After weeks of reversals, my proprietary cannabis portfolio is back in positive territory. Don’t look to the big growers for the reason.
Aurora Cannabis Inc. (NYSE:ACB), Canopy Growth Corp (NYSE:CGC) and Tilray Inc. (NASDAQ:TLRY) are still struggling to get back to work. It takes time to turn a billion-dollar stock around.
But here and there, I’m seeing tiny names start soaring as alert investors realize that the wind has changed. These stocks are back in favor. There’s money to be made here.
If my portfolio was market-weighted, it wouldn’t make a difference what tiny stocks do. Their glory would simply get lost in the giants’ noise.
But on an equal-weighted basis, big and small companies share the spotlight. GrowGeneration Corp. (NASDAQ:GRWG) and obscure Pharmacielo Ltd. (OTC:PCLOF) can each contribute to a positive outcome.
You always want exposure to the next big thing… and you want to get in while it’s still a small company. That’s the whole point of investing in largely speculative fields like cannabis in the first place, right?