1 00:00:02,240 --> 00:00:06,800 Speaker 1: This is Masters in Business with very Ridholts on Bloomberg Radio. 2 00:00:09,640 --> 00:00:12,760 Speaker 1: This week on the podcast, I have an extra special guest. 3 00:00:12,880 --> 00:00:15,720 Speaker 1: His name is Todd Harrison, and as you will be 4 00:00:15,800 --> 00:00:19,040 Speaker 1: able to tell from the listening, he and I know 5 00:00:19,120 --> 00:00:22,279 Speaker 1: each other for a more than a few years. We 6 00:00:22,320 --> 00:00:27,200 Speaker 1: go way back. Todd has really a fascinating career in finance, 7 00:00:27,280 --> 00:00:34,200 Speaker 1: and and a very atypical one. It began fairly uh reasonably. Um. 8 00:00:34,280 --> 00:00:37,400 Speaker 1: He ends up on Morgan Stanley's derivative desk, He goes 9 00:00:37,440 --> 00:00:39,720 Speaker 1: to Gallant, he goes to Kramer Berkowitz, and then he 10 00:00:39,760 --> 00:00:44,320 Speaker 1: starts doing some really really unusual, interesting different things. I 11 00:00:44,360 --> 00:00:49,400 Speaker 1: think you will find the space he's carved out presently 12 00:00:50,040 --> 00:00:55,960 Speaker 1: to be both very very interesting and somewhat unique. He 13 00:00:56,120 --> 00:00:59,920 Speaker 1: runs a hedge funds that focuses on health and whelming 14 00:01:00,080 --> 00:01:06,520 Speaker 1: us specifically through CBD and cannabinoids. That is, um, the 15 00:01:06,640 --> 00:01:09,640 Speaker 1: proper pronunciation of what I was messing up. I was 16 00:01:09,680 --> 00:01:13,399 Speaker 1: calling it cannaboids, but apparently that's wrong. Uh. It is 17 00:01:13,560 --> 00:01:19,559 Speaker 1: one of the many um active medical ingredients in marijuana. 18 00:01:19,959 --> 00:01:24,280 Speaker 1: He believes this is a space that is uniquely situated 19 00:01:24,640 --> 00:01:28,720 Speaker 1: to benefit from a number of waves uh, the changes 20 00:01:28,720 --> 00:01:31,360 Speaker 1: in demographics that are taking place with the aging of 21 00:01:31,400 --> 00:01:40,080 Speaker 1: American society, how expensive American healthcare and pharmaceuticals have become. Uh, 22 00:01:40,319 --> 00:01:43,920 Speaker 1: not only that, but the the huge change in the 23 00:01:44,040 --> 00:01:47,840 Speaker 1: science of what we're learning about the various molecules and 24 00:01:47,920 --> 00:01:53,000 Speaker 1: chemicals within marijuana and all of its medicinal applications. And 25 00:01:53,480 --> 00:01:55,880 Speaker 1: at the same time, he looks at this as a 26 00:01:56,040 --> 00:02:01,160 Speaker 1: wildly underserved space in the investment world. You know, when 27 00:02:01,200 --> 00:02:04,040 Speaker 1: I think about legalization, I think about people who are 28 00:02:04,440 --> 00:02:07,000 Speaker 1: gonna go get a PAXs pen or a vape and 29 00:02:07,000 --> 00:02:09,839 Speaker 1: and basically, you know, have a little bit of fun 30 00:02:09,840 --> 00:02:13,200 Speaker 1: on a Saturday night. He's looking at this completely differently. 31 00:02:13,240 --> 00:02:17,520 Speaker 1: This isn't about UM recreational weed. This is about the 32 00:02:17,600 --> 00:02:23,720 Speaker 1: application of science to the compounds in marijuana and everything 33 00:02:23,840 --> 00:02:27,520 Speaker 1: at all. That plus the opioid crisis, which UM there's 34 00:02:27,520 --> 00:02:31,720 Speaker 1: a huge overlap in UM helping to solve that and 35 00:02:31,800 --> 00:02:36,080 Speaker 1: some of the applications of cannabinoids and marijuana, and you 36 00:02:36,200 --> 00:02:40,280 Speaker 1: end up with what is really a fascinating conversation about 37 00:02:40,360 --> 00:02:44,639 Speaker 1: a fairly unique niche in in investing. And if you're 38 00:02:44,639 --> 00:02:47,480 Speaker 1: at all interested in this, I think you're gonna find 39 00:02:47,480 --> 00:02:51,359 Speaker 1: it fascinating. So, with no further ado, my conversation with 40 00:02:51,800 --> 00:02:59,440 Speaker 1: CB one Capital Partners Todd Harrison. This week I have 41 00:02:59,560 --> 00:03:03,400 Speaker 1: an extra special guest. His name is Todd Harrison, and 42 00:03:03,440 --> 00:03:07,080 Speaker 1: he has quite the career uh in finance. He spent 43 00:03:07,200 --> 00:03:11,600 Speaker 1: seven years on the worldwide equity derivative desk at Morgan 44 00:03:11,720 --> 00:03:16,200 Speaker 1: Stanley before leaving to manage derivatives at the Galleon Group. 45 00:03:16,560 --> 00:03:20,600 Speaker 1: He became president and chief trader at the four hundred 46 00:03:20,639 --> 00:03:25,320 Speaker 1: million dollar hedge fund Kramer Berkowitz. At the Street dot Com, 47 00:03:25,440 --> 00:03:29,360 Speaker 1: he created the Trading Diary, which, for my money, was 48 00:03:29,440 --> 00:03:34,400 Speaker 1: the first real time financial blog ever. He founded the 49 00:03:34,400 --> 00:03:37,640 Speaker 1: investor education site Minionville, author of the book The Other 50 00:03:37,680 --> 00:03:42,080 Speaker 1: Side of Wall Street. He currently is the founding partner 51 00:03:42,080 --> 00:03:46,960 Speaker 1: and chief investment officer of CB one Capital Management, a 52 00:03:47,080 --> 00:03:54,400 Speaker 1: healthcare fund focusing on medical canniboyds. Todd Harrison, Welcome to Bloomberg. 53 00:03:54,600 --> 00:03:57,240 Speaker 1: Thank you for having me, Barry, and I've been looking 54 00:03:57,320 --> 00:04:01,640 Speaker 1: forward to having a conversation with you on air for forever. 