Oct / 24 / 20
The cannabis market in Canada has gone through a substantial correction since cannabis was legalized. The market is continuing to evolve, and this includes the greater acceptance of cannabis in the US which is where we believe the greatest opportunities lie. (Spartan’s StoneCastle Cannabis Growth Fund is currently positioned with a majority of its exposure to the US market.)
The upcoming November 3rd US elections provide three compelling reasons to take a closer look at the cannabis industry:
- US Presidential Election
Should Biden win the Presidency, he is almost certain to decriminalize cannabis federally.
- Cannabis-Friendly Legislation
Regardless of who wins the White House, the elections are very likely to lead to the passing of legislation designed to assist the US cannabis industry (e.g. STATES Act, SAFE Banking Act).
- State Legalization Referenda
Several states are voting on cannabis-related referenda on November 3. Most importantly, if New Jersey legalizes (which polls are indicating is likely), New York will likely follow.
Should you hold cannabis securities, index-based ETFs or structured products tied to the cannabis industry and are considering year-end tax-loss selling but want to retain a toehold in the cannabis sector, you should consider replacing your holdings with our StoneCastle Cannabis Growth Fund which provides investors with a diversified portfolio of high-conviction cannabis stocks in an easily-accessible prospectus-based mutual fund.
The actively-managed fund has a low ($500) minimum ticket size, can be purchased via Fundserv, is eligible for registered accounts, and is widely available for sale at most broker-dealers.
For additional materials on the StoneCastle Cannabis Growth Fund please CLICK HERE.