Advisorshares Pure US Cannabis ETF (YOLO)

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Best Marijuana ETF to Buy in 2020

AdvisorShares Pure Cannabis ETF (YOLO)
AdvisorShares Pure Cannabis is the first actively managed marijuana ETF. The fund invests roughly 80% of its total assets in companies that earn more than 50% of their income from cannabis, hemp, and derivative products.

Unlike the other ETFs, the AdvisorShares Pure Cannabis doesn’t track any underlying index. Instead, it focuses on mid- and small-cap companies. The companies are mostly in the pharmaceutical, biotech, and life-science sectors.

This marijuana ETF invests in both domestic and international companies. Some of its overseas holdings include; CannTrust, OrganiGram Holdings Inc., and HEXO Corp.

With assets under management of over $40 million, it is one of the largest cannabis ETFs. The expense ratio of 0.74% is in line with the industry average. AdvisorShares Pure Cannabis is a unique ETF is that offers simultaneous exposure to cannabis and other consumer stocks.