Get 40% Off
🤯 Perficient is up a mind-blowing 53%. Our ProPicks AI saw the buying opportunity in March.Read full update

Marijuana & Blockchain ETFs: Should You Buy?

Published 07/26/2019, 03:09 AM
Updated 07/09/2023, 06:31 AM

  • (1:00) - What Can Investors Expect From The Legal Cannabis Market?
  • (4:45) - The Cannabis ETF by Innovation Shares: THCX
  • (12:50) - Innovation Shares NextGen Protocol ETF: KOIN
  • (17:20) - How Do These ETFs Fit Into An Investors Portfolio?
  • Podcast@Zacks.com

In this episode of ETF Spotlight, I speak with Matt Markiewicz, Managing Director at Innovation Shares.

We start with the case for investing in marijuana stocks. Some have compared it to investing in alcohol post-Prohibition. According to Barclays (LON:BARC), the US cannabis market would be $28 billion if legalized today, growing to $41 billion by 2028. But these stocks are very volatile.

Recreational use of marijuana is legal in 11 US states and the District of Columbia. Illinois became the latest state to legalize recreational use effective January 1, 2020. Medical use of cannabis is legal in in 33 states, but it remains illegal at the federal level.

The Cannabis ETF THCX provides exposure to a basket of stocks that are expected to benefit from growth of the hemp and legal marijuana industries. Please visit THCXetf.com to learn more about this ETF.

Tilray (NASDAQ:TLRY) , Cronos (NASDAQ:CRON) , Aurora Cannabis (TSX:ACB) and GW Pharmaceuticals (NASDAQ:GWPH) are its top holdings.

There are four more pot ETFs on the market now—ETFMG Alternative Harvest ETF (CSE:MJ) , AdvisorShares Pure Cannabis ETF (LON:YOLO) , Amplify Seymour Cannabis ETF CNBS and Cambria Cannabis ETF TOKE. Three of these—YOLO, CNBS and TOKE--are actively managed.

How is THCX different from other pot ETFs?

Blockchain ETFs have seen some revival of investor interest over the past few months, with the rise in bitcoin prices. The Innovation Shares NextGen Protocol ETF (JK:KOIN) focuses on companies involved with blockchain technology. Its top holdings are Taiwan Semiconductor (NYSE:TSM) , Intel (NASDAQ:INTC) and Nvidia (NASDAQ:NVDA)

3rd party Ad. Not an offer or recommendation by Investing.com. See disclosure here or remove ads .

Tune into the podcast to learn more about these ETFs.

Make sure to be on the lookout for the next edition of ETF Spotlight! If you have any comments or questions, please email podcast@zacks.com.

Want key ETF info delivered straight to your inbox?

Zacks’ free Fund Newsletter will brief you on top news and analysis, as well as top-performing ETFs, each week. Get it free >>



GW Pharmaceuticals PLC (GWPH): Free Stock Analysis Report

NVIDIA Corporation (NVDA): Free Stock Analysis Report

Intel Corporation (INTC): Free Stock Analysis Report

Taiwan Semiconductor Manufacturing Company Ltd. (TSM): Free Stock Analysis Report

Tilray, Inc. (TLRY): Free Stock Analysis Report

Aurora Cannabis Inc. (ACB): Free Stock Analysis Report

Cronos Group Inc. (CRON): Free Stock Analysis Report

Innovation Shares NextGen Protocol ETF (KOIN): ETF Research Reports

THE-CANNABIS (THCX): ETF Research Reports

ETFMG Alternative Harvest ETF (MJ): ETF Research Reports

AdvisorShares Pure Cannabis ETF (YOLO): ETF Research Reports

Original post

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.