HANetf Medical Cannabis & Wellness ETF Adds Company Backed by Wahlberg and P.Diddy in Rebalance
- Four new securities added to CBDX, reflecting rapid growth in the
medical cannabis sector
- The Alkaline Water Company, backed
with investment from Hollywood’s Mark Wahlberg and P.Diddy added
- Launched in January 2020, CBDX is Europe’s first Medical Cannabis themed
UCITS ETF
- Follows rules-based process to identify and screen companies involved in
the medical cannabis, hemp and CBD sectors
11th March 2020 - The Medical Cannabis and Wellness UCITS ETF (CBDX) underwent its quarterly re-balance on 28th
February, resulting in the addition of four new constituents.
CBDX is the
first UCITS ETF to provide exposure to the rapidly growing medical cannabis,
CBD and hemp industries and was launched in January 2020 via HANetf’s unique
white label UCITS ETF platform with Purpose Investments as sponsor.
CBDX tracks the
rules-based Medical Cannabis and Wellness Equity Index from Solactive, that
consists of publicly listed companies conducting legal business activities
across nine thematic sub-sectors in the medical cannabis, hemp and CBD
industries. The index methodology embeds a rigorous multi-tiered screening
process to ensure that companies involved in the adult-use cannabis market are
identified and removed.
The four new
constituents enter the index with a combined weight of 13.6%:
- Akerna Corp (NASDAQ: KERN) – Vertical: Ancillary Services - A software provider offering
compliance and ERP technology to the medical cannabis and CBD industry. Akerna
consolidates cannabis technology companies to connect data points in the global
cannabis supply chain. Creates transparent and accountable consumer packaged
goods supply chain with global scale.
- The Alkaline Water Company (TSX:
WTER) Vertical: CBD and Wellness – Backed with
investment from Hollywood’s Mark Wahlberg and P.Diddy, The Alkaline Water Co is
one of the fastest-growing enhanced water brands, the company produces fruit
flavoured waters infused with CBD as well as topical and ingestible CBD
products. Currently the 10th largest enhanced water brand in the
United States, the company has a national distribution network and is
working on leveraging this network to launch their CBD infused brands.
- Tetra Bio-Pharma (CVE: TBP) - Vertical: Medical Cannabis - A medical development company focussing on Cannabinoid-derived
treatments to help address issues of chronic pain and ophthalmology, two of the
largest addressable market segments in medical cannabis.
- Grow Generation Corporation (NASDAQ:
GRWG) - Vertical: Ancillary Services - The largest hydroponics equipment supplier in the US, with over 25
sales/service centers in over 9 different states throughout the country. They
offer a full suite of hydroponics products for new builds and ongoing grows
alike.
There were no
deletions from the index during this rebalance.
Greg Taylor, CIO and Portfolio
Manager at Purpose Investments, said: “The medicinal cannabis industry is
getting larger and moving into a more mature phase of its development. This is
being reflected in the addition of companies to the index that represent a more
sophisticated and diverse market for cannabis products. As the use of medical
cannabis becomes more widespread in the United States and elsewhere, we expect
to see this trend continue in the months and years to come.”
Ignatius
Faissal, Director of Product Management at HANetf said: “The diversity
of the medical cannabis industry is highlighted by the results of this
rebalance, which has seen the inclusion of companies ranging from technology
suppliers to water brands. Our ongoing monitoring, coupled with regular reviews
ensure all constituents comply with the index rules and that we are capturing
the full eligible opportunity set for investors.”
CBDX Product Information
EXCHANGE |
BB CODE |
RIC |
ISIN |
SEDOL |
CCY |
INCOME |
London Stock Exchange |
CBDX |
CBDX.L |
IE00BG5J1M21 |
BGSXSL9 |
USD |
Acc |
London Stock Exchange |
CBDP |
CBDP.L |
IE00BG5J1M21 |
BGSXQX7 |
GBP |
Acc |
Borsa Italiana |
CBDX |
CBDX MI |
IE00BG5J1M21 |
BK77DJ3 |
EUR |
Acc |
XETRA |
CBSX |
CBSX.DE |
DE00A2PP!08 |
BJBL4D5 |
EUR |
Acc |
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