Should I invest in the marijuana industry? This is one of the most commonly asked question we receive here at The Daily Marijuana Observer.
"You should not think of them as investments at this point," says Chris Blake, Senior Portfolio Manager of North American Equities at TD Wealth. In his interview, Blake breaks down many of the key things to watch when it comes to this industry, and makes his case for why these companies are "gambling chips."
In a prior report, Blake said that cannabis companies "lack strategic differentiation." He explains this stance further in his interview, saying that "the product is a plant, and it grows from seeds, and anyone can get the seeds, and many of the seeds are going to be the same no matter who is growing the marijuana. " We believe this to be untrue.
There are over 100 different cannabinoids. Cultivators all over the world are working to make strains of cannabis that have higher and lower concentrations of these various cannabinoids for both medicinal and recreational use. As a result, there is actually a tremendous amount of diversity in the cannabis world.
Beyond making the case against cannabis investment, Blake talks about the United States' cannabis space as well as Canada's. "Initially, there will be tremendous growth," Blake says, citing the switch from black market cannabis transactions to legitimate and legal transactions.
To hear the rest of what Blake has to say, check out the full video interview below!
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