55 00:04:01,960 --> 00:04:05,120 Speaker 1: There's so much stuff to talk about. Let's start in 56 00:04:05,160 --> 00:04:08,480 Speaker 1: the nineties. You go from Morgan Stanley, where you're on 57 00:04:08,560 --> 00:04:12,880 Speaker 1: the derivative desk, to Galleon to Cramer Berkowitz. What was 58 00:04:13,080 --> 00:04:16,919 Speaker 1: that side of trading like during that sort of crazy 59 00:04:16,960 --> 00:04:20,680 Speaker 1: time the es Well, I think it's everything everybody hates 60 00:04:20,720 --> 00:04:23,240 Speaker 1: about trading now and the Wall Street persona, it was. 61 00:04:24,400 --> 00:04:26,440 Speaker 1: It was a lot looser, it was a lot more 62 00:04:26,600 --> 00:04:29,160 Speaker 1: maverick um, and I think the industry was a lot 63 00:04:29,200 --> 00:04:32,200 Speaker 1: more fun back then. You remember, we actually believed we 64 00:04:32,200 --> 00:04:35,920 Speaker 1: were doing uh, real utility in our work. We believe 65 00:04:35,960 --> 00:04:39,280 Speaker 1: we were facilitating the mechanism of the capital market structure, 66 00:04:39,640 --> 00:04:41,880 Speaker 1: and that was noble work. Back then, it was it 67 00:04:41,960 --> 00:04:45,760 Speaker 1: was God's work and so else. I stayed away from 68 00:04:45,760 --> 00:04:48,600 Speaker 1: that by design, but certainly I think there was there 69 00:04:48,640 --> 00:04:50,360 Speaker 1: was a lot, a lot of meaning in that. Back 70 00:04:50,440 --> 00:04:54,400 Speaker 1: before this we all became algorithmic and certainly dominated by 71 00:04:54,400 --> 00:04:58,640 Speaker 1: the computer world, and and also before it became less profitable, 72 00:04:58,760 --> 00:05:04,960 Speaker 1: less volatile, less um, less interesting as a career. So so, 73 00:05:05,160 --> 00:05:08,240 Speaker 1: Morgan Stanley, you're just a derivative trader. Are you trading 74 00:05:08,240 --> 00:05:11,039 Speaker 1: on your own behalf? You're trading on behalf of the 75 00:05:11,080 --> 00:05:13,640 Speaker 1: firm's clients. What are you actually doing on the desk? Well, 76 00:05:13,680 --> 00:05:16,159 Speaker 1: I was trading on the equity derivative desk, So I 77 00:05:16,200 --> 00:05:21,160 Speaker 1: was facilitating customer orderflow, but we also traded proprietarily back then, 78 00:05:21,240 --> 00:05:24,640 Speaker 1: So I had the biotech book, I had the financials 79 00:05:25,160 --> 00:05:28,160 Speaker 1: that I took as my own. But it was an 80 00:05:28,200 --> 00:05:31,359 Speaker 1: interesting journey to Morgan Stanley. I know, I didn't always 81 00:05:31,720 --> 00:05:34,960 Speaker 1: plan to be on Wall Street. When I went to Syracuse, 82 00:05:35,040 --> 00:05:37,919 Speaker 1: I was proficient in accounting and finance, and it was 83 00:05:37,960 --> 00:05:41,719 Speaker 1: really a jump ball back then. But uh, I was 84 00:05:41,760 --> 00:05:45,440 Speaker 1: accused of cheating on my UH my advanced finance class 85 00:05:45,920 --> 00:05:48,480 Speaker 1: mid term UH in my junior year, and as I 86 00:05:48,520 --> 00:05:52,160 Speaker 1: got pulled to the professor's office, he asked me a 87 00:05:52,240 --> 00:05:54,760 Speaker 1: number of questions and when I realized what the dynamic was, 88 00:05:55,839 --> 00:05:58,279 Speaker 1: you know, long story short, he ended up placing me 89 00:05:58,400 --> 00:06:01,560 Speaker 1: at Morgan Stanley in one in between my junior and 90 00:06:01,600 --> 00:06:04,080 Speaker 1: senior year of college. And that was really the beginning 91 00:06:04,120 --> 00:06:08,240 Speaker 1: of of really watching the energy and seeing the the 92 00:06:08,279 --> 00:06:10,360 Speaker 1: way this business worked. And I was hooked from from 93 00:06:10,360 --> 00:06:13,200 Speaker 1: the word go. So, so you dropped into the middle 94 00:06:13,240 --> 00:06:15,960 Speaker 1: of that sentence I was accused of cheating. I'm gonna 95 00:06:16,000 --> 00:06:19,080 Speaker 1: assume it wasn't. Oh, I have this ethicless kid who 96 00:06:19,160 --> 00:06:20,760 Speaker 1: was a cheat, or let me send them to London. 97 00:06:20,800 --> 00:06:24,799 Speaker 1: That's where they go he figured out, obviously you weren't cheating, 98 00:06:25,320 --> 00:06:28,039 Speaker 1: and what was the basis of the accusation? Were you 99 00:06:28,080 --> 00:06:30,200 Speaker 1: scoring too high on the test? Yes, I blew the 100 00:06:30,200 --> 00:06:32,159 Speaker 1: bell curve. So I think I got like a hundred 101 00:06:32,200 --> 00:06:34,719 Speaker 1: and fifty something on the mid term. And I thought 102 00:06:34,760 --> 00:06:37,000 Speaker 1: he was going to congratulate me. But you know, as 103 00:06:37,040 --> 00:06:39,240 Speaker 1: it turns out, he's Uh, he's a good man. And 104 00:06:39,720 --> 00:06:41,560 Speaker 1: I was actually in a fraternity with his brother, with 105 00:06:41,640 --> 00:06:44,240 Speaker 1: his with his son. Uh. It was. It turned into 106 00:06:44,279 --> 00:06:45,920 Speaker 1: a good story. But at the time it was an 107 00:06:45,920 --> 00:06:49,200 Speaker 1: interesting dynamic to go to London while you're in college 108 00:06:49,200 --> 00:06:51,880 Speaker 1: and to sit there. I was in operations control. I 109 00:06:51,920 --> 00:06:54,279 Speaker 1: brought the trade breaks to all the traders. I was 110 00:06:54,360 --> 00:06:58,159 Speaker 1: screamed at, yelled at, uh, completely demoralized, and I was hooked. 