The following article is a severely edited and abridged except of comments made by Anthony Varrell in today’s The Dales Report newsletter.
Gaetz’ Position On Cannabis Policy
“Trump has tapped the ever-controversial Matt Gaetz to join his administration as Attorney General. If this comes to pass, it would place one of the few Republican congressmen who actively supports and has voted for marijuana legalization at the helm of the nation’s law enforcement.
- Gaetz has co-sponsored the Marijuana Opportunity Reinvestment and Expungement (MORE) Act, which seeks to decriminalize cannabis at the federal level and address the injustices of the war on drugs.
- He’s argued that federal prohibition infringes on states’ rights and that reform is necessary for criminal justice.
- He’s also supported legislation to expand research into medical marijuana, emphasizing its potential benefits for veterans and patients with chronic illnesses.
In doing so, Gaetz has carved out a niche for himself as a conservative willing to cross the aisle—or at least peek over it—when it comes to cannabis policy.
Federal Stance On Cannabis Shifting?
Such an appointment would send a strong signal that the federal stance on cannabis might shift towards a more progressive approach, aligning with the ongoing efforts to reschedule marijuana—a move Gaetz has been on the record saying “is not enough”. His concern that merely rescheduling cannabis could open the door for large pharmaceutical companies to dominate the industry indicates he might push for reforms that protect small businesses and ensure equitable growth within the market.
Interestingly, however, while Gaetz voted in favor of federal legalization, he parted ways with some of his colleagues on a recent state-level measure to legalize adult-use cannabis in Florida, which failed at the ballot box. He argued that such significant policy changes should be enacted through the legislature rather than constitutional amendments, allowing for more flexibility and refinement over time.
Conclusion
If Gaetz does ascend to a higher office, his blend of conservative principles with progressive views on cannabis could significantly reshape the national conversation and legislation surrounding marijuana.”
The American Cannabis MSOs Portfolio
The American Cannabis MSOs Portfolio was still reeling on Monday, November 11th as a result of Trump’s election and Florida’s failure to pass its Amendment 3 legislation proposal the previous week. The report on November 13th of Gaetz being tapped by Trump to join his administration as Attorney General, however, buoyed the 7 stocks in the Portfolio by 23.3% by the end of the week , as follows, in descending order:
- Cresco Labs (CRLBF): UP 33.7%; DOWN 8.6% MTD
- only 7.8% (33) of its 72 retail outlets are in Florida
- Curaleaf Holdings (CURLF): UP 33.7%; DOWN 25.0% MTD
- 15.7% (66) of its 151 retail outlets are in Florida
- TerrAscend Corp. (TSNDF): UP 32.8%; DOWN 16.0% MTD
- No retail outlets in Florida
- Green Thumb Industries (GTBIF): UP 23.2%; DOWN 6.6% MTD
- only 5% (21) of its 99 retail outlets are in Florida
- Trulieve Cannabis (TCNNF): UP 22.3%; DOWN 44.6% MTD
- 37.1% (156) of its 220 retail outlets are in Florida
- Verano Holdings (VRNOF): UP 11.8%; DOWN 49.0% MTD
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- 18.8% (79) of its 152 retail outlets are in Florida
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- Ayr Wellness (AYRWF): UP 8.5%; DOWN 67.1% MTD
- 18.8% (65) of its 94 retail outlets are in Florida
In total, the American Cannabis MSO Stocks Portfolio is UP 23.3% since Monday, November 11th but remains DOWN 27.6% MTD.
The Canadian Cannabis LP Stocks Portfolio
The Canadian Cannabis LP Stocks Portfolio was impacted quite differently actually declining 7.3% since the announcement of Trump tapping Gaetz to join his administration as Attorney General and is DOWN a full 9.9% this week and is DOWN 17.6% MTD.
