3 Hedge Funds Investing in Cannabis
The legalization of Marijuana in Canada and gradually spreading across the United States has created a growing demand for the sale of cannabis and CBD products. In 2018 the total value of venture deals associated with legal cannabis was over $350 million according to data from Pitchbook. Marijuana is becoming big business. Start-ups are customizing their business around this market. Dating apps for marijuana enthusiasts, delivery services that bring cannabis products to your door, everyone from farmers, to nutritionists are carving out a space in the market. Hedge funds and investment firms are also lining up for a piece of the action.
And, future projections of legal cannabis sales are expected to reach $30 billion globally by the year 2022, according to researcher Arcview and BDS Analytics.
Poseidon Asset Management
Based in California Poseidon Asset Management is one of the longest running asset management companies with investments in cannabis. Since 2013 Poseidon has led the charge when it comes to helping bring positive awareness to the cannabis industry while focusing on and implementing diversified strategies. They are changing perceptions surrounding cannabis consumption and committed to revealing how good cannabis can be used medicinally, recreationally and as an industrial material beneficial for living responsibly. Poseidon’s primary focus is on private companies for high wealth individuals and family offices, steadily increasing exposure towards the public. As trusted industry leaders and with over 105 million assets under management Poseidon is a pioneer in a burgeoning market.
As the demand for cannabis increases globally, the players in the field are also expanding. With headquarters in New York City, Navy Capital founded in 2014 is also a rising star when it comes to hedge funds investing in the cannabis industry. Their research-oriented investment process is geared toward attracting opportunities within the Healthcare, Consumer, Technology, Agriculture and Industrial sectors. Investing in both public and privately traded companies, Navy Capital believes the best opportunities for investing in cannabis will be in the U.S., Latin America and throughout Europe. They intend to be at the forefront as the illegality surrounding marijuana vanishes.
CBI Capital is also a New York based Hedge fund to be watched. As investment managers and advisors, they specialize in buying, selling, and investing in securities of publicly traded companies and supply chains of Cannabinoid based wellness solutions, products and therapies. Their belief is “it’s not about getting high it’s about getting well.” They consult clients in exclusive private ventures and advise on the best ways to navigate the emerging cannabis market.
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