111 00:06:58,200 --> 00:06:59,560 Speaker 1: I said, that's where I want to be one day. 112 00:06:59,600 --> 00:07:01,120 Speaker 1: I want to be, not seat. I want to be 113 00:07:01,160 --> 00:07:04,159 Speaker 1: the screamer and not the scream a. So so Morgan 114 00:07:04,240 --> 00:07:07,040 Speaker 1: Stanley to the Galleon Group, which was then a huge 115 00:07:07,080 --> 00:07:10,880 Speaker 1: and very successful UM hedge fund prior to that little 116 00:07:11,120 --> 00:07:14,800 Speaker 1: hiccup towards the later years. What did you do with Galleon? Well, 117 00:07:14,840 --> 00:07:16,880 Speaker 1: I had two I had two roles there I traded 118 00:07:16,920 --> 00:07:19,080 Speaker 1: my own book, but really my primary role was to 119 00:07:19,120 --> 00:07:21,840 Speaker 1: manage the derivative book. Galley On when I started was 120 00:07:21,880 --> 00:07:25,679 Speaker 1: five hundred million. That grew to about five billion UM, 121 00:07:25,760 --> 00:07:28,200 Speaker 1: and it was it was a lot tougher than I expected, 122 00:07:28,240 --> 00:07:31,640 Speaker 1: without the infrastructure and the franchise behind me of Morgan Stanley. 123 00:07:32,120 --> 00:07:34,080 Speaker 1: But I think maybe some of that had to do 124 00:07:34,120 --> 00:07:36,240 Speaker 1: with the environment. Now, you know, I worked there for 125 00:07:36,280 --> 00:07:38,480 Speaker 1: two years only, and I think, you know, the writing 126 00:07:38,520 --> 00:07:40,560 Speaker 1: was on the wall after the first year, when there 127 00:07:40,560 --> 00:07:43,120 Speaker 1: was about a hundred million to whack up between five partners. 128 00:07:43,120 --> 00:07:45,560 Speaker 1: There were five partners in me, I was shut out 129 00:07:46,080 --> 00:07:48,840 Speaker 1: and and and subsequently the next year something very similar 130 00:07:48,920 --> 00:07:50,520 Speaker 1: happened and I was told that I didn't have what 131 00:07:50,600 --> 00:07:53,119 Speaker 1: it takes to make partner, which I was actually upset 132 00:07:53,120 --> 00:07:55,680 Speaker 1: about for some time. But that that that has passed, 133 00:07:56,800 --> 00:07:59,080 Speaker 1: I would imagine, So how do you end up going 134 00:07:59,120 --> 00:08:03,600 Speaker 1: from Galleon to Kramer Berkewitz. Well, Jeff Berkelewitz was always 135 00:08:03,600 --> 00:08:05,360 Speaker 1: a friend of mine and I knew they had a 136 00:08:05,360 --> 00:08:09,440 Speaker 1: tough year year prior. Uh So we had started a 137 00:08:09,440 --> 00:08:11,720 Speaker 1: conversation once the writing was on the wall at Galleon, 138 00:08:11,840 --> 00:08:13,440 Speaker 1: and he asked me to come over and that's where 139 00:08:13,480 --> 00:08:15,680 Speaker 1: I met Jim and and Jeff and it was a 140 00:08:15,680 --> 00:08:18,440 Speaker 1: good dynamic there. So I came in um and I 141 00:08:18,480 --> 00:08:21,080 Speaker 1: took control of the trading operation. I turned the desk 142 00:08:21,160 --> 00:08:24,160 Speaker 1: over and implemented risk protocols and uh, you know, it's 143 00:08:24,160 --> 00:08:26,240 Speaker 1: a terrific year that that was y two k So 144 00:08:26,400 --> 00:08:28,680 Speaker 1: that was the one year that Jim and I actually overlapped. 145 00:08:29,240 --> 00:08:31,760 Speaker 1: We did quite well that year, and I ended up 146 00:08:31,800 --> 00:08:33,719 Speaker 1: staying there for another couple of years after. And to 147 00:08:33,920 --> 00:08:36,200 Speaker 1: put for those people who may not be familiar with 148 00:08:36,480 --> 00:08:39,880 Speaker 1: Kramer Berkelewitz, you know, Jim Kramer, the talking head, but 149 00:08:40,160 --> 00:08:42,319 Speaker 1: I want to say their long time track record was 150 00:08:42,360 --> 00:08:45,560 Speaker 1: something like year compounded. Is that about right? That's a 151 00:08:45,760 --> 00:08:49,040 Speaker 1: very respectable track record. And you're gonna take credit for 152 00:08:49,040 --> 00:08:52,120 Speaker 1: how much of it? Very little? Very little. So from 153 00:08:52,200 --> 00:08:56,440 Speaker 1: that trading background at Kramer Berkowitz, Jim Kramer decides to 154 00:08:56,760 --> 00:08:59,800 Speaker 1: launch the Street dot com. And we'll talk more about 155 00:08:59,840 --> 00:09:04,000 Speaker 1: that later, but you decide to start writing for the Street, 156 00:09:04,600 --> 00:09:08,160 Speaker 1: a real time online trading diary. What what was the 157 00:09:08,200 --> 00:09:11,680 Speaker 1: motivation behind that? It wasn't my decision. This was Jim 158 00:09:11,720 --> 00:09:14,840 Speaker 1: going on vacation in July of two thousand and asking 159 00:09:14,880 --> 00:09:17,480 Speaker 1: me if I would fill in for a day, and 160 00:09:17,720 --> 00:09:21,599 Speaker 1: never having written before, but certainly Jim being Jim is 161 00:09:21,679 --> 00:09:24,760 Speaker 1: hard to say no to. And uh, it was something 162 00:09:24,800 --> 00:09:26,840 Speaker 1: that I had fun with. I was using pop culture 163 00:09:26,880 --> 00:09:30,839 Speaker 1: references in double entendres uh and and musical lyrics and 164 00:09:30,960 --> 00:09:33,199 Speaker 1: I happened to be extremely barished. This was the spring 165 00:09:33,320 --> 00:09:36,320 Speaker 1: or summer of of two thousands the case maybe uh, 166 00:09:36,360 --> 00:09:39,360 Speaker 