Canadian cannabis stocks are sizzling as we enter into the final two months of 2017. Canopy Growth Corp. (TSX:WEED) has led the charge as the stock has more than doubled since early August. It was priced over $20 at the top of the noon hour on November 8th. Aurora Cannabis Inc. (TSX:ACB) has surged 44% since its debut on the TSX.
Although cannabis stocks have been hot lately, there is cause for concern that the review of listings on the TSX could lead to trouble for companies with U.S. business interests like Aphria Inc. Investors who are excited about the potential of the cannabis market but who are craving diversification should look at the Horizons Marijuana Life Sciences ETF (TSX:HMMJ).
Some of its top holdings include the aforementioned Canopy Growth Corp, Aphria, and Aurora Cannabis all at around 10% weighting each. The fund has climbed 31% over a 3-month period dating back to August 8th.
As we edge closer to recreational legalization in July 2018 investor sentiment is rising due to the potential of this market. Some projections have put the recreational market at up to $10 billion in Canada and even higher when considering secondary services.
Those who are investing for the long-term and are on the hunt for huge potential growth should already be aware of the explosive potential for this industry. Cannabis stocks have been volatile in the past, so investing in this diversified fund is a great bet going forward.