>> WELL THE NEXT GENERAL MOVERS
POT STOCKS HAVE HAD A ROUGH
YEAR THEY NOT BEEN FRIENDLY TO
INVESTORS IN 2019 WITH SKY-HIGH
EXPECTATIONS FROM
WALL STREET. POPULAR COMPANY
SUCH AS AURORA CANNABIS CANOPY
GROWTH UNTIL RE ALL FAIL TO
LIVE UP TO
THE HYPE. BUT A NEW YEAR COULD
BRING A NEW OPPORTUNITY FOR
INVESTORS WILLING TO STOMACH
THE RISK WITH US NOW TO DISCUSS
IS
JASON WILSON. CANNABIS RESEARCH
AND BANKING EXPERT AT UTS
ENERGY COMPANY THAT OVERSEES
THE ALTERNATIVE
HARVEST ETF THAT ENCOMPASSES
ALL THE MAJOR CANNABIS
COMPANIES SO GREAT TO HAVE YOU
ON THE SHOW WHAT WENT WRONG IN
2019.
>> YOU KNOW THIS LINE OF
EXPECTATIONS AND AND I YOU KNOW
I THINK A LOT OF HYPERBOLE AN
END JUST COMPANIES NOT LIVING
UP TO IT, YOU KNOW
GOING BACK TO AS YOU GO BACK TO
2018 THERE IS THERE IS A LOT
OF US EARLY-STAGE INVESTOR
MONEY THERE'S GREAT OPPORTUNITY
IN THE STATES THERE'S A LOT OF
TALK NO LEGALIZATION
IN CANADA, POTENTIAL FEDERAL
LEGALIZATION IN THE UNITED
STATES THEY GLOBAL LAW UNITY SO
THERE'S A LOT OF MONEY AT THAT
WENT INTO THAT SPACE AND THE
NUMBER OF
THESE COMPANIES. BUT THE RESULT
OF IT ALL WAS THAT IT TAKES A
LONG TIME BILL IS FROM SUN
THAT'S AN
EVEN THOUGH YOU KNOW WE DID SEE
FEDERAL LEGALIZATION OTHER COME
TO FRUITION, YOU KNOW WE'VE
SEEN A NUMBER OF STATES
LEGALIZING YES, WE SAW
LEGALIZATION
OF HEMP THE CBD TO WRITE AND
PRODUCTS AND US
THERE IS, YOU KNOW IT'S BEEN
KIND OF CLUMSY RIGHT THAT ARE
RECEIVING A LOT OF THESE
PRODUCTS OFFICIALLY COME MARCH
WHILE DISTRIBUTION AND THE LACK
OF THIS BILL OR WHAT WERE THE.
>> BIGGEST DELTA'S HERE THIS
YEAR WHEN IT COMES TO
EXPECTATIONS AND REALITY.
>> YEAH, YOU KNOW I THINK THAT
THERE IS THIS HUGE
EXPECTATION THAT YOU KNOW
CANADA FOR EXAMPLE IS GOING TO
BE A 6 OR 7 BILLION DOLLAR
MARKET ALMOST RIGHT OUT OF
THE GATE. I MEAN THAT'S WHAT IT
WITH RESPECT TO TOTAL SALES AND
IT WASN'T MARKET AT THE MOMENT.
AND WHEN IT CAME OUT WE JUST
DON'T KNOW IT'S HER FIRST FULL
CALL YOU KNOW A ONE YEAR PERIOD
IS LEGALIZATION WAS JUST ROUND
BILLION DOLLARS SO
IT WAS NOT A HUGE DIFFERENCE
THERE. AND YOU KNOW PART OF
THAT STEMS FROM.
SUPPLY ISSUES
DISTRIBUTION ISSUES. BUT ALSO
YOU KNOW CAUSE SHE'S PEOPLE USE
OF MINOR MEDICAL ERROR AND
OR THERE ALL RECREATIONAL
MARIJUANA THROUGH
OTHER CHANNELS, THE PRODUCT IS
FAMILIAR WITH THE PRICES LOWER
THAT'S NOT SNOW.
>> I'M GLAD YOU BROUGHT THAT UP
JASON BECAUSE I THINK THAT WAS
SORT OF
AN UNINTENDED HURDLE THAT
CANNABIS INVESTORS PERHAPS
DIDN'T SEE COMING REGULATORS TO
WHAT DO YOU THINK REGULATORS
AND THE LEGAL CANNABIS MARKET
CAN DO IN ORDER TO TAKE ON THE
BLACK MARKET WHICH HAS BEEN
SURPRISINGLY RESILIENT IN SOME
MARKETS.
>> YEAH IT TAXES BEEN TO A BIG
CALL IN AND IT'S A COME TO
YOU KNOW COME TO DISCUSSION OF
CEREMONIES AND EXCISE TAXES ARE
TOO GOT BIGGER ISSUE OF
APPARENT OUT HAS REALLY JUST
BEEN A LACK OF DISTRIBUTION.
PARTICULAR IN A LARGE PROVINCE
OF ONTARIO ELSE
AND THAT'S ICE PROSPERED IS NOT
CALIFORNIA IS A GREAT EXAMPLE,
SO HUGE MARKETS IS RIGHT
LIKELY A LARGER TENNIS MARKET
AND ITS ENTIRETY OF CANDIDATES.