1: and it just it just took and developed quite a 167 00:09:39,400 --> 00:09:41,920 Speaker 1: community out of that. So I think a lot of 168 00:09:42,080 --> 00:09:44,800 Speaker 1: people here in New York might be surprised to know 169 00:09:44,960 --> 00:09:50,120 Speaker 1: that New York has a legal medical marijuana uh set 170 00:09:50,120 --> 00:09:55,440 Speaker 1: of statutes that allows, on an extremely limited basis, the 171 00:09:55,679 --> 00:10:01,720 Speaker 1: prescription approachase and consumption by people UM who have very 172 00:10:01,760 --> 00:10:05,960 Speaker 1: specific diseases. New York is nothing like California. Just say, 173 00:10:06,440 --> 00:10:09,120 Speaker 1: you know Oregon or Colorado or any of the other 174 00:10:09,160 --> 00:10:14,320 Speaker 1: places that have really moved from the criminalization to um 175 00:10:14,480 --> 00:10:18,400 Speaker 1: full on legalization. What what is the New York situation? Well, 176 00:10:18,440 --> 00:10:21,920 Speaker 1: they actually just expanded the access to include PTSD and 177 00:10:21,960 --> 00:10:25,720 Speaker 1: that's actually how I got my cannabis card in New York. 178 00:10:25,800 --> 00:10:29,240 Speaker 1: Is true? That is true, UM, And it wasn't going 179 00:10:29,280 --> 00:10:31,760 Speaker 1: to talk about this, but certainly as a as a 180 00:10:31,800 --> 00:10:34,880 Speaker 1: bit of a context for the card. Uh. Nine eleven 181 00:10:35,000 --> 00:10:36,719 Speaker 1: was very profound for all of us. So I was 182 00:10:36,760 --> 00:10:39,800 Speaker 1: going to say, anyone who worked with Cramer is Jim's 183 00:10:39,840 --> 00:10:42,920 Speaker 1: a good man. Uh. So you know nine eleven, we 184 00:10:42,920 --> 00:10:46,520 Speaker 1: were down there, that's where our office was. And and certainly, uh, 185 00:10:46,559 --> 00:10:50,520 Speaker 1: you were right on Fulton, so we you know, certainly 186 00:10:50,880 --> 00:10:53,200 Speaker 1: you know, heard the bang and saw people holding hands 187 00:10:53,240 --> 00:10:56,840 Speaker 1: and jumping, and saw the second plane entering the building, 188 00:10:56,880 --> 00:11:00,800 Speaker 1: and um, you know, it was a pretty horrow experience. 189 00:11:00,840 --> 00:11:03,800 Speaker 1: But I remember that I refused to really let myself 190 00:11:04,000 --> 00:11:07,280 Speaker 1: feel bad because I felt guilty because so many people 191 00:11:07,320 --> 00:11:11,160 Speaker 1: lost so much more. And I thought, and although it 192 00:11:11,200 --> 00:11:14,520 Speaker 1: is doesn't seem to be the healthiest way to well clearly, 193 00:11:14,559 --> 00:11:17,280 Speaker 1: but what ended up happening is over the course of 194 00:11:18,400 --> 00:11:22,920 Speaker 1: the treatment protocol, I was I was um prescribed a 195 00:11:23,000 --> 00:11:28,240 Speaker 1: numerous different medications anti anxiety, anti depression. Uh, and before 196 00:11:28,240 --> 00:11:29,839 Speaker 1: I knew what I was stocked on four or five 197 00:11:29,880 --> 00:11:32,960 Speaker 1: different medications. That was really just it changed who I 198 00:11:33,000 --> 00:11:34,920 Speaker 1: was as a person and really changed how I was 199 00:11:34,960 --> 00:11:37,280 Speaker 1: able to think and act um. And it was during 200 00:11:37,320 --> 00:11:39,839 Speaker 1: a time that that significant and impact Ye and it's 201 00:11:39,840 --> 00:11:42,040 Speaker 1: not this is not a this is not a solo story. 202 00:11:42,080 --> 00:11:43,600 Speaker 1: There's a lot of people out there that I think 203 00:11:43,600 --> 00:11:45,920 Speaker 1: are are going through this right now and they become 204 00:11:45,960 --> 00:11:48,800 Speaker 1: dependent on these prescription drugs. And you know, that was 205 00:11:48,880 --> 00:11:50,839 Speaker 1: really one of the catalysts for me to really start 206 00:11:50,880 --> 00:11:54,040 Speaker 1: to dive down into the Canada space. I started to 207 00:11:54,080 --> 00:11:56,679 Speaker 1: invest in a company called GW Pharmaceuticals a number of 208 00:11:56,760 --> 00:11:59,600 Speaker 1: years ago, and you know, they're studying the plant right there, 209 00:11:59,600 --> 00:12:01,160 Speaker 1: taking a not a noise out of the plant and 210 00:12:01,200 --> 00:12:04,000 Speaker 1: studying it for efficacy. So these are people rolling up 211 00:12:04,080 --> 00:12:06,520 Speaker 1: joints and striking weeds. These are people who are actually 212 00:12:06,840 --> 00:12:09,320 Speaker 1: either consuming it in a pill form or or some 213 00:12:09,440 --> 00:12:13,959 Speaker 1: other assumption like traditional pharmaceuticals. Sure, and that's really what 214 00:12:13,960 --> 00:12:17,199 Speaker 1: what UH really enlightened me because for a long time, 215 00:12:17,240 --> 00:12:19,800 Speaker 1: and I remember going on TV about eight years ago 216 00:12:19,840 --> 00:12:23,040 Speaker 1: talking about cannabis is my single best investment idea for 217 00:12:23,080 --> 00:12:25,360 Speaker 1: the next decade. And I was a little early, but 218 00:12:25,440 --> 00:12:27,520 Speaker 1: certainly I was also wrong, and that I was looking 219 00:12:27,520 --> 00:12:30,080 Speaker 1: at the job growth to tax revenue, the prison population, 220 00:12:30,240 --> 00:12:32,680 Speaker 1: crime rate and saying this makes sense. I failed to 221 00:12:32,679 --> 00:12:35,839 Speaker 1: realize the