2020 IS THE PERFECT TIME TO INVEST IN CANNABIS | HUGE POTENTIAL

2020 IS THE PERFECT TIME TO INVEST IN CANNABIS | HUGE POTENTIAL | EXCELLENT VALUE

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In this video, i want to share my opinion why its a great time to invest in the Cannabis sector right now in 2020. This sector that has been completely destroyed, especially in the second half of 2019. And continues to struggle right now, along with every other sector due to the COVID-19 Pandemic.

2 Main Reasons:

#1 Potential:

The medical aspect for instance. Already, Cannabis is being used to treat a number of medical issues like Pain, Anxiety, Eating Disorders, Epilepsy and more. I mean it doesn’t take a genius to know that Pain and Anxiety are billion dollar industries in their own right. We haven’t even scratched the surface, because its still illegal at the federal level in the U.S. and only recently became fully legal in Canada at the end of 2018. There are numerous medical trials and tests that need to be done before the full medical potential is unlocked, but make no mistake about it, this product can be a huge disrupt in the Health care sector.

On March 16th, 2020, the biggest Cannabis company in the world, Canopy Growth released its first beverage product, called Houndstooth and Soda, under their flagship recreational brand TWEED. Think about this for a second, a drink that gives you a buzz like alcohol but is not bad for you. Oh and this drink has 0 grams of sugar and 3 calories. Don’t you think the younger generations will gravitate towards this instead of alcohol, one of the longest lasting and most profitable industries of all time? its just a matter of time.

Still don’t believe me? Well guess what company partnered with Canopy GROWTH by investing about 4 billion in the company? Constellation Brands… a Fortune 500 company, who is an international producer of beer, wine and spirits. These guys not a small player, this company is worth about 30 billion dollars and now they own almost 40% of Canopy Growth. Why would they do that? Well because there smart and know that the future of alcohol might be bleak. I mean we all know that alcohol is bad for our health and the newer generations are drinking less and less of it. The future of recreational drinking is probably cannabis. Oh and guess who became the new CEO of Canopy Growth at the beginning of 2020? The CFO of constellation brands. That just proves my point. They obviously feel that this is a crucial investment for them.
Also let’s not forget that this is not just a Canadian opportuity, but a global one. Many of the Big Cannabis companies are based in Canada because Canada was the first G7 country to legalize it, but this product is consumed all over the world and Companies like Canopy Growth are positioning themselves to be the global leader. So i re-iterate, this is a HUGE investing opportunity because of the potential. But why now?? Why do i think 2020 is a great time to invest. That brings me to me second reason….

#2 is VALUE.

Canada legalized Cannabis at the federal level in October 2018. The first G7 country to do so. There was a huge speculation bubble that occurred leading up to that date, which is typical for a new industry, as this creates a lot of Buzz and speculation which can dramatically raise stock prices with no real data backing it up… like the internet bubble aka the dot com bubble . If never heard about it, which is the case for a lot of people my age as we were kids or teenagers back then, ill quickly summarize. in the 90’s there was a quick rise in stock prices for internet- based, start up companies because investors were blindly throwing money at them , essentially because of FOMO So a rapid rise in stock prices for a particular sector with no real data backing it up, is called a bubble or speculative bubble. In 2001 and 2002 when reality set in and these companies started reporting earnings, investors started selling the stocks just as quickly as they bought them …. causing the bubble to burst… or prices to drop dramatically. For example, Amazon, which was part of this dot.com bubble was trading at about 80-100$ in late 1999. In 2000, the price started dropping and in 2001 the stock was trading under 10$. And we all know how Amazon is doing now right? Its currently a little over 2000$/share. What would your investment be worth today if you invested 10k in amazon at 10$/share? : 2 million dollars. Not bad right? Yes you had to wait 20 years, but well worth it in my opinion.

Those are my reasons why i think its a great time to invest in the cannabis sector.

Let me know if you agree with my reasoning here or if you disagree, let me know why.

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