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Weeding out opportunities in the cannabis sector

Regulation has relaxed in recent years but there are still obstacles to overcome
Weeding out opportunities in the cannabis sector
  • Medicinal cannabis was legalised in the UK in 2018
  • Regulatory limits mean investing options remain speculative

Pot isn’t as taboo as it used to be. The UK legalised medicinal cannabis in 2018. In doing so, it joined a raft of other countries – including Canada and several US states – that have allowed the once-stigmatised product to be used to treat pain and specific illnesses.

The Financial Conduct Authority (FCA) legitimised the industry further when it cleared the way last September for medicinal cannabis companies to list on the London Stock Exchange. A number of initial public offerings (IPOs) ensued, offering retail investors the chance to buy into what is, on the face of it, a burgeoning movement.

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