coordinated agenda by the big pharmaceutical companies to 222 00:12:35,920 --> 00:12:38,640 Speaker 1: keep this illegal, and all of that that I studied 223 00:12:38,679 --> 00:12:40,840 Speaker 1: and look back on it really what I think is 224 00:12:41,320 --> 00:12:44,440 Speaker 1: criminal activities on the part of the government to really 225 00:12:44,440 --> 00:12:46,559 Speaker 1: suppress this given what they knew at the time in 226 00:12:46,640 --> 00:12:49,960 Speaker 1: terms of efficacy. So here's the question on that. Years 227 00:12:50,040 --> 00:12:53,480 Speaker 1: and years and years ago, like the eighties and nineties, 228 00:12:54,120 --> 00:12:57,760 Speaker 1: I always heard weed is going to be legal because 229 00:12:57,920 --> 00:13:01,320 Speaker 1: all the big tobacco companies know that their products killing people, 230 00:13:01,760 --> 00:13:03,280 Speaker 1: and they know how to grow, and they know how 231 00:13:03,320 --> 00:13:04,679 Speaker 1: to roll, and they know how to do all this, 232 00:13:05,160 --> 00:13:08,280 Speaker 1: and one day the switch is gonna flip and you know, 233 00:13:08,400 --> 00:13:11,640 Speaker 1: Philip Morris and Brown and Williamson and all those companies 234 00:13:11,800 --> 00:13:14,400 Speaker 1: are going to go from selling cigarettes to selling joints. 235 00:13:15,160 --> 00:13:18,200 Speaker 1: That never happens. That's not true. It actually is happening now. 236 00:13:18,320 --> 00:13:21,600 Speaker 1: It is now. I mean that never happened where where 237 00:13:21,960 --> 00:13:24,560 Speaker 1: I certainly didn't happen on my timeline to be to 238 00:13:24,679 --> 00:13:29,280 Speaker 1: be um precise, how much is that actually happening? And 239 00:13:29,360 --> 00:13:32,040 Speaker 1: what I'm trying to tee up is how much is 240 00:13:32,120 --> 00:13:35,319 Speaker 1: that same pivot going to take place with the pharmaceutical 241 00:13:35,320 --> 00:13:39,520 Speaker 1: industry that's been fighting what appears to be a losing battle. Well, 242 00:13:39,559 --> 00:13:41,760 Speaker 1: We've been saying for some time that the by build 243 00:13:41,800 --> 00:13:45,240 Speaker 1: was going to migrate across for spaces by build by build, 244 00:13:45,360 --> 00:13:48,319 Speaker 1: So it's not as easy as dropping seeds in the 245 00:13:48,400 --> 00:13:50,199 Speaker 1: ground and growing a cannabis plant. There's a lot of 246 00:13:50,240 --> 00:13:51,960 Speaker 1: science and we're gonna talk a little bit about the 247 00:13:51,960 --> 00:13:56,280 Speaker 1: frontier science the endocannabinoid system, UH and what the science 248 00:13:56,320 --> 00:13:59,120 Speaker 1: behind this is. And it's really fascinating. It's it's for 249 00:13:59,160 --> 00:14:01,319 Speaker 1: those who are intellect really curious. This is a rabbit 250 00:14:01,360 --> 00:14:04,360 Speaker 1: hole that I still haven't climbed out of, but we've 251 00:14:04,400 --> 00:14:07,559 Speaker 1: seen it. We saw Constellation Brands take a stake in 252 00:14:07,640 --> 00:14:10,680 Speaker 1: Canopy that was on the beverage side. We saw a 253 00:14:10,800 --> 00:14:14,960 Speaker 1: oy by a Canadian growers, so that's on the tobacco side. Uh. 254 00:14:15,040 --> 00:14:16,599 Speaker 1: And we think the next phase is going to be 255 00:14:16,679 --> 00:14:19,800 Speaker 1: biopharmaceutical and then ultimately consumer goods because if you think 256 00:14:19,800 --> 00:14:23,120 Speaker 1: about it, as more supply comes on, the prices will decline. 257 00:14:23,320 --> 00:14:25,880 Speaker 1: That's going to help people who use cannabis as an ingredient. 258 00:14:26,160 --> 00:14:27,800 Speaker 1: That's going to help their margins on the back end. 259 00:14:28,280 --> 00:14:32,680 Speaker 1: That's quite fascinating. You mentioned an investment in Canada. Last year, 260 00:14:33,240 --> 00:14:39,000 Speaker 1: Canada passed the law that essentially says they're decriminalizing marijuana 261 00:14:39,120 --> 00:14:42,320 Speaker 1: as a country, the first G seven country to do. So, 262 00:14:42,800 --> 00:14:47,600 Speaker 1: what what's gonna happen with that? Well, there, that's gonna happen, clearly. 263 00:14:47,640 --> 00:14:50,640 Speaker 1: But I think part of part of the mist perception 264 00:14:50,680 --> 00:14:54,280 Speaker 1: about Canadian cultivators is people are extrapolating that to the 265 00:14:54,320 --> 00:14:58,000 Speaker 1: Canadian population, but in actuality, what they are going to 266 00:14:58,240 --> 00:15:00,320 Speaker 1: be is a service station to the world. So they 267 00:15:00,320 --> 00:15:02,240 Speaker 1: have deals with Germany, they have deals all over the 268 00:15:02,560 --> 00:15:04,760 Speaker 1: all over the world, and you're seeing this sweeping across 269 00:15:04,800 --> 00:15:07,560 Speaker 1: the world, whether it's followed the money, whether it's people 270 00:15:07,600 --> 00:15:10,760 Speaker 1: are understanding for the first time the efficacy. What's interesting 271 00:15:10,840 --> 00:15:14,320 Speaker 1: is the morning that Jeff Sessions revoked the Coal Memorandum 272 00:15:14,360 --> 00:15:16,920 Speaker 1: the Australian and then explain that for people who may 273 00:15:16,920 --> 00:15:20,800 Speaker 1: not the Cole Memorandum effectively protected the States from government 274 00:15:20,840 --> 00:15:24,600 Speaker 1: interference under President