24 March 2017

The report reveals ….

Shares of companies involved in the cannabis space have gained more than 130 percent in Australia stock markets this year – six times higher than their peers in Canada and the U.S., according to a Bloomberg report. The boon comes after the Australian government announced they would begin implementing a medical cannabis importation system and access program.In Australia, cannabis industry operators have an average market capitalization of A$80 million (~USD$61 million) – counting the 136 percent increase this year, according to a Bloomberg index. By comparison, that index shows the global cannabis market returns at about 20 percent.

Niv Dagan, an executive director as Peak Asset Management, said he has a fraction of his A$100 million (USD$76 million) fund invested in cannabis stocks.

“The market is excited by the potential upside it could bring,” Dagan said in the report. “The key risk we see is obviously regulatory risk.”

 

Read the full story at

Australia’s Cannabis Stocks Outperforming Peers Worldwide

 

All we’ll say is.. when you go to the races there’s always a lot more losers than winners and as the report rightly points out.

Both Federal & State governments in Australia are doing their best to regulate something close to a monopoly or at  best a duopoly in the market.

So that’ll be great for the people that bet on the half dozen winning companies but the rest of them will be crying into their VB for sometime to come.