When considering stock markets, the S&P 500 dropped 12% to 2,386.13 (15/3/20) — hitting its lowest level since December 2018 — while the Nasdaq Composite closed 12.3% lower at 6,904.59 in its worst day ever.  The FTSE 100 has also been through a turbulent time and suffered its worst daily drop since late March.  (11/6/20) According to City AM in recent news.
Not only have some of the world’s biggest stock market index’s plummeted due to the crisis, the property market has also witnessed a loss. According to Home&Property News, house prices fell by a second consecutive drop in UK property market after coronavirus lockdown.  (1/7/20)
So not only S&P 500, property and FTSE 100 amongst many other asset classes have found themselves in a similar deficit position. This sudden drop in market performance became a worrying time for those invested.
But it’s not all bad news for investing post-pandemic… The cannabis industry has not only been weathering the storm but is thriving and has demonstrated resiliency during an economic crisis. The reality is, in recent years the demand for medicinal cannabis that can treat a variety of diseases, conditions or ailments has risen and people are gaining genuine relief as traditional drugs are failing them, or creating addictions in the case of opioids. According to CannabisNewsWire “COVID Spikes a Tsunami of Cannabis Sales.”  (22/6/20)
At JPD Capital we strongly believe in the strength this market can offer which is why our managed projects are taking full advantage of the growth by raising funds through private investors to be one of the biggest pharmaceutical suppliers of medicinal cannabis into markets worldwide, with a destination focus on Europe. Prohibition Partners’ – expert analysts on the cannabis industry predict that the European market will be worth US$39.1 billion by 2024.  (7/11/19) One of our projects is Eco Equity and after experiencing minor delays due to COVID-19 the team managed to quickly get back on track with the construction works to stay within the tight deadline projections for a fully operational 2021.
According to investing expert Matthew Carr in a recent article by Forbes “I believe right now is a good time to start looking at cannabis stocks.”  (4/6/20) Further analysts are also advising that if you’re going to invest in anything, it should be cannabis as the market predictions are favourable. The demand is high, people are seeking new ways to cope with stress and anxiety during uncertain times which is another huge contributing factor to why investing now could set you up for big returns.
An independent analyst from ProActive investors broadcasted a full report on our project Eco Equity Ltd. Ed Stacey expects a quick and smooth move towards profitability and cash generation at our Zimbabwe facility. You can watch the full report on video here.  (10/6/20)
If you’re still sceptical about investing money during this turbulent time, even after learning about the cannabis industries recent success compared with other market sectors then you may need to discover what else is good about the budding cannabis industry – visit our blog about ways to educate yourself further. https://www.jpdcapital.com/putting-your-spare-time-to-good-use-cannabis-industry-insights/
1. https://www.cnbc.com/2020/03/15/traders-await-futures-open-after-fed-cuts-rates-launches-easing-program.html – (15/3/20)
2.https://www.cityam.com/ftse-100-plunges-after-fed-warns-of-dour-economic-outlook/ – (11/6/20)
3.https://www.homesandproperty.co.uk/property-news/uk-house-prices-fall-coronavirus-a139096.html – (1/7/20)
4. https://www.prnewswire.co.uk/news-releases/covid-spikes-a-tsunami-of-cannabis-sales-826184345.html – (22/6/20)
5. https://prohibitionpartners.com/2019/11/07/key-insights-from-the-global-cannabis-report/ – (7/11/19)
6. https://www.forbes.com/sites/irisdorbian/2020/06/04/betting-on-cannabis-during-and-post-covid-could-be-wise-move-says-investing-expert/ – (4/6/20)
7. https://www.proactiveinvestors.co.uk/companies/news/921551/eco-equity-analyst-expects-rapid-move-to-profitability-and-cash-generation-at-zimbabwe-facility-921551.html – (10/6/20)