Canada is set to legalize recreational marijuana use across the nation in July 2018, generating a lot of interest in weed stocks. The country has already legalized medical marijuana. This is a great time for investors to consider marijuana stocks to invest in, and also which weed stocks Canada specifically has to offer.
Weed stocks in Canada have seen a surge in investor activity in the past year, which has motivated the ETF industry to get involved.
The Canadian marijuana sector continues to grow like a weed in the ETF market, as Canada’s fourth cannabis-focused exchange-traded fund is set to begin trading in mid-February.
This fund, Evolve Funds Group, Inc., received regulatory approval to launch the Evolve Marijuana ETF, which is a fund that will invest in its own actively managed portfolio. Evolve Marijuana ETF’s portfolio is comprised of companies listed both domestically and globally with business activities in the recreational and/or medical marijuana industry, giving it a broad scope.
Evolve Marijuana ETF, with the droll ticker SEED, is expected to begin trading marijuana stocks on February 12 on the Toronto Stock Exchange.
Raj Lala, President, CEO, and Director of Evolve Funds Group, Inc., said, “We believe the international cannabis industry is poised to exceed $30-billion by 2021, which would be a 60-per-cent compounded annual growth rate in the next few years.” Lala also said, “The next wave of growth could be driven by the globalization of the industry. Active management in SEED allows us to capitalize on these opportunities.” According to reports, this fund will be managed by Evolve Funds with a management fee of 0.75 per cent.
However, Evolve Marijuana ETF is not the only ETF you should keep an eye on if you are inclined to explore marijuana stocks to invest in.
Earlier in February, Horizons ETFs Management (Canada), Inc., received regulatory approval for its second marijuana-focused fund, called Horizons Junior Marijuana Growers Index ETF (HMJR).
This fund intends to capture small-cap companies in the marijuana industry. Horizons Junior Marijuana Growers Index ETF will begin trading February 14. This is not Horizon’s only marijuana-focused ETF. In fact, it launched the world’s first marijuana-focused ETF, the Horizons Marijuana Life Sciences Index ETF, in April 2017.
The Horizons Marijuana Life Sciences Index ETF (HMMJ) reached more than $100 million in assets under management within just its first month. The fund currently has more than $800 million under management.
For investors considering marijuana stocks to buy and associated funds, this is a great time to get in on what appears to be a booming market.
Evolve Funds Group was the first company to file for an actively managed marijuana fund in the second week of January 2018, but Evolve is not the company that is causing waves among people looking for marijuana stocks to invest in. Redwood Asset Management shocked the industry when it launched the Marijuana Opportunities Fund ETF on February 1, 2018. The Marijuana Opportunities Fund ETF (MJJ), actively managed, currently has $6 million in assets. Investors interested in weed stocks should look to the Canadian market for marijuana stocks to invest in.
(To learn more about Canadian stocks, read 10 Canadian Marijuana Stocks to Watch in 2018.)