History of my weedstock account- Part 1
It’s been a great year for investing in weedstocks, but it hasn’t come with some ups and downs. A lot of investors with large accounts get asked, how did you get to that level? What did you start with?
Luckily I’ve been sharing my account statuses on twitter, so I’ve put it all into a few posts to show the growth along with moves made such as buying while stocks dropped.
This is the beginning of my weedstock investing. I started with Canopy Growth (2014) and then bought some shares in a few other players. At the time I don’t think there were that many companies to choose from. I remember looking at EMH at .30 but bought ACB instead as EMH only had a 3,000sq ft grow space. Turns out EMH has done alright and is expanding.
ACB was gamble buy for me, this was before they announced the Aurora sky facility.
This was my account back in July. Weedstocks only accounted for 13,000 of it. This is relevant as I sold off some of my investments in this 80,000 in order to fund purchasing more weedstocks.
A few posts about current prices of APH and WEED.T. Holding long term.
From July to August 2016 my gains went up $4,000 I was pumped. I’m new to investing and just glad I’m not losing money.
Potstocks up another $2,000. Up 62%. You will see over time as I add more capital the % gains go down overall.
Overall account value steadily climbing up. Almost 20k made up from weedstocks. I was buying my company stock options helping to add account value, which later on I sold off the stocks and bought weedstocks. So I bought stock options which basically doubled my money, then sold off and used to invest in weedstocks for better growth.
I bought into Metrum, looks like I was buying the dip even back then. This purchase worked out nicely as Canopy Growth bought them out and I got 500 shares of WEED.T.
If you’ve been in the sector for a while you remember the huge run in Nov 2016. ACB went up to $6 in a matter of days. I should have sold some as that amount of growth in a few days was unsustainable. (But you could say the same for prices recently also)
So I had about 30k invested and it ran all the way to 130k. Was stupid not to lock in profits, but the run also lasted a few days so hard to know where the peak is. Shortly after they dropped down 30k. Then rebounded. Intra day highs were higher than what they actually closed at.
Getting burnt out watching weeedstocks, was tracking them every day in excel. Eventually stopped that bs. 36k leveled out to about 75k.
Looks like from December to February I added about $10,000 worth of capital. Part of that was the $5,500 I added to my TFSA in early January.
My overall account balance, now sitting at 230k. Continue to buy company stock options, which eventually I decide to sell off about 25% of them to fund weedstocks.
April 2017, I’m buying more. Not knowing that we will start seeing a huge decline in prices after April. April was when legislation came out and stocks peaked and then there was a steady sell off to June July. I bought ACB at 2.61 which looked good, then the stock dropped down to around 2.10 again. I bought more at that point. Canopy also dropped down to the $7 dollar range after this, I bought more at that point, 1000 shares worth. So a much bigger purchase as WEED.T dropped. Cronos is working out really well, I had bought on some highs but overall I’m up now that the stock is in the 4.00 range. Aphria, I didn’t like averaging up as I had made my first purchase around 1.00 but they are great company so I bit the bullet buying 6x higher.
With all the purchasing I did, now have 68,000 invested. Gain of 57%.
This update was before I bought the extra 1000 shares of WEED.T
This was hard. April to June we see huge downward pressure on potstocks. My account was dropping 5k a day. I was down to 20k in gains, could only last another 4 days until I would start being in the negative. This is when you really test your beliefs that you have invested in the right companies. My investment amount has gone up some more, now up to 71k invested. Lots of negative holdings. Have to buy while others are fear full including yourself! Weed.T is down to 6.82, this is when I jump on buying it.
I actually sold a stock, I bought into ICC and it pretty much doubled right away. No I didn’t sell at the huge peak. I sold later on after it dipped down and then came back up. Made almost 1K though, which was used to buy other stocks.