Pot Plays
* I have sold $MSOS and I am putting the proceeds Into Green Thumb and Trulieve.
* And unlike in the MSOS ETF I am planning to weight $GTBIF much more heavily than $TRLV
After reviewing the earnings reports on the major cannabis companies – and giving this a lot of thought – I have decided to sell my entire MSOS holdings and to put the proceeds into Green Thumb and Trulieve. (I am now out of MSOS and I have been steadily adding to GTBIF and have begun to add to TRLV)
As you all know by now this is not the first time that I have moved out of MSOS and back into individual cannabis equities.
Also noted previously in my Diary, at times I have not been fully supportive of the portfolio management of the MSOS ETF – as it has added to certain cannabis stocks that I am uninterested in and do not find attractive. At the same time the portfolio manager of MSOS has steadily subtracted to cannabis stocks (like GTBIF) that I view as “best in class” and favor among any other stock in the cannabis universe ( on a intermediate term basis).
Currently Trulieve represents about 35% and Green Thumb represents only about 16% of MSOS. I do not want that ratio of representation in my holdings of cannabis. My current plan is to switch those ratings around by overweighting GTBIF relative to TRLV on about the exact reverse ratio that exists in the MSOS ETF.
The 3Q2026 top and bottom lines coupled with the high operating margins and cash flows at TRLV and GTBIF suggest to me that they are the premiere companies in the sector and are clearly the eventual winners as the regulatory tighthold is reduced.
*Importantly, upon a likely rescheduling of cannabis, I expect GTBIF to uplist to the NYSE. As such it will be immediately eligible to be included in some of the larger ETFs. In turn, GTBIF’s shares will benefit from inflows into those passive ETFs.
I remain long $TSNDF, $VRNO and $GLAS but have no plan to increase those weightings currently as a result of my observations above. (I eliminated CURLF earlier this week and I have taken a tax loss in a portion of my GLAS position but will likely reestablish that position (subject to the wash sale rule) in early December).
At the time of publication, Kass was long GTBIF M TRLV S VRNO VS.