The industry on cannabis has remained incredibly lucrative for some time now and given the changing legislation around the world and the shifting public sentiment, it seems as though this is only the beginning. There are many strategies when it comes to investing within the cannabis industry, but there are also a few basics that any investor should know before putting any money in.
The first aspect that any investor should know is understanding the cannabis market and what products are available. Cannabis is widely regarded as being composed of two main sectors; recreational, and medicinal. Throughout the U.S., many states have put in legislation to allow for the recreational use of cannabis which simply means that anyone over the age of 21 can purchase the substance legally. The majority of places around the world that have legal cannabis in place are alternatively medicinal, which means that one needs a recommendation from a doctor to be able to use the substance.
When it comes to consuming the product, there are various methods to do so which include edibles, smoking, vaping, and even topical creams that can help to relieve pain. The method of consumption usually matters based on the desired effect from the consumer or the medical condition being treated. Often times, CBD has become the desired substance due to the fact that it does not have any psychoactive effects, but can still deliver many of the relief potentials that cannabis has. CBD is known as cannabidiol and is one of the main components of the cannabis plant. More and more research is being conducted currently into how CBD can be used to treat anything from chronic pain to cancer. According to one study “The FDA has approved three THC-based drugs — Marinol, Cesamet, and Syndros — for the treatment of chemotherapy-induced nausea and vomiting. Marinol and Syndros also received approval for treating AIDS-related anorexia. However, all three drugs are manufactured using synthetic THC rather than compounds from marijuana plants.” The approval of these drugs has been groundbreaking for the potential for cannabis to be used as one of the main treatments for various ailments in the near future.
Within the cannabis industry however, there are several ways that one can invest. The first comes from investing in marijuana growers. These companies have been working to grow the raw cannabis plant for sale domestically and for export. Given that many places around the world have begun to legalize the use of cannabis, the demand for the substance has shot up quite dramatically. The next part of the industry comes from biotech companies in the cannabis space. These companies have been working to create new series of drugs as mentioned prior to be approved by various bodies of government around the world. As the market continues to show promise for these companies, it seems as though biotech in cannabis could be one of the fastest growing spaces throughout the coming years.
The last sector of the cannabis space is the companies that provide ancillary services to the cannabis market. This could be anything from the tools needed to grow cannabis, to security for transporting money from dispensaries. Many of these companies have existed for quite some time now, but recently have seen their prices shoot up respectively due the shifting market.
The hopes are high that the cannabis industry can remain at the forefront of the worlds markets for the next few months to years. Only time will tell how much the industry can increase in the near future, but things appear to be moving for the positive.
MJShareholders.com is the largest dedicated financial network and leading corporate communications firm serving the legal cannabis industry. Our network aims to connect public marijuana companies with these focused cannabis audiences across the US and Canada that are critical for growth: Short and long term cannabis investors Active funding sources Mainstream media Business leaders Cannabis consumers