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Marijuana is still federally illegal in the US. How is legal to invest in this industry?

As of January 2018, U.S. citizens can legally invest in publicly-traded stocks and funds related to the cannabis industry.

There are companies both within the US and abroad that engage in the lawful creation, marketing or distribution of products that use cannabinoids as an active ingredient. This can include tobacco, fertilizers, plant foods, pesticides, as well as real estate and personal health products.

It’s always a good idea to do your due diligence and check a stock or fund’s prospectus before purchasing an investment. All investments offered on Stash are regulated by the SEC and are therefore legal to invest in within the US. If you’d like to learn more about a particular investment please visit the investment profiles on Stash Learn.

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