Obama, correct, all right, and then under 275 00:15:24,640 --> 00:15:28,560 Speaker 1: President Trump Sessions Sessions provoked that And then didn't we 276 00:15:28,960 --> 00:15:32,080 Speaker 1: just here a deal with Corey Booker and who was 277 00:15:32,120 --> 00:15:35,680 Speaker 1: blocking some of the President's appointments and President Trump it 278 00:15:35,720 --> 00:15:39,440 Speaker 1: was Corey Gardner in in Colorado. But um, you know, 279 00:15:39,480 --> 00:15:41,360 Speaker 1: when we've been saying for some time now that we 280 00:15:41,400 --> 00:15:44,400 Speaker 1: think that the foremost dangerous words in finance, this time 281 00:15:44,480 --> 00:15:47,280 Speaker 1: is different. That this time is in fact different because 282 00:15:47,280 --> 00:15:50,560 Speaker 1: it's an election year and you have of the constituency 283 00:15:50,600 --> 00:15:53,400 Speaker 1: that's supportive of medical cannabis. That's amazing, And the only 284 00:15:53,440 --> 00:15:57,880 Speaker 1: thing that politicians like more than lobby money is being reelected. 285 00:15:58,160 --> 00:16:00,200 Speaker 1: So we actually have been saying for some time that 286 00:16:00,240 --> 00:16:02,320 Speaker 1: we thought that you're gonna see a pretty significant pivot 287 00:16:02,360 --> 00:16:05,200 Speaker 1: this year. And sure enough, you saw Mitch McDonald, Mitch 288 00:16:05,680 --> 00:16:08,440 Speaker 1: McConnell with the Hemp bill. You saw John Bayner. Now, 289 00:16:08,480 --> 00:16:12,200 Speaker 1: by the way, Bayner was rapidly anti hot when he 290 00:16:12,320 --> 00:16:14,960 Speaker 1: was Speaker of the House. And what happened He saw 291 00:16:15,000 --> 00:16:18,000 Speaker 1: a little bit of that no pun intended leafy green 292 00:16:18,080 --> 00:16:21,720 Speaker 1: stuff and suddenly he changed his view. Well, there's that, 293 00:16:21,800 --> 00:16:23,920 Speaker 1: but there's also what I think the real You know, 294 00:16:23,920 --> 00:16:27,200 Speaker 1: when we talk about this investment in our strategy really 295 00:16:27,200 --> 00:16:30,120 Speaker 1: through the lens of four arbitrages, right, arbitrage of time 296 00:16:30,200 --> 00:16:33,400 Speaker 1: versus policy. Right, we do believe this is efficacious and oh, 297 00:16:33,400 --> 00:16:35,240 Speaker 1: by the way, the only way the US government can 298 00:16:35,240 --> 00:16:37,680 Speaker 1: tax this as if it's through the FDA. Right, we 299 00:16:37,680 --> 00:16:41,040 Speaker 1: believe it's an arbitrage of of price versus UH the 300 00:16:41,120 --> 00:16:43,960 Speaker 1: high net worth individuals and the US institutions that are 301 00:16:43,960 --> 00:16:47,240 Speaker 1: going to be on boarding to the space. Vanguard very 302 00:16:47,320 --> 00:16:49,560 Speaker 1: quietly has become a top five holder in all of 303 00:16:49,560 --> 00:16:52,920 Speaker 1: the Canadian majors. Now is that is that within their 304 00:16:52,920 --> 00:16:55,520 Speaker 1: indexes or is that within the one and a half 305 00:16:55,520 --> 00:16:59,600 Speaker 1: two trillion that's active. I don't know the answer to that, 306 00:16:59,680 --> 00:17:02,080 Speaker 1: but I know that. But I do know that when 307 00:17:02,120 --> 00:17:05,240 Speaker 1: I've gone to these conferences, I've seen Fidelity, Vanguard, Putnam, 308 00:17:05,280 --> 00:17:08,920 Speaker 1: Goldman all walking around. These barbarians are massing at the gate. 309 00:17:09,000 --> 00:17:11,560 Speaker 1: If if if institutions don't chase growth, it'll be the 310 00:17:11,560 --> 00:17:14,359 Speaker 1: first time in my thirty years that it hasn't happened that. 311 00:17:14,359 --> 00:17:18,040 Speaker 1: That's so. So here's the question. How big can the 312 00:17:18,160 --> 00:17:22,760 Speaker 1: market for medical marijuana become? Well, Gallup right now is 313 00:17:22,760 --> 00:17:26,000 Speaker 1: saying it's about a three and twenty billion dollar annual 314 00:17:26,119 --> 00:17:30,200 Speaker 1: market all in. What is that comparable to? I mean, 315 00:17:30,440 --> 00:17:32,000 Speaker 1: you know we have talked, You and I have talked 316 00:17:32,040 --> 00:17:35,520 Speaker 1: about the parallel with prohibition and alcohol coming on. I 317 00:17:35,560 --> 00:17:38,760 Speaker 1: think that's a non linear comparison because alcohol never killed 318 00:17:38,840 --> 00:17:42,439 Speaker 1: cancer cells, alcohol never reduced epileptic seizures. We think that 319 00:17:42,480 --> 00:17:45,400 Speaker 1: the third arbitrage I alluded to is perception getting well 320 00:17:45,520 --> 00:17:47,720 Speaker 1: versus getting high. We think this is about getting well, 321 00:17:47,920 --> 00:17:51,240 Speaker 1: and we talked about earlier with the coal memorandum. The 322 00:17:51,240 --> 00:17:54,080 Speaker 1: health ministers of Australia and Canada came out that morning 323 00:17:54,119 --> 00:17:57,119 Speaker 1: and said they wanted to dominate the world in cannabis. Now. 324 00:17:57,400 --> 00:17:59,480 Speaker 1: Their health ministers said this, now, unless they want a 325 00:17:59,560 --> 00:18:01,800 Speaker 1: nation full of stoners. We're betting that they see what 326 00:18:01,840 --> 00:18:04,040 Speaker 1: we see in terms of the efficacy. And this is 327 00:18:04,040 --> 00:18:06,480 Speaker 1: the untold story here. This is why it's so powerful 328 00:18:06,880 --> 