unpredictable global crisis away from watching a decade of your hard-earned savings get wiped out in a matter of weeks.
I have been there. I have lived in that quiet, desperate state of investor anxiety for years. We are taught to just “buy and hold,” to “ride it out.” But the world of 2025 is not the same as the world of 1985. The market is faster, it’s more volatile, and it is more interconnected than ever before. Just “holding on and hoping for the best” feels less like a strategy and more like a prayer.
It was in that state of deep frustration, of feeling like my portfolio was a beautiful, but deeply vulnerable, ship sailing in a sea of sharks, that I started to look for a better way. A smarter way. Not just a way to grow my money, but a way to protect it. A real, professional-grade hedging strategy. And that’s what led me down a very interesting rabbit hole, and to a very bold, and almost unbelievable, claim from a company called StratagemTrade.
They were offering a one-day, intensive class on a specific hedging method, a method that, they claimed, was one of the best-kept secrets of the world’s most successful investor: Warren Buffett. My first reaction, of course, was a deep, cynical, and almost visceral eye-roll. “Warren Buffett’s secret?” Yeah, right. The man’s entire philosophy is famously simple: buy good companies and hold them forever. There are no secrets. But then, they presented a paradox, a puzzle, that I couldn’t ignore. And that puzzle is the key to understanding the profound power of what they are teaching.
Who is J.L. Lord (Scott) and Why Should You Listen to Him?
Before we get into the strategy, let’s talk about the man behind the curtain. Because in the world of trading education, which is an absolute minefield of charlatans and get-rich-quick gurus, the credibility of the instructor is everything. The class is taught by a man named Scott, who is better known in the professional trading world by his nom de plume, J.L. Lord.
This is not a YouTube influencer who just started trading crypto last year. This is a retired Chicago Board Options Exchange (CBOE) floor trader with over 20 years of real-world, in-the-trenches experience. This is a man who has authored over 15 books, textbooks, and course manuals on the subtleties of stock, commodity, currency, index, and option trading. He has been the lead instructor and the head trader for some of the most respected option education companies in the world, like Optionetics and Random Walk.
This is a man who understands the deep, institutional mechanics of the market, not just the pretty, and often useless, patterns on a retail trader’s chart. This is a man who has seen it all, who has traded through the booms and the busts, and who has made a career out of understanding risk. The fact that a man with this level of real-world, professional experience is teaching a one-day class on a specific hedging strategy is, in itself, a massive signal. This isn’t a beginner’s guide to trading; this is a masterclass from a master.
The Buffett Paradox: Deconstructing the Coca-Cola (KO) Hedging Strategy
So, what is this great secret? It all starts with a simple, and deeply confusing, paradox. We all think that Warren Buffett is the world’s greatest stock picker. But is he? After selling off a large portion of his Apple shares, one of Mr. Buffett’s largest and oldest stock holdings is Coca-Cola (KO). It is a classic, blue-chip, “buy and hold forever” Buffett stock. But here’s the problem. Over the last two years, the stock market, the S&P 500, is up by more than 50%. And Coca-Cola? It’s down.
So how in the world do you explain the fact that his company, Berkshire Hathaway, has consistently, and often dramatically, outperformed the market during that same period? If his stock picking is so brilliant, why is one of his biggest bets a loser?
The answer, and this is the secret that this class promises to reveal, is that Warren Buffett is not the world’s greatest stock picker. He is the world’s greatest hedger. He is not just buying and holding stocks. He is actively, and brilliantly, using a sophisticated, and little-known, options strategy to generate massive amounts of income from his stock holdings, to protect his portfolio from market crashes, and to give him a massive pile of cash to go on a buying spree when everyone else is panicking and selling. The secrets to how he does this, the class claims, will be taught in a way that is easy to understand and to replicate by the people who are in attendance.
How This Hedged Strategy Beats Traditional Collars (And Thrives in a Crisis)
For those who are familiar with options, the most common way to hedge a stock position is with a traditional equity collar. A collar involves selling a covered call and using the premium from that call to buy a protective put. It’s a good, basic strategy that limits your upside potential but also protects you from a catastrophic loss.
