Is now a good time to invest in reputable marijuana stocks? - Nerdwallet

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Is now a good time to invest in reputable marijuana stocks?

March 28, 2014
I missed out on the huge gains in the so-called green rush with marijuana stocks. That whole sector has cooled considerably over the past few weeks though it is still up. Might this be a good entry point in reputable biotech stocks like GWPRF and CYNAF who are running legitimate cannabis trials? The only other way to invest in this sector it...

Advisor answers

Joseph Alfonso

Joseph Alfonso

Lake Oswego, OR

These are very speculative investments. I would be very careful to place any money at risk here that you cannot afford to lose.

In general, investing in individual stocks is akin to rolling the dice and not likely to yield you much success. Markets are too efficient and there are too many professional investors competing against you for you to have much chance outsmarting them by finding a "winning" stock they may have overlooked.

Good investing is about keeping costs low, tax efficiency high, being highly diversfied ...

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