Almost one-third of Canadians would consider investing in cannabis

Seven percent of Canadians are invested in cannabis, an OSC investor survey says, and another 23% would consider doing so.

Younger investors, particularly men, are more interested in the sector: 13% of men aged 18 to 34 have invested in cannabis, and 36% are interested. This compares to 6% of women the same age who own cannabis investments, and 26% who would consider them.

Among those who own cannabis equities, the survey found almost one-quarter (23%) had invested $10,000 or more.

And most them of them aren’t getting professional advice about their cannabis investments: only 18% listed “advice from a financial representative/portfolio manager” when asked about information sources, compared to 45% for company websites, 32% for advice from family and friends, and 31% for other financial websites and blogs.

The cannabis sector has been prone to large swings, and many advisors warn clients about the volatility and unpredictability.

The majority of cannabis investors (79%) are invested in stocks, compared to 9% for cannabis-focused mutual funds or ETFs.

The OSC’s research was conducted by Innovative Research Group and involved an online survey of 2,259 Canadians, aged 18 and older, between Oct. 11 and 22.

The survey, which was part of the OSC Investor Office’s financial literacy month activities, also delved into investor knowledge, savings expectations and estate planning.

Read the survey here.