Horizon's Medical Marijuana (HMMJ-T)

The cannabis space has had time to consolidate, taking out the weaker players. The sector has been down for 5 years. There's long-term opportunity in this space following persistent negative returns. Consolidation clears the decks, though. Wait till February to see if selling has abated, following tax-loss selling at the end of last year, and maybe there will be a rebound. This is a small position in your portfolio overall.

The sector was negative for 5 years, so all the weak players got washed out. You need this for the long term, but in a non-registered account you can sell this at a loss.

He's not the best person to talk to, because he doesn't believe in them. He's seen too many people lose money. It's been a rough ride. Be really careful. At some point you're not investing, you're just gambling. As well, the reverse stock splits get hidden in the ETF price.

Just because it's been reclassified, doesn't mean it's going to get widespread rollout in the US. How far away is that, and will some of these companies even be around at the rate they're burning cash?

If you're determined, own the ETF instead of individual stocks. That way, you have sector-specific risk, but not company-specific risk. If you want a home run, pick one and pray that it works out.

This asset class has been down for 5 years during a long period of investor apathy. But when an asset class has been down for longer than 3 years, you start to consider it. HMMJ has US exposure where there is growing public support for legalizing canopy. Maybe start with a small position. This is a volatile sector.

HMMJ vs. HMUS. A monstrous opportunity, but you're going to suffer volatility. Go slow, get in over time, and keep it to a smaller proportion of your portfolio. Market weighted. The US exposure is to companies operating legally, and there can't be any recreational use. With HMUS, you're tapping into a bigger market. For example, Charlotte's Web is planning to sell CBD infused products through Kroeger. This scale dwarfs the whole Canadian market. Valuations are high because of the growth potential. If you're a marijuana investing aficionado, you'd want to own both.