The AdvisorShares Pure Cannabis ETF (YOLO), which became the second dedicated cannabis exchange traded fund in the U.S. when it debuted last month, has met the requirements for listed options.

YOLO, which is almost a month old, “has met listing requirements of the Chicago Board Options Exchange (CBOE) and that YOLO options are now listed for trading on the CBOE,” according to a statement.

YOLO seeks long-term capital appreciation by investing in both domestic and foreign cannabis equity securities. YOLO is designed to fully-invest for pure cannabis exposure under the guidance of a deeply experienced portfolio management team navigating the emerging cannabis marketplace.

The legal cannabis market in the U.S. is still in its formative stages. Roughly a quarter of the 50 states and Washington, D.C. have legalized marijuana for recreational purposes and almost half have legalized it for medicinal use.

Yearning For YOLO

“YOLO is the first US-listed actively managed ETF to deliver dedicated, fully-invested cannabis exposure,” according to the statement. “YOLO seeks long-term capital appreciation by investing in both domestic and foreign cannabis equity securities. This active ETF allocates across a universe of primarily US and Canadian cannabis companies engaging in legal businesses that span different industries, including those specializing in consumer products.”

Because of its active management component, YOLO can perform the necessary adjustments to its portfolio in quicker order versus a passive index-based strategy. According to AdvisorShares, this is of particular benefit given that the cannabis marketplace rapidly evolves, which can make way for a number of market fluctuations that can occur with investing in this niche space.

Underscoring the point that there is appetite among U.S. ETF investors for more marijuana funds, YOLO is almost a month old and has nearly $48 million in assets under management, according to issuer data. Investors have added $13.74 million to YOLO this month.

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