For thousands of years, cannabis has been used mainly for two purposes: as medication and to get high. Today, this is still the case. Marijuana has been illegal in most parts of the world for either purpose for much of the last century. However, the dynamics are rapidly changing. In more than 30 countries, medical marijuana is now legal. Recreational pot in just a handful of countries is currently legal, but that number could also rise. With medical marijuana legal in many countries, investing in marijuana seems to form a new opportunity.

Traditional ways of investing seem to have failed investors multiple times in the past, especially during the time of the last financial crisis which started a decade ago. It’s natural for people who would like to grow their wealth to seek for alternative ways to invest their money and make some profit. Right now, marijuana stocks are the talk of the town. This is understandable given the increasing number of countries and states that in some form have legalized pot. Some project that in the next 10 to 15 years the annual global market for marijuana could be worth $150 billion or more.

Stocks may be difficult to manage sometimes. But even a beginner investor can learn what to do and what not to do with marijuana stocks. It should be noted that there are three main types of marijuana businesses: Marijuana growers which are companies that cultivate marijuana, the majority of cases in indoor facilities and greenhouses. The second type is cannabis-focused biotechs meaning companies that develop prescription drugs based on ingredients found in cannabis. The third and last type is providers of ancillary products and services. These are companies that provide key products and services to the marijuana industry, including consulting, distribution, hydroponics, lighting systems, and packaging.

You certainly need to be aware of the risks associated with investing in the marijuana industry before you purchase marijuana stocks or ETFs that hold marijuana stocks. Some of these risks are typical to any industry’s stocks, including possible market challenges and controversy possibilities. The question to be answered by each person is whether or not to invest in marijuana stocks. The answer to this question, as you might assume, depends primarily on your risk tolerance. There are definitely high-risk, high-reward plans for marijuana stocks. But while the risks are real, it is possible to know the benefits or not.

Investing in marijuana shares can be profitable for investors who search for alternative ways of investing their money and growing their wealth. The industry in many cases across the world has just been legalised which means that it is a fertile ground for making profits. A careful reading of the industry rules may help you grow your portfolio’s value in ways that you couldn’t have imagined until now.