00:18:09,199 Speaker 1: right the people. There are people on the right thing 329 00:18:09,320 --> 00:18:11,359 Speaker 1: that think this is the devil's weed. There are people 330 00:18:11,400 --> 00:18:13,199 Speaker 1: on the left that like to smoke a vaporizer on 331 00:18:13,200 --> 00:18:15,240 Speaker 1: a Saturday night. But all of us, if somebody that 332 00:18:15,280 --> 00:18:17,439 Speaker 1: we love is suffering, we want the best care with 333 00:18:17,480 --> 00:18:20,080 Speaker 1: the least amount of side effects. And that's the story here. 334 00:18:20,119 --> 00:18:23,520 Speaker 1: This is a wellness story I know, and full disclosure, 335 00:18:23,520 --> 00:18:26,280 Speaker 1: I know Todd for a couple of decades. We both 336 00:18:26,359 --> 00:18:29,560 Speaker 1: wrote at the Street dot com back in the day. 337 00:18:29,359 --> 00:18:32,080 Speaker 1: I have to talk a little bit about that. We 338 00:18:32,119 --> 00:18:36,440 Speaker 1: mentioned the trading diary that you filled in for a day. 339 00:18:36,520 --> 00:18:40,920 Speaker 1: How did that become a daily routine. Interestingly, I found 340 00:18:40,960 --> 00:18:43,440 Speaker 1: that it helps synthesize my thought process. And I've always 341 00:18:43,480 --> 00:18:45,160 Speaker 1: looked at the market and said, there's always a bear 342 00:18:45,240 --> 00:18:46,840 Speaker 1: case and there's always a bowl case. And if you 343 00:18:46,880 --> 00:18:49,440 Speaker 1: could you know that that friction between those opinions is 344 00:18:49,480 --> 00:18:53,440 Speaker 1: where both education is found, but it's also where profitability lies, right, um. 345 00:18:53,600 --> 00:18:57,440 Speaker 1: And so I I took to it, uh the online platform, 346 00:18:57,520 --> 00:19:00,320 Speaker 1: and keep in mind this is before blogs and social media, 347 00:19:00,440 --> 00:19:03,359 Speaker 1: so it was still, um, a bit of a pedestal, 348 00:19:03,400 --> 00:19:06,840 Speaker 1: I guess, but I enjoyed it because it allowed me 349 00:19:06,880 --> 00:19:10,439 Speaker 1: an opportunity to uh synthesize my thoughts and really lay 350 00:19:10,480 --> 00:19:13,640 Speaker 1: it out there in a way that held me accountable 351 00:19:13,680 --> 00:19:16,240 Speaker 1: to really following my own my own thought process. That 352 00:19:16,240 --> 00:19:20,280 Speaker 1: that's a very um astute insight. Daniel Burston was the 353 00:19:20,359 --> 00:19:25,080 Speaker 1: Librarian of Congress and his famous line was, uh, I 354 00:19:25,200 --> 00:19:27,960 Speaker 1: write to figure out what I think, and besides, the 355 00:19:28,000 --> 00:19:30,760 Speaker 1: bars aren't open at that hour. And uh, you pretty 356 00:19:30,800 --> 00:19:35,760 Speaker 1: much said something similar. So the trading diary continues, and 357 00:19:35,800 --> 00:19:38,520 Speaker 1: you did that for a long time. I recall you 358 00:19:38,560 --> 00:19:41,520 Speaker 1: mentioned there's always a bull and bear case. You came 359 00:19:41,560 --> 00:19:43,919 Speaker 1: up with a great metaphor for your putting on your 360 00:19:43,920 --> 00:19:47,119 Speaker 1: bullsuit or your bear suit. I have one one hoof in, 361 00:19:47,240 --> 00:19:51,040 Speaker 1: I have two hoofs in. You you literally explained for 362 00:19:51,359 --> 00:19:56,560 Speaker 1: readers not just I'm bullish, embars hey, I'm se bullish 363 00:19:56,680 --> 00:20:00,439 Speaker 1: or how did the process of writing help with your 364 00:20:00,440 --> 00:20:02,440 Speaker 1: own trade? Well, as I said, I think it held 365 00:20:02,440 --> 00:20:05,800 Speaker 1: me accountable, but it also it also allowed for more 366 00:20:05,840 --> 00:20:09,080 Speaker 1: sequencing in my thought process. So, uh, you know, certainly, 367 00:20:09,200 --> 00:20:11,520 Speaker 1: and we talked a lot about you know, there's always 368 00:20:11,520 --> 00:20:13,159 Speaker 1: this bowl case and the always this bearcase, and we 369 00:20:13,240 --> 00:20:15,879 Speaker 1: sort of brought them to life with the characters that 370 00:20:15,960 --> 00:20:18,880 Speaker 1: we invented and animated and ultimately, you know, they won 371 00:20:19,080 --> 00:20:22,639 Speaker 1: an Emmy Award for their work, and Huffy and Booch certainly, 372 00:20:22,680 --> 00:20:25,560 Speaker 1: and you know, the perfect media prize, right, an Emmy award. 373 00:20:25,560 --> 00:20:27,320 Speaker 1: It looks nice on the mantel, it's nice and shiny, 374 00:20:27,359 --> 00:20:30,480 Speaker 1: but the zero revenue attached, you know. So but that 375 00:20:30,560 --> 00:20:33,400 Speaker 1: was but that was you know, the idea behind Minonville 376 00:20:33,480 --> 00:20:35,240 Speaker 1: was really to create a vertical from the A, B 377 00:20:35,359 --> 00:20:37,159 Speaker 1: C s to the four one case. You know, we 378 00:20:37,240 --> 00:20:43,800 Speaker 1: identified financial awareness, financial empowerment, financial literacy by another name. Uh, 379 00:20:43,920 --> 00:20:45,800 Speaker 1: you know, through my writing at the Street Dot com 380 00:20:46,000 --> 00:20:47,760 Speaker 1: realized that there's a lot of people out there that 381 00:20:47,840 --> 00:20:49,680 Speaker 1: need the help, that want the help, that are good 382 00:20:49,680 --> 00:20:51,880 Speaker 1: people who deserve the help. And I sort of took 383 00:20:51,920 --> 00:20:55,080 Speaker 1: that upon myself