IS THERE MAKE UP TO 45% OF
THE COST OF THE PRODUCT AND YOU
KNOW THERE'S IT'S GOING TO BE
VERY DIFFICULT FOR LEGAL
BUSINESSES, ESPECIALLY
IN US. WITH THE CENTRAL REGIME
ALL THE ISSUES OF COST BECAUSE
WE'RE BACK INTO THE SHUREN
STATE TAXATION TO COMPETE WITH
THE OTHER KIND OF ANCHOR
TIME AROUND.
>> ONE OF THE OTHER PARTS OF
THIS
IS THE BOOMING INDUSTRY THAT
THAT IS TRYING TO ATTRACTING
TALENTED AND WE'VE SEEN THAT
BECAUSE OF THIS MISMATCH OF
EXPECTATIONS AS YOU SAID, BUT
THE REALITY IS IN THE
MARKETPLACE AND WHAT THE
EXPECTATIONS ARE THERE BEEN
SOME COMPANY THAT HAS
A LANE SEE SOME OF THEIR STAFF
BECAUSE THE BUSINESS REALLY
JUST ISN'T THERE RIGHT NOW SO
IF YOU'RE SOMEBODY LOOKING FOR
A JOB RIGHT NOW YOU'VE BEEN
TOLD THIS IS GOING TO THE NEXT
BIG DAY THE NEW INDUSTRY YOU
SHOULD
USE IT TURNED TO ASSURE THOSE
FOLKS MAYBE WAIT A LITTLE BIT
LONGER BEFORE THEY JUMP IN THE
INDUSTRIES.
>> WELL YOU KNOW I
I WOULD SAY NO IS GENERALLY
SPEAKING WITH RESPECT TO THE
INDUSTRY AND THE ONE THING THAT
HASN'T HE THIS IS JUST THE
DEMAND FOR
THIS PRODUCT, GLOBALLY YOU KNOW
IN THE US IN CANADA MEXICO AND
THAT WILL
BE LEGALIZING PROBABLY BEFORE
APRIL 30TH OF NEXT YEAR WE HAVE
MEDICAL PILOT PROGRAMS IN
DENMARK AND THE CZECH REPUBLIC.
YOU KNOW IN GERMANY AND
ITALY WERE WE HAVE ASKED
NATIONAL INSURERS COVERING
COSTS FOR MEDICAL MARIJUANA IN
CANADA, WE HAVE INSURERS
COVERING COSTS MEDICAL
MARIJUANA. SO THERE'S THERE'S
NO QUESTION THAT
ULTIMATELY IT'S GOING TO BE A
VERY LARGE MARKET, NOT JUST ON
THE POLITICAL SIDE THAT YOU ALL
SOME SECRET YEAR AND THAT THE
2 SIDES WELL. WELL, YEAH, YOU
KNOW, I'M LOOKING AT THIS FACE
LOOK AT THE STRENGTH OF THE
BALANCE SHEET OF THE EMPLOYER
GOING TO THERE'S GOING TO BE A
NUMBER OF EMPLOYERS THAT
CAN REALLY LEGGETT OUT OTHER
ASSET LIGHT HOUSE STRONGER ALL
SEASON AND THERE'S OTHERS THAT
YOU KNOW COULD YOU KNOW,
THERE'S A GOOD CHANCE THEY
WON'T BE HERE TALKING
TO US.
>> WHO ARE WE GOING TO BE
SEEING MORE TRADITIONAL CPG
COMPANIES GET INTO CANNABIS.
>> A MORE
TRADITIONAL CBD COMPANIES OUR
SIZE THE PGA'S USING CBD YEAH,
ABSOLUTELY I
THINK THAT IT WILL PROBABLY
COME THROUGH INITIALLY MINDS OF
OUR SHIPS MEAN WE'VE SEEN YOU
KNOW WITH
WITH RESPECT TO THINK OF TORY
FOR EXAMPLE THEY'VE ALREADY
STARTED WITH US WITHOUT ANY
GRANTS FOR JUST AS ONE EXAMPLE
WHERE THEY'RE GOING TO
DISTRIBUTE TOPICAL SAYS THEIR
DISTRIBUTION CHAIN TO THE
BOX OFFICE COMING HOME AT ALL
HOURS WHICH IS A SERIOUS
COMMITMENT. WE LOOK AT CROSS
WHICH IS A CHOIR. I'M LAURA
JOHNSON SAYS ARE NOT PREMIUM
GETTING
PARTS MANUFACTURERS. OBVIOUSLY
THEY HAVE OWNERSHIP FROM ALL WE
SEE CONSTELLATION BRANDS AND
GROUPS I
THINK THAT YOU KNOW THAT A GOOD
EXAMPLE COULD BE A GROUP
LIKE ISRAEL WHO HAS ARE ONE
SIGN OVER THERE AND SEAL TEAM
SELECTIONS ANOTHER YOU KNOW
INTO ANOTHER CEO HAS BEEN
EXPERIENCED AND SEEK TO BE 2
STATES AND I WILL CONTINUE
TO SEE YOU KNOW THE THE
WELL-HEELED TENNIS COMPANIES
MAKE ACQUISITIONS IN
THAT SPACE. AND WE'LL HAVE
COMPANIES SMALL A TENSE CALM SO
ACTUALLY I'M 3 PARTNERSHIPS
WITH THE DIXIE
CHICKS TOPICS.
>> ALL