AdvisorShares Launches the Poseidon Dynamic Cannabis ETF (Ticker: PSDN)
On November 16, 2021, AdvisorShares launched the Poseidon Dynamic Cannabis ETF (Ticker: PSDN), set to commence trading on November 17, 2021. The ETF aims for long-term capital appreciation by investing in companies poised to benefit from the cannabis industry globally. PSDN is sub-advised by Poseidon Investment Management, renowned for its expertise in the cannabis sector. This new ETF complements existing cannabis-focused ETFs, MSOS and YOLO, within AdvisorShares' portfolio, emphasizing a dynamic management approach to optimize returns.
- Launch of the Poseidon Dynamic Cannabis ETF (Ticker: PSDN) enhances AdvisorShares' cannabis investment offerings.
- PSDN is managed by Poseidon Investment Management, bringing expertise in the cannabis sector.
- The ETF targets global investments in the cannabis industry, potentially offering diversified returns.
- Investment in PSDN may expose investors to significant risks associated with the cannabis industry, including regulatory challenges.
- Leverage used by PSDN could amplify losses and increase volatility in investment returns.
- Investing in IPOs and newly public companies may introduce high volatility and unpredictability in share value.
BETHESDA, Md., Nov. 16, 2021 /PRNewswire/ -- AdvisorShares, a leading sponsor of actively managed ETFs and the largest cannabis fund manager, today announced that the AdvisorShares Poseidon Dynamic Cannabis ETF (Ticker: PSDN) will begin trading on Wednesday, November 17, 2021. PSDN is sub-advised by Poseidon Investment Management, one of the first firms dedicated to investing exclusively in the emerging cannabis industry. Poseidon was co-founded by managing directors Emily Paxhia and Morgan Paxhia, a sister and brother team. Emily and Morgan, along with fellow managing director, Tyler Greif, will serve as portfolio managers of PSDN.
The actively managed PSDN seeks long-term capital appreciation by investing globally in companies believed to be strategically positioned to benefit from the cannabis industry and its supporting infrastructure. PSDN's portfolio is diversified across subsectors of the cannabis industry and dynamically managed to tactically overweight or underweight specific countries, subsectors, or individual companies. PSDN may seek to take advantage of specific market opportunities by intelligently using leverage in an effort to maximize potential returns.
"We are excited to partner with Poseidon and deliver their institutional portfolio management in cannabis through a fully transparent and operationally efficient ETF," said Noah Hamman, chief executive officer of AdvisorShares. "We believe their established expertise, institutional pedigree and management history adds another compelling dimension to our cannabis ETF lineup as advisors and investors conduct due diligence about allocating to this highly specialized area of the marketplace."
"As one of the first investment firms dedicated to cannabis investments, we believe our unique skill set and demonstrated ability to navigate this nuanced and evolving market environment has served our investors well," said Emily Paxhia, co-founder and managing director of Poseidon, and portfolio manager of PSDN. "We have an established history of investing in and helping companies grow from the seed stage through initial public offerings. We feel our deep familiarity and first-hand knowledge of the cannabis industry has afforded us a discerning investment approach which we are now pleased to have universally accessible for investors through PSDN."
PSDN joins the AdvisorShares Pure US Cannabis ETF (Ticker: MSOS) and the AdvisorShares Pure Cannabis ETF (Ticker: YOLO) as dedicated cannabis investment strategies within the AdvisorShares ETF suite. For more information on PSDN, visit: advisorshares.com/etfs/psdn.
AdvisorShares remains committed to providing ongoing investment education for its ETF shareholders, prospective investors and the investment community at large. AdvisorShares regularly hosts live webinars featuring portfolio managers and leading industry experts. You may learn more and register at the AdvisorShares Event Center for upcoming educational sessions on different investment strategies including cannabis investing.
About AdvisorShares
AdvisorShares is a leading provider of active ETFs. For financial professionals and investors requesting more information, call 1-877-843-3831 or visit advisorshares.com. Follow @AdvisorShares on Twitter and on Facebook for more insights.
Before investing you should carefully consider the Fund's investment objectives, risks, charges and expenses. This and other information is in the prospectus, a copy of which may be obtained by visiting the Fund's website at www.AdvisorShares.com. Please read the prospectus carefully before you invest.
Foreside Fund Services, LLC, distributor.
There is no guarantee that the Fund will achieve its investment objective. An investment in the Fund is subject to risk, including the possible loss of principal amount invested.
Cannabis-Related Company Risk – Cannabis-related companies are subject to various laws and regulations that may differ at the state/local and federal level. These laws and regulations may (i) significantly affect a cannabis-related company's ability to secure financing, (ii) impact the market for marijuana industry sales and services, and (iii) set limitations on marijuana use, production, transportation, and storage. Cannabis-related companies may also be required to secure permits and authorizations from government agencies to cultivate or research marijuana. In addition, cannabis-related companies are subject to the risks associated with the greater agricultural industry, including changes to or trends that affect commodity prices, labor costs, weather conditions, and laws and regulations related to environmental protection, health and safety. Cannabis-related companies may also be subject to risks associated with the biotechnology and pharmaceutical industries. These risks include increased government regulation, the use and enforcement of intellectual property rights and patents, technological change and obsolescence, product liability lawsuits, and the risk that research and development may not necessarily lead to commercially successful products.
Leverage Risk. Leverage is investment exposure that exceeds the initial amount invested. The loss on a leveraged investment may far exceed the Fund's principal amount invested. Leverage may magnify the Fund's gains and losses and, therefore, increase volatility. The use of leverage may result in the Fund having to liquidate holdings when it may not be advantageous to do so.
IPO Risk. The Fund may invest in securities offered in IPOs or in companies that have recently completed an IPO. The market value of IPO shares can have significant volatility due to factors such as the absence of a prior public market, unseasoned trading, a small number of shares available for trading and limited information about the issuer.
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SOURCE AdvisorShares
FAQ
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