Global marijuana stocks are expected to reach $63.5 billion by 2024, meaning that if you aren't already considering investing in cannabis, now might be an optimal time—particularly because people have never been more in need of the stress-relief that this product can provide.

Before investing, if you're a total beginner, you'll need to start building your investment portfolio. Apps like Robinhood can help you buy, sell, and monitor stocks in minutes, while sites like Vanguard provide more comprehensive options. Then you'll want to set aside an investment budget, which will look different for everyone. In general, you'll want to invest around 10 percent or less of your portfolio into individual stocks.

Here are five steps you need to take in order to invest successfully in the cannabis industry.

Understand the different types of marijuana stocks you can invest in

There are two main types of marijuana stocks you can invest in: medical and recreational. In the United States, medical marijuana is legal in 33 states and can be prescribed by doctors. CBD is one of the more popular types of medical marijuana and has been proven to be an effective way of combating epilepsy, as well as several other rare diseases.

The other, riskier option is to go ahead and invest in recreational marijuana. 11 U.S. states have legalized recreational marijuana, but it's been legal in Canada since 2018.

Decide what type of product you want to invest in

If you're going to invest in marijuana, you have three main options. You might invest in a cannabis grower and retailer, such as Canopy Growth; you might invest in a cannabis biotech company like GW Pharmaceuticals, which focuses on developing cannabinoid drugs; or you might choose to invest in a company that creates products for cannabis growers.

Do your research on your company of choice

Now that you know a bit more about how to go about investing, it's time to do your research. Companies that can grow cannabis for a lower cost will be more competitive, and companies with international connections can be more reliable. It's also important to examine whether the company you're investing in is growing sustainably. Scroll through reports from the past few years to see which companies are strongest and most promising.

Money Done Right suggests that you break your research down into two parts:

  1. Fundamental analysis (which focuses on key information like quarterly profits and income)
  2. Technical analysis (which focuses on price performance and stock price patterns; this takes more effort and might require some outside help)

Regardless, you'll probably want to invest in a variety of cannabis companies. Apps like 420 Investor, Stash, and MarketWatch can help you keep track.

4. Know the risks

Cannabis is definitely a volatile industry. It remains federally illegal in the U.S., and though the industry is expanding, initial stocks have performed shakily. You may want to consider investing in medical marijuana products first before leaping into the recreational sphere.

5. Try out these companies

Despite the risks, some cannabis companies have performed better than others. Some of the best-reviewed marijuana stocks in April 2020 were:

Innovative Industrial Properties

This is a real estate investment trust that focuses on the medical cannabis industry. "A high-pedigree management team and strong business fundamentals helped IIPR raise $250 million in January despite the tight market," said Michael Underhill of Capital Investments in Wisconsin. "The stock's more than 25% year-to-date increase compares favorably to the -15% return of the North America Marijuana Index."

Curaleaf Holdings

This company operates in 12 states in the U.S., and it's America's only cannabis producer that works in the medical, recreational, cultivation, processing, and dispensary sectors. It has a "reported third quarter pro forma revenue of $129 million and adjusted EBITDA of $9 million."

Cronos Group

This Canadian-based investment group is dominating the international medical marijuana market. With a cash balance of CA$1.47 billion at the end of the third quarter, Cronos is growing fast.

Canopy Group

Canopy reported a $2.07 billion in cash equivalents in January. Plus, they now have a license to grow hemp in New York and have launched a massive cultivation facility. They also launched First & Free, an online company that sells hemp and CBD products, and they've partnered with Martha Stewart to sell their products.

Tilray

Tilray is another great option in the CBD sphere. The company acquired Manitoba Harvest, a stock worth $419 million Canadian dollars, in February 2019, allowing the company to spread its hemp distribution capabilities around the world.

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Over two years into the most momentous event in our lives the world has changed forever … Some of us have PTSD from being locked up at home, some are living like everything’s going to end tomorrow, and the rest of us are merely trying to get by. When the pandemic hit we entered a perpetual state of vulnerability, but now we’re supposed to return to normal and just get on with our lives.

