The marijuana business is rightly described as a fledging industry. But what investors see as a potential promised land may be further off than many expect because full federal legalization may take a long time.
The unfolding legalization of marijuana in U.S. states makes this a complicated and potentially lucrative space for investors. Most marijuana ETFs are passively managed, meaning they track indexes.
The following discussion points to an advantage for active managers of exchange traded funds who can tailor strategies as the legal landscape changes.
Meanwhile, investors had better rethink their focus on Canadian cannabis companies, some of which may be cut out of a big piece of the industry action. The devil is in the details.
For broad coverage of the dynamic marijuana industry, see Cannabis Watch.
Marijuana has been legalized for recreational use in 15 U.S. states and Washington, D.C. However, it remains illegal on the federal level. This has led to a bizarre scenario.
The Canadian licensed producers (known as LPs) do not sell cannabis products in the U.S. because it is against U.S. law. But shares of the…
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The marijuana business is rightly described as a fledging industry. But what investors see as a potential promised land may be further off than many expect because full federal legalization may take a long time.
The unfolding legalization of marijuana in U.S. states makes this a complicated and potentially lucrative space for investors. Most marijuana ETFs are passively managed, meaning they track indexes.
The following discussion points to an advantage for active managers of exchange traded funds who can tailor strategies as the legal landscape changes.
Meanwhile, investors had better rethink their focus on Canadian cannabis companies, some of which may be cut out of a big piece of the industry action. The devil is in the details.
For broad coverage of the dynamic marijuana industry, see Cannabis Watch.
Marijuana has been legalized for recreational use in 15 U.S. states and Washington, D.C. However, it remains illegal on the federal level. This has led to a bizarre scenario.
The Canadian licensed producers (known as LPs) do not sell cannabis products in the U.S. because it is against U.S. law. But shares of the…