But the strategy that is taught in this class, according to the materials, is a different beast entirely. It is a hedged strategy that, in many, and even most, ways, beats the traditional equity collar. It is a way to not just protect your portfolio in a crisis, but to actually profit from it.
Think about the great financial crisis of 2008. If you Google “who made the most money in the 2008 financial crisis,” you will see a few legendary names: John Paulson, Michael Burry, and, of course, Warren Buffett. While the rest of the world was panicking, while the market was in a freefall, while other investors were being forced to sell their stocks at rock-bottom prices just to meet their margin calls, what was Buffett doing? He was selling his hedges for a massive profit, and he was using that cash to go on one of the greatest shopping sprees in financial history. He was buying $5 billion of Goldman Sachs, $3 billion of General Electric, he was buying shares in Dow Chemical, and he bought the entire Burlington Northern railway (BNSF) for $26 billion. He was a predator, feasting on the fear and the panic of others, and it was his brilliant hedging strategy that gave him the cash to do it. This class is a promise to teach you the mechanics of that very strategy.
A Look Inside the 7-Hour Intensive Class: What You Will Learn
So what does this journey of discovery actually look like? It’s a one-day, seven-hour, intensive and immersive experience that is happening on Saturday, January 25, 2025, from 9:00am to 4:00pm CST.
The class will hit the ground running, but it is designed to be the most organized and linear mini-class that StratagemTrade has ever had. It starts by covering the remedial concepts, the foundational knowledge of stocks and options that is necessary to understand the strategy, ensuring that everyone in the room, regardless of their prior experience, is on the same page.
Then, you dive into the core mechanics of the trade. You will learn the exact structure of the strategy, the specific options to use, the ideal entry points, the critical moments to make adjustments, and how to manage the position for the long-term goal of handsome, market-beating returns, of harnessing the incredible power of compounding, and of being completely, and totally, hedged against disaster at the same time.
The class is not just the live, seven-hour session. Your enrollment also includes access to the class recordings and a PDF copy of all the slides, so you can review the material as many times as you need to. And, in a move that shows a deep commitment to the long-term success of the students, they are also dedicating the first six months of their ongoing COLLARS P.O.T. (Pro-Trader) class to this one single trade and a real-world example, and you will get access to the recordings of these supplemental sessions. And for new students, you even get a 30-day free trial of the P.O.T. class itself.
Is This Class Right for You? (Target Audience & Prerequisites)
So who is this really for? After immersing myself in the materials, I can tell you exactly who needs to be in this room.
This is not for the day traders. This is not for the get-rich-quick crypto gamblers. This is not for the person who is looking for a magic-bullet, automated trading bot.
This is for the serious, long-term investor. It’s for the person who already owns stocks, who has a real, tangible portfolio that they are trying to grow and to protect. It’s for the person who is planning out their long-term goal of handsomely, and consistently, beating the market averages.
This is for the person who understands the incredible, almost magical, power of compounding, and who is looking for a strategy that can accelerate that process.
And this is for the person who is tired of living with that low-grade, constant fear of the next market crash, and who is looking for a real, professional-grade strategy to be hedged against disaster.
This class is for anyone and everyone who owns stocks and who is ready to move beyond the simple, and often naive, “buy and hold” philosophy, and to step into a more sophisticated, more strategic, and more powerful way of managing their own wealth.
Logistics, Pricing, and a Charitable Angle
Let’s talk about the practical details. The class is a one-day, live, and online event. The seating is strictly limited to 100 people on a first-come, first-serve basis. This is not a fake scarcity tactic; it’s to ensure that the class remains small enough for real, interactive learning to take place.
The price for the entire, seven-hour intensive is $599. And based on the incredible enthusiasm and the demand from people who have been searching for this kind of information for years, this is almost certain to be the most popular, and the most affordable, class of 2025. And in a nod to the philanthropic spirit of Mr. Buffett himself, a portion of the revenues from the class will be donated to charity.
This isn’t just a course. It is a rare opportunity to learn a powerful, and closely-guarded, institutional-grade hedging strategy from a real, and deeply experienced, professional floor trader. It is the secret sauce that so many of us have been searching for for so long.
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