What does that mean? Packed bars, concerts, and grocery shopping without a mask feel totally strange. We got used to having more rules over our everyday life, considering if we really had to go out or keeping Zooming from our living rooms in threadbare pajama bottoms.

The work-from-home culture changed it all. Initially, companies were skeptical about letting employees work remotely, automatically assuming work output would fall and so would the quality. To the contrary, since March of 2020 productivity has risen by 47%, which says it all. Employees can work from home and still deliver results.

There are a number of reasons why everyone loves the work from home culture. We gained hours weekly that were wasted on public transport, people saved a ton of money, and could work from anywhere in the world. Then there were the obvious reasons like wearing sweats or loungewear all week long and having your pets close by. Come on, whose cat hasn’t done a tap dance on your keyboard in the middle of that All Hands Call!

Working from home grants the freedom to decorate your ‘office’ any way you want. But then people needed a change of environment. Companies began requesting their employees' RTO, thus generating the Hybrid Work Model — a blend of in-person and virtual work arrangements. Prior to 2020, about 20% of employees worked from home, but in the midst of the pandemic, it exploded to around 70%.

Although the number of people working from home increased and people enjoyed their flexibility, politicians started calling for a harder RTW policy. President Joe Biden urges us with, “It’s time for Americans to get back to work and fill our great downtowns again.”

While Boris Johnson said, “Mother Nature does not like working from home.'' It wasn’t surprising that politicians wanted people back at their desks due to the financial impact of working from the office. According to a report in the BBC, US workers spent between $2,000 - $5,000 each year on transport to work before the pandemic.

That’s where the problem lies. The majority of us stopped planning for public transport, takeaway coffee, and fresh work-appropriate outfits. We must reconsider these things now, and our wallets are paying

the price. Gas costs are at an all-time high, making public transport increase their fees; food and clothes are all on a steep incline. A simple iced latte from Dunkin’ went from $3.70 to $3.99 (which doesn’t seem like much but 2-3 coffees a day with the extra flavors and shots add up to a lot), while sandwiches soared by 14% and salads by 11%.

This contributes to the pressure employees feel about heading into the office. Remote work may have begun as a safety measure, but it’s now a savings measure for employees around the world.

Bloomberg are offering its US staff a $75 daily commuting stipend that they can spend however they want. And other companies are doing the best they can. This still lends credence to ‘the great resignation.’ Initially starting with the retail, food service, and hospitality sectors which were hard hit during the pandemic, it has since spread to other industries. By September 2021, the US Bureau of Labor Statistics reported 4.4 million resignations.

That’s where the most critical question lies…work from home, work from the office or stick to this new hybrid world culture?

Borris Johnson thinks, “We need to get back into the habit of getting into the office.” Because his experience of working from home “is you spend an awful lot of time making another cup of coffee and then, you know, getting up, walking very slowly to the fridge, hacking off a small piece of cheese, then walking very slowly back to your laptop and then forgetting what it was you’re doing.”

While New York City Mayor Eric Adams says you “can't stay home in your pajamas all day."

In the end, does it really matter where we work if efficiency and productivity are great? We’ve proven that companies can trust us to achieve the same results — or better! — and on time with this hybrid model. Employees can be more flexible, which boosts satisfaction, improves both productivity and retention, and improves diversity in the workplace because corporations can hire through the US and indeed all over the world.

We’ve seen companies make this work in many ways, through virtual lunches, breakout rooms, paint and prosecco parties, and — the most popular — trivia nights.

As much as we strive for normalcy, the last two years cannot simply be erased. So instead of wiping out this era, it's time to embrace the change and find the right world culture for you.

What would get you into the office? Free lunch? A gym membership? Permission to hang out with your dog? Some employers are trying just that.

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Did you hear about the Great Resignation? It isn’t over. Just over two years of pandemic living, many offices are finally returning to full-time or hybrid experiences. This is causing employees to totally reconsider their positions.

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