CANNAINVESTOR Magazine September / October 2016 - Page 29


These five facts may be the key Ecoforming markers that suggest the probable future of the legal Cannabis industry and therefore the likely success of investments based on due diligence and continuous monitoring including when to exit and open positions as needed. The growing sentiment by the American people in favour of access should start to influence the policy positions by candidates seeking election to various positions.

Other Ecoforming measures hinted at the start of this article include the placement of synthetic THC in a lower schedule than naturally derived THC. This in itself may lead to successful challenges particularly given the number of adverse reactions including death attribute to synthetic cannabinoids compared to no deaths from natural botanical cannabis (per Dr. Titus).

For many, the future is clear and the recent DEA and Appeals Court rulings in fact pave the way to future reclassification. Before the DEA ruling, the discussion assumed the decision would be binary: either to reclassify cannabis or not. In the August issue of CANNAINVESTOR MAGAZINE, I put forth a third scenario whereby DEA may decide to include marijuana in different classifications depending on the level of THC and/or CBD including remaining in Schedule 1 for marijuana that falls outside regulated parameters. The DEA’s decision, to not reschedule marijuana yet remove the monopoly granted for growing marijuana for research purposes combined with the Appeal Court’s ruling effectively creates that very environment because charges cannot be laid against any person or business in compliance with State laws and regulations.

How long will it before businesses that are in full compliance are granted full banking rights and privileges and other relevant treatment such as Section 280E of the Federal Tax Code.

I see #2 through #5 above as the requisite precursor of an industry growing in a more stable economic, political and regulatory environment and the outcome of the Federal election (#1) and the outcome of the various ballot measures from different states as the relative timetable and roadmap to get there. The events of the second half of 2016 may mark a watershed moment for the industry and could be ideal conditions to attract investment dollars. The prepared Retail Investor now has even more reason than ever to consider the legal Cannabis Industry.

For many, the future is clear and the recent DEA and Appeals Court rulings in fact pave the way to future reclassification!