The Alternative Harvest ETF cannabis ETF continues to find new support

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The cannabis ETF continues to make waves in the investment community

Exchange-traded funds (ETFs) are publicly traded mutual funds and are definitely an interesting bet to make now that the marijuana industry has positive strikes. Unlike traditional mutual funds, their shares can be bought and sold like shares of public companies. The investment risk is greatly diminished when holding a stake in an ETF, especially since the fund’s assets are much more diversified than those of a typical company. There is currently one ETF focused on cannabis, which is getting extra support and promises to have a bright future for whoever decides to invest in it.

Alternative Harvest ETF was launched in late 2017 by ETF Managers Group, and is considered the first cannabis ETF to achieve a listing on the US Stock Exchange. It is the most liquid ETF on the market. Today, its assets total more than $1 billion, which makes it a behemoth compared to all other cannabis ETFs, even if you count them all as one. Alternative Harvest was designed to measure the performance of cannabis companies whose growth is related to the progress of global legalization.

Jason Wilson, director of Alternative Harvest, said, “This differentiated approach recognizes the fact that the cannabis industry is intertwined with many industries, and that many companies outside the cannabis industry ecosystem are likely to benefit from the continued move to legalization worldwide.”

Alternative Harvest primarily aims to invest in companies whose revenue from cannabis cultivation is a major source. The fund also invests in marijuana companies that offer services adjacent to the latter, and that are expected to grow as the industry moves globally.