The End of Cannabis Prohibition

Matthew Carr By Matthew Carr
Emerging Trends Strategist

Commodities

“Bank on the trends and don’t worry about the tremors.”

– J. Paul Getty

The market’s been shaken recently. And another tremor will ripple through again.

But this is an exciting moment. The pullback provides a great opportunity, one that’s every investor’s dream: to be there at the beginning.

To invest in that industry – that company – that takes the world by storm.

And the returns aren’t double or triple or even quadruple. They’re much more than that.

Let me show you…

Imagine that in May 1997 you took just a small stake in an industry bursting onto the scene – online retail.

The idea was in its infancy. Arguably, it still is.

You bought shares in that quirky little disrupter, the online bookseller Amazon (Nasdaq: AMZN). You paid $1.50 per share.

A mere $150 would’ve bought you 100 shares.

Now, in 2000, U.S. online annual retail sales had grown to $27.5 billion. That seemed like a lot.

By the end of 2017, sales had grown 1,549% to $453.5 billion.

Today, the 100 shares of Amazon you bought in 1997 for $150 would be worth $145,000… for a gain of more than 96,000%.

In 2017, global e-commerce sales grew 23% to more than $2 trillion… and yet online sales still account for only a tenth of total retail sales worldwide.

We’re arguably still in the early stages. There’s still massive upside. By 2021, global e-commerce sales will double from 2017’s total to $4.5 trillion.

It’s hard to believe, but despite the 96,000% gain in Amazon shares, I believe there’s still room to grow.

The Next Industry Taking the World by Storm

At this very moment, there’s an industry poised to see growth like Amazon’s and the e-commerce industry’s…

Even in the next few years, this global market is expected to explode.

Investors can’t ignore it: Legal marijuana is here… and this is just the beginning.

 

Now, a lot of investors focus on the U.S. There has been some serious progress over the past few years…

  • In 2012, Washington became the first state to legalize recreational marijuana.
  • In January 2014, Colorado began recreational sales.
  • In October 2015, Oregon dispensaries launched adult-use sales.
  • In July 2017, recreational marijuana sales began in Nevada.
  • In January 2018, adult-use marijuana sales launched in California.
  • In July of this year, Massachusetts will open recreational pot shops.
  • The same month, Vermont will allow limited recreational legalization as well.

In the U.S., medical marijuana is the fourth-fastest-growing industry, just behind cryptocurrencies.

By 2020, New Frontier Data estimates the cannabis industry will create more jobs than manufacturing.

But investors must remember: The U.S. is just one fragmented piece of a booming global industry.

In North America last year – including Canada – marijuana sales grew 33% to $9.7 billion. By 2021, the North American market will more than double to $24.5 billion.

That means that most of the money to be made is outside of the U.S.

And as we see more and more countries legalize medical and recreational cannabis, we’re watching the world’s leading marijuana companies explode higher.

The Start of Something Incredible

I was recently asked what inning we were in with regard to the global marijuana market and opportunities. I said, “The game hasn’t even started yet. All we’re doing now is writing down the starting lineups.”

The global trade routes are being drawn. On one side, we have exporters… on the other, importers. And there are new countries that want to participate each day.

If you’ve ever dreamed of being there at the beginning… of investing at the start of a new, disruptive, lucrative and worldwide industry… this is it.

This is your moment.

The end of prohibition is here.

And we have an investment opportunity before us that comes along only once every couple of decades.

Years from now, you won’t be at a cocktail party telling people how little you paid for Amazon shares. You’ll be telling them how early you got in on the world’s most powerful marijuana mega-companies.

Good investing,

Matthew