Youre looking at a market for cannabis that has amazing, high-growth potential, said Jack Scatizzi, managing director at Canopy San Diego , a technology accelerator aimed at finding and funding cannabis companies. So if you have some spare cash and youre willing to make the move into marijuana, where do you go? In the words of those in the industry, you can start with companies that touch the plant. That is, cultivators, dispensaries, distribution outlets and makers of marijuana-infused products. If youre investing in a cultivator, youre going to get paid back in dividends, said Scatizzi. It might be a short-term window where you can make a lot of money, depending on what the cultivation landscape looks like in five years. But youre also at risk because youve invested directly in someone that is technically trafficking in a Schedule I narcotic. Investors can also put their money in companies that dont touch the plant and deal with the cannabis industry in an ancillary way such as digital media, power and energy companies ( growing marijuana is energy-intensive ) and biotech firms. Ancillary companies have less risk, Scatizzi said, but investors Marijuana Stocks would likely receive no cash dividends. Its like investing in any other tech company, Scatizzi said. Youre waiting for Google or Microsoft or Facebook to come in and acquire the companies for millions of dollars. Canada is seen as a growth market since medical marijuana is legal in all of its provinces and a small number of cannabis companies are traded on the stock market there , which may be attractive to investors with relatively small amounts of money.
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