Kevin O’Leary, star of ABC’s Shark Tank and chairman of O’Shares ETFs, is steering clear of investing in marijuana and cannabis stocks.

On a segment of Yahoo Finance this week, O’Leary said there were several reasons he wouldn’t be investing in cannabis.

“As an institutional investor I don’t touch this space and I don’t because it’s a Schedule 1 Narcotic – even cocaine isn’t a Schedule 1 narcotic,” O’Leary said. “But marijuana and CBDs are. So as an issuer of securities, someone who plays the markets institutionally, I don’t even have an option to look at this. I’m not an investor nor are 99% of institutional investors, so this is very much a retail phenomenon.”

Looking at the industry long-term, O’Leary said cannabis is “a total commodity no different than tobacco or vodka or anything else like that.”

Subscribe to our free daily newsletters!
Please enter your email address to subscribe to ETF Trends' newsletters featuring latest news and educational events.