FYI: There may be trouble ahead for the growing number of exchange-traded funds that invest in cannabis companies.
Pot ETFs face a “day of reckoning” within the next couple of years as investor interest in the industry -- which has returned more than 30% in 2019 -- begins to fade, according to Daniel Straus, vice president of ETFs and financial products research at National Bank of Canada.
That’s bad news for the many asset managers that have only recently looked to capitalize on investor enthusiasm for weed, as its use for medical and recreational purposes becomes increasingly mainstream. At least nine ETFs in the U.S. and Canada currently invest in pot stocks, while another two are seeking approval to list in the U.S.
Regards,
Ted
https://www.bloomberg.com/news/articles/2019-07-08/cannabis-etfs-face-day-of-reckoning-even-30-gains-can-t-avert?srnd=etfs
