For every article that comes out praising the inclusion of marijuana stocks on the Toronto Stock Exchange and showing the potential for their growth, there are two articles telling you why they will fail. Investors are familiar with the term FUD, which stands for fear, uncertainty, and doubt. In this day and age, it can be hard to determine what is real news and what is simply an attack based on an agenda. When it comes to cannabis stocks, the one thing you need to do is ignore all the FUD, and see the bigger picture.
We have discussed the state of cannabis stocks many times here at Roottie, and not much has changed. Cannabis stocks are volatile, just like every new industry that has made a public debut. When they rise, everyone will praise them as the way of the future. When they fall, people will say, “I told you so.” As a trader or long time investor, always remember that a global cannabis industry is only just beginning, and the companies leading the charge are all right here in Canada. When one takes a step back and looks at the bigger picture, the incredible opportunity for investment becomes obvious.
The latest round of attacks against cannabis and cannabis stocks in Canada is to doubt the overwhelming demand that is already being seen. Many times, when people can’t put forth a good argument, they begin to question facts that we all hold as true. For example, the amount of medical cannabis consumers has been increasing at a rate of 10% per month. Companies cannot keep product on shelves and will see even higher demand once legalization occurs. However, some news articles* are reporting that the demand for marijuana is overstated and that this will result in a MMJ stock market crash.
Others say that marijuana is simply a bad investment because of the stigma attached and that it will never gain mainstream acceptance. We all know and understand that the cannabis industry in the US and Canada has many kinks to work out, but, anyone who takes a trip through Colorado, California or Nevada and thinks that cannabis will not be a mainstream product, obviously does not understand the mainstream. The state of development could be compared to the personal computer in the early 1980s. No one would laugh at you now if they knew you invested in Microsoft back in the day. Canadian cannabis stocks are the same, despite the logistics that still need to be settled, they are now and will remain a solid investment opportunity.
Canadian cannabis stocks are more than just another investment tool. They are a symbol of popular acceptance. The amount of money passing through the cannabis industry currently is astronomical, and full legalization has not even begun. An investment in marijuana stocks are an investment in a solid future. Always do your own research on the cannabis stocks that interest you, and never let the fear, uncertainty, and doubt dissuade you from taking part in the green economy.
Davie is a long time cannabis professional who has worked not only as a cultivator but in all aspects of retail cannabis. From budtender, to wholesale and retail management, and from harvester to advanced hydroponic specialist, Davie has been around the block more than once. Now residing in beautiful British Columbia, Davie now works with acres of greenhouses, producing some of the best buds in the country.