Cannabis ETFThe best cannabis stocks have seen their prices explode in recent months, pricing bargain investors out of the market. However, there are still great value options to be found with exchange traded funds. The AdvisorShares Pure Cannabis ETF (NYSE Arca: YOLO) is an excellent option that offers exposure to both the U.S. and Canadian legal cannabis markets. It produces a yield, has a low expense ratio, and is comprised of some of the most valuable stock holdings available today.

This ETF has holdings that include Aphria Inc., GW Pharmaceuticals PLC, Curaleaf Holdings Inc., and Green Thumb Industries Inc. It is a well-diversified fund covering companies that range from real estate management and drug companies to pureplay growers and distributors.

The biggest draw of this fund is its affordable price, as well as its growth potential. Cannabis stocks have rallied in 2020, taking this fund from its 52-week low of $5.65 to its closing price of $16.90 on Monday afternoon. The yield of 2.95% easily beats the market average, and the low expense ratio of 0.74% makes this a potentially profitable holding.

Investors who want exposure to cannabis but are turned away by the growing prices for individual stocks will find plenty of value in this affordable and well-diversified ETF.

Key Data:

  • Net Expense Ratio: 74%
  • Dividend Yield:  95%
  • Total Fund Assetts: $120.7M

All information is based on current and historical market data, as well as publicly available financial data. As with any financial decision, your own research is important. Stock market outcomes can never be 100% accurately predicted. Familiarity with historical data, individual industries, and individual stocks is key to developing a robust portfolio. Note that stock prices can fluctuate rapidly during trading sessions.