to to do that. And for fifteen 384 00:20:55,160 --> 00:20:58,240 Speaker 1: years that was a very meaningful way to spend my day. 385 00:20:58,280 --> 00:21:00,760 Speaker 1: Not a very profitable way to spend my Uh you know, 386 00:21:00,800 --> 00:21:03,480 Speaker 1: I traded my own account throughout the al but uh, 387 00:21:03,520 --> 00:21:05,600 Speaker 1: you know, certainly, I think psychic income was at an 388 00:21:05,640 --> 00:21:09,000 Speaker 1: all time high. So my colleague Josh Brown called the 389 00:21:09,040 --> 00:21:13,879 Speaker 1: Street dot com the motown records of the financial web. 390 00:21:14,400 --> 00:21:19,960 Speaker 1: And I could point to just about every institution that 391 00:21:20,040 --> 00:21:26,760 Speaker 1: covers trading economy, markets, media UM from from from Bloomberg 392 00:21:26,800 --> 00:21:28,560 Speaker 1: to the New York Times, the Wall Street Journal to 393 00:21:29,200 --> 00:21:32,800 Speaker 1: you name it, and there's a huge pro publica, a 394 00:21:32,960 --> 00:21:37,080 Speaker 1: huge swath of people um that trace their roots back 395 00:21:37,119 --> 00:21:40,080 Speaker 1: to the Street dot Com. So I have two questions 396 00:21:40,119 --> 00:21:43,760 Speaker 1: for you about that. What was the feeling like inside 397 00:21:43,920 --> 00:21:49,200 Speaker 1: the Street when this new idea of democratizing research rolled out? 398 00:21:49,680 --> 00:21:54,240 Speaker 1: And then what was the leaping off aha moment Frommingonville 399 00:21:54,400 --> 00:21:58,720 Speaker 1: as a as an educational outlet. Sure, so I think 400 00:21:58,720 --> 00:22:01,840 Speaker 1: they were the original on on community and financial media 401 00:22:01,880 --> 00:22:04,600 Speaker 1: I mean, you know that Doug Cass and Wire and 402 00:22:04,640 --> 00:22:08,359 Speaker 1: Bill Fleckenstein, and you know Jim obviously Greenberg. I mean 403 00:22:08,400 --> 00:22:10,800 Speaker 1: these are all, but this was you know, these were 404 00:22:10,800 --> 00:22:13,560 Speaker 1: good people who happened to trade, not traders who happened 405 00:22:13,600 --> 00:22:15,960 Speaker 1: to write. And I think that came through you know, 406 00:22:16,000 --> 00:22:18,800 Speaker 1: authenticity is very hard to fake by definition, right, So 407 00:22:18,840 --> 00:22:22,160 Speaker 1: I think that was authentically um an opportunity for all 408 00:22:22,200 --> 00:22:24,119 Speaker 1: of us to give back. And I think that, you know, 409 00:22:24,200 --> 00:22:26,879 Speaker 1: it was lightning in the bottle for a few years. Sure, 410 00:22:26,920 --> 00:22:29,360 Speaker 1: and then Minionville, What what made you say I want 411 00:22:29,359 --> 00:22:33,080 Speaker 1: to attack to something that's more educationally focused and and 412 00:22:33,840 --> 00:22:37,760 Speaker 1: especially focusing on teaching kids about money. It was nine eleven, 413 00:22:38,080 --> 00:22:40,679 Speaker 1: you know, it was nine eleven in that it was 414 00:22:40,720 --> 00:22:44,119 Speaker 1: like that catalyzed me to really ask the question, what 415 00:22:44,160 --> 00:22:46,879 Speaker 1: am I doing with my life? What's the difference between 416 00:22:46,880 --> 00:22:49,440 Speaker 1: having fun and and being happy? I love that quote 417 00:22:49,440 --> 00:22:52,760 Speaker 1: of yous by the way, I tweeted that recently and 418 00:22:52,800 --> 00:22:55,639 Speaker 1: someone said you should get Todd on the show, and 419 00:22:55,720 --> 00:22:58,159 Speaker 1: my answer was, well, I'm doing my research. What do 420 00:22:58,200 --> 00:23:00,119 Speaker 1: you think that world came from? Well, it's certain me. 421 00:23:00,160 --> 00:23:02,480 Speaker 1: I think before that I was having those questions. I 422 00:23:02,480 --> 00:23:04,880 Speaker 1: would look in the mirror, and you know, the net 423 00:23:04,880 --> 00:23:08,080 Speaker 1: worth verse self worth thing certainly was a long time coming. 424 00:23:08,560 --> 00:23:11,119 Speaker 1: But after nine eleven, uh, you know, I wanted to 425 00:23:11,119 --> 00:23:13,399 Speaker 1: take it to a different level. My grandfather was failing 426 00:23:13,400 --> 00:23:15,560 Speaker 1: at the time. I had a lot of emotions and 427 00:23:15,600 --> 00:23:18,680 Speaker 1: I really wanted to just, uh you know, selfishly create 428 00:23:18,680 --> 00:23:21,280 Speaker 1: a Catharsis. And after nine eleven, uh, you know the 429 00:23:21,320 --> 00:23:23,400 Speaker 1: street and you know, I'm not going to get into details. 430 00:23:23,400 --> 00:23:26,840 Speaker 1: It didn't end well. I think in hindsight, I regret 431 00:23:27,040 --> 00:23:28,800 Speaker 1: a lot of the things that went down, and maybe 432 00:23:28,800 --> 00:23:30,760 Speaker 1: some of the things that were said and done. You know, 433 00:23:30,800 --> 00:23:33,359 Speaker 1: as you get older, you tend to reflect on sort 434 00:23:33,400 --> 00:23:37,600 Speaker 1: of what matters and what doesn't matter, certainly, and you know, 435 00:23:37,680 --> 00:23:40,399 Speaker 1: and and Jim, you know, listen, I I care a 436 00:23:40,400 --> 00:23:42,280 Speaker 1: lot about the man. You know, we haven't talked in 437 00:23:42,280 --> 00:23:45,399 Speaker 1: a long long time, and that's unfortunate. But uh, you know, 438 00:23:45,440 --> 00:23:46,960 Speaker 1: like I said, as you get older, you start to 439 00:