Global Cannabis Stock Index Takes Out Two Year Lows in September

After a 57.4% gain in Q1 followed by a pullback that had left it down 1% year-to-date as of the end of August, the Global Cannabis Stock Index moved sharply lower again in September, declining 16.0% to 53.25:

The index, which had 52 qualifying members during the month following the quarterly rebalancing at the end of June, declined 54.9% in 2018 and has now lost 16.8% as of the end of September:

The decline left the index at levels not seen in over two years and down more than 70% from its early 2018 high:

4 names gained more than 5% during September:

4 names fell by more than 45% during September, with several having substantial exposure to the vape industry:

We have also published separate reviews of the performance of the Canadian LP Index and the American Cannabis Operators Index:

The quarterly rebalancing at the end of September leaves the index with 44 names. Joining the index are cannabis retailer Fire & Flower (TSX: FAF) (OTC: FFLWF) and Canadian licensed producer Sundial Growers (NASDAQ: SNDL), while ten companies were removed due to insufficient trading volume, including Akerna (NASDAQ: KERN), AYR Strategies (CSE: AYR) (OTC: AYRSF), Body and Mind, cbdMD (NYSE American: YCBD), EnWave (TSXV: ENW) (OTC: NWVCF), Green Growth Brands (CSE: GGB) (OTGC: GGBXF), India Globalization Company (NYSE American : IGC),  SLANG Worldwide (CSE: SLNG) (OTC: SLGWF), TILT Holdings and WeedMD (TSXV: WMD) (OTC: WDDMF).

We will summarize the index performance again in a month. You can learn more about the index members and the qualifications for inclusion by visiting the Global Cannabis Stock Index. Be sure to bookmark the page to stay current on cannabis stock price movements within the day or from day-to-day.

New Cannabis Ventures maintains six proprietary indices designed to help investors monitor the publicly-traded cannabis stocks, including the Global Cannabis Stock Index as well as the Canadian Cannabis LP Index and its three sub-indices. The sixth index, the American Cannabis Operator Index, was launched at the end of October last year and tracks the leading cultivators, processors and retailers of cannabis in the United States.

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Exclusive article by Alan Brochstein, CFA
Alan Brochstein, CFA
Based in Houston, Alan leverages his experience as founder of online communities 420 Investor, the first and still largest due diligence platform focused on the publicly-traded stocks in the cannabis industry. With his extensive network in the cannabis community, Alan continues to find new ways to connect the industry and facilitate its sustainable growth. At New Cannabis Ventures, he is responsible for content development and strategic alliances. Before shifting his focus to the cannabis industry in early 2013, Alan, who began his career on Wall Street in 1986, worked as an independent research analyst following over two decades in research and portfolio management. A prolific writer, with over 650 articles published since 2007 at Seeking Alpha, where he has 70,000 followers, Alan is a frequent speaker at industry conferences and a frequent source to the media, including the NY Times, the Wall Street Journal, Fox Business, and Bloomberg TV. Contact Alan: Twitter | Facebook | LinkedIn | Email

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