This is an exciting time to be an accredited investor in the medical marijuana / cannabis sector, the industry has become legalized in many countries around the world and that trend is only gaining momentum. To be successful at investing, most sophisticated investors like to follow trends and get invested early while the trend is gaining momentum. Once you have maximum participation from the retail investing crowd, we can be assured the trend for that sector had pretty much peaked and will soon reverse.
While the last year has been an extreme roller coaster ride for most investors in the cannabis market, we can feel confident that this trend is still at the early stages, well established and on an upward momentum. The rise and fall in stock prices in the last year was a result of hot money coming in and out of the sector, illiquid markets and tight share structures. But what we didn't see during that time is the participation from the institutional and professional money crowd.