Canadian Marijuana Stocks and ETF’s Take a Hit, Look to Bounce Back
With uncertainty looming in how cannabis will be regulated, Canadian Marijuana Stocks and ETF’s have taken a blow. Horizon is the developer of the first marijuana ETF, and it’s attempting to reassure it’s investors and employers that this slump is temporary and not long term.
Senior Vice President, Mark Noble understands that the entire sector is in a down swing. Not just Horizons Medical Marijuana Life Sciences ETF (HMMJ). In an interview with BNN News he gave a little insight on where the market is going.
“The whole space is being hammered so you’re either in it for the long haul or you’re not in it at all,” he wrote.
He continued on to state that his staff is well aware Canadian marijuana stocks will continue to feel pressure. Especially until questions about Ottawa’s legislation is answered. Including where cannabis will be legally sold and which types of products will be sold in commercial vendors.
“In the absence of these answers, marijuana stocks will likely continue to face challenges. Since there’s no clear way to gauge which companies will benefit from recreational marijuana opportunity until legislation is more clear,” he said in the memo. He added the selloff in the sector “could get much worse” without greater clarity on regulations. Meaning that there will likely be a “comeback” ahead of regulatory announcements.
HMMJ was launched in April, to coincide with Ottawa’s marijuana legislation.
Sourced From – www.BNN.ca