Hemp & CBD Small Business Investor Mandate Interview

TL;DR

The interview discusses hemp and CBD investments, the difference between them and marijuana, and potential investment opportunities in the industry.

Transcript

this is Richard C Wilson of the family office Club today were doing an investor mandate interview with Royce welcome right hello good morning what type of an investor are you I guess we both private but we're an institutional group fund something of a quasi family office that identifies opportunities and then goes to create the mandate to basically... Read More

Key Insights

• ❓ The interviewee's investment approach is cautious and focused on understanding the entire hemp process.
• ❓ CBD derived from hemp is legal, while CBD from marijuana is still classified as a drug.
• ❓ The hemp industry is fragmented, and many early investments in cannabis stocks have experienced failures.

Questions & Answers

Q: What is the difference between hemp and marijuana?

Hemp and marijuana are the same plant, classified differently due to their THC content. THC is the compound that gives the "high" and is more prevalent in marijuana.

Q: Can CBD have therapeutic benefits without being psychoactive?

CBD has low THC content, which means it doesn't have the psychoactive effects associated with marijuana. It can potentially have therapeutic benefits without altering brain function.

Q: What kind of CBD investments are you looking for?

The interviewee focuses on extraction and processing companies. They are interested in vertically integrated companies that understand the entire hemp process, from genetics to extraction methods.

Q: Are there opportunities in other hemp-related products besides CBD?

Yes, besides CBD, there are potential opportunities in hemp fibers for fabrics. However, the United States currently lacks the necessary infrastructure for a large-scale hemp fabric market.

Summary & Key Takeaways

• The interviewee is an institutional group fund with a focus on identifying investment opportunities and creating mandates.

• They initially focused on cannabis investments but shifted towards CBD and hemp after the passing of the 2018 farm bill.

• Hemp-derived CBD is legal, while CBD derived from marijuana is still classified as a drug.