THE BUD EFFECT
Recently I have enjoyed some strong gains from investing in the growing marijuana industry in the United States. This wave of activity started to spawn new thoughts for Canadian investors as well as CEO's about how to tap into this budding new business.
I was lucky enough to invest in the marijuana industry at an early stage and ride the wave of activity that seemed to be driven on some hype mixed with unknown allure of what is viewed as forbidden in today's culture. Nonetheless it was a thrill seekers ride on the markets. I then invested in my fist Canadian stock on the CNSX hinting of working in the marijuana sector and it was hit #5 for me since the first 4 were in the USA. Then it dawned on me that this growing trend was rising like pot smoke at an Alice Cooper concert and would soon rise to a strong trend in the Canadian market.
I searched the TSX-V since the regulations and safe guards seem to be well recognized by institutional investors. I don't want to risk playing the other exchanges where due diligence is just a catch phrase. Along came Satori Resources Inc, BUD.V, the story seemed almost too obvious yet it had a hint of speculation that was just enough to keep away the flip traders. I decided to take a chance at an early stage on something that could have just been a misunderstanding. The company then released news that it was looking at a change towards agriculture and possibly medical. At first glance this may seem like nothing. But the name Satori is a high strain medical marijuana label used quite frequently and now the symbol BUD.V. I took a long shot and got on the bud train. I was almost alone though it seemed until the company announced they now had someone coming on board with extensive experience in a variety of things including marijuana operations.
"Mr. Walters is a senior management consultant to private and public companies within the mining and agricultural industries, and specializes in due diligence as it relates to a variety of consumer and agricultural products, particularly in relation to Marijuana for Medical Purposes Regulations (MMPR)." FULL STORY
Now the coincidences were adding up but in the real world only believe half of what you see and none of what you hear in the rumor mill. The facts have not truly come together yet but the company is setting new records for 2014 on volume with the TSX-V and more followers are starting to take seats on the train. I feel like I am on my own little marijuana money train but the destination is unknown and next stop is a bit sketchy. These facts have forced some to jump off the train without warning. Fear plays on the minds of traders in an uncertain market. I don't blame sellers for moving on with profits. I like risk, even very high risk. That's how you find high returns. More media seems to be latching onto this story and I see stockhouse writers are pointing out some of the volume and rise in share price now. I will keep up with the news and follow along for now on what has proven to be a story that has captured the attention and imagination of the markets.
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CONTENT POSTED ON THIS BLOG DOES NOT CONSTITUTE A BUY OR SELL RECOMMENDATION. MANY OF THE COMPANIES PROFILED HERE I AM NOT INVESTED IN AND DO NOT INTEND TO INVEST IN. THESE ARE MERELY MY THOUGHTS ON MARKET CONDITIONS AND STOCK VALUATIONS. INVESTING IN THE STOCK MARKET CAN BE VERY RISKY AND YOU SHOULD ALWAYS CONSULT AN INVESTMENT PROFESSIONAL BEFORE MAKING ANY DECISIONS. ULTIMATELY YOU ARE RESPONSIBLE FOR CONDUCTING YOUR OWN DUE DILIGENCE AND PROTECTING YOUR MONEY.
*Disclosure: I am invested in BUD.V
Satori Resources Inc V.BUD