Cannabis ETFs jump on news of GW Pharmaceuticals acquisition by Jazz

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All cannabis stock activity is getting a boost from the upcoming acquisition

Before the recent boom in the cannabis industry, marijuana stocks were considered something to play with by certain investors. The recent announcement that GW Pharmaceuticals is going to be purchased by Jazz Pharmaceuticals for more than $7.2 billion was a sudden eye-opener about the seriousness of cannabis investments. Individual stock prices have begun to rise, and cannabis-related exchange-traded funds (ETF) have all seen massive gains.

The Amplify Seymour Cannabis ETF picked up 10.1% since the announcement was made. The fund targets mostly cannabis companies that have revenue of at least 50% from cannabis operations, and it now contains 25 different securities.

The Global X Cannabis ETF added 10%, as well, since it was announced that Jazz is acquiring GW Pharma. The 18 stocks included in its basket are split between US and Canadian companies, and has an average daily volume of around 275,000 shares.

The world’s first cannabis ETF, ETFMG Alternative Harvest ETF, has increased by 9.8%. Tracking the Prime Alternative Harvest Index, which measures the performance of cannabis companies, it follows 33 securities and has a volume of around 2.4 million shares.

The Cannabis ETF contains 29 cannabis stocks, all from either the US or Canada. It has a decent volume of around 206,000 daily shares, and added 9.4% on the Jazz/GW announcement.

AdvisorShares Pure Cannabis ETF looks mostly at US-based cannabis companies, but does include some Canadian operators, as well. Its asset base has risen to $275.2 million since being introduced and has an average daily volume of 462,000 shares. The fund increased by 8.4% this week.