The marijuana industry is approaching its tipping point.
I’m not saying this because 29 U.S. states have already legalized medical marijuana…or because Ireland, Germany, Argentina, Poland, and Peru have done the same.
I’m saying this because California just legalized marijuana outright.
You see, California became the first state to legalize medical marijuana in 1999.
Since then, 29 other states and Washington D.C. have followed suit.
Not only that, but five states have implemented recreational marijuana.
• On January 1, 2018, California legalized recreational marijuana…
Since then, anyone over the age of 21 can legally buy marijuana in the state.
This is a huge deal…and not just for the people of California.
You see, California has a $2.5 trillion economy…the largest in the U.S. by far.
Its economy is so big that it would have the world’s eighth-largest economy if it was its own country.
• California is also home to the world’s biggest marijuana market…
Last year, it did more than $1.8 billion in sales.
That’s a lot of dough. But this figure only includes medical marijuana sales. All the recreational pot sold in California last year came from the black market.
But that will change…
Profits will shift from cartels and criminals to legitimate businesses. And that will cause California’s legal marijuana market to explode.
ArcView, a leading marijuana research firm, expects California’s total legal marijuana market (including medical) to grow by $1.6 billion this year.
By 2021, California’s expected to do $7.7 billion in legal marijuana sales. That’s more than quadruple what it did last year.
That would make California’s marijuana market bigger than the next four biggest projected U.S. marijuana markets combined—Washington, Pennsylvania, Colorado, and Michigan.
• Opportunities like this are extremely rare…
They only come around every couple decades or so.
But you don’t need to own a marijuana business or even live in California to profit from this coming “green rush.”
You just need to own marijuana stocks.
Of course, making money off pot stocks is much harder than it sounds. That’s because there aren’t any U.S. marijuana blue-chip stocks yet. There isn’t even a U.S. pot exchange-traded fund (ETF).
• If you really want to make money in pot, you need to handpick the best stocks…
Unfortunately, most investors know nothing about investing in marijuana. That’s where I can help.
You see, I’ve spent the last seven months researching the marijuana industry around the clock…
But I haven’t just sat at my desk like other so-called experts. I’ve gone to the front lines of the global marijuana boom.
I’ve been to Vancouver, San Francisco, and Denver. Along the way, I’ve met with marijuana venture capitalists, CEOs of multinational marijuana companies, and even master growers.
This “boots on the ground” research has helped me understand the marijuana industry from the inside out. I’ve also discovered something that most analysts don’t realize.
• The best way to make money off marijuana isn’t with traditional marijuana companies…
It’s with “picks and shovels” companies.
These companies serve marijuana growers and distributors. So, they profit directly from marijuana legalization.
But they don’t “touch the plant.”
This gives them a huge edge over traditional marijuana companies.
You see, marijuana is still a Schedule I drug at the federal level. Because of this, traditional marijuana companies have trouble accessing capital. They must run cash businesses. And they can’t move their product across state lines.
• “Picks and shovels” companies don’t have these problems…
They can stick their cash in a bank. They can accept credit cards. They can also borrow money from traditional lenders if they want.
In other words, they don’t have nearly as many legal and regulatory headaches as traditional marijuana companies.
Plus, “picks and shovels” companies can ship products across state lines. This makes it much easier for them to expand.
• So, consider speculating on marijuana companies like these if you haven’t already…
Just understand that there aren’t any “sure things” in the marijuana industry. So, be sure to do your homework before buying any marijuana stock.
You should also treat marijuana stocks as a speculation.
Don’t bet more money than you can afford to lose. Use stop losses. And take profits when you get them.
Investors who do these things will set themselves up for big gains without risking huge losses.
Editor’s Note: Marijuana is the fastest-growing industry on earth. And pot stocks are going through the roof. But as hot as marijuana is, most people still don’t know what a pot stock is.
If you agree marijuana legalization is inevitable and want to become a marijuana millionaire in the biggest pot bull market of our lifetime, join legendary speculator Doug Casey and his team on the Marijuana Millionaire Summit.
In this special event at 8 p.m. ET on Wednesday, they’ll review the top 5 marijuana stocks for 2018. And you can attend for free by clicking here.
Editor, Casey Daily Dispatch
P.S. Marijuana is the fastest-growing industry on earth. And pot stocks are going through the roof. But as hot as marijuana is, most people still don’t know what a pot stock is.
If you want to become a marijuana millionaire in the biggest pot bull market of our lifetime, join Doug Casey, Nick Giambruno, and me on the Marijuana Millionaire Summit at 8 p.m. ET on Wednesday. In this special event, we’ll review the top 5 marijuana stocks for 2018. And you can attend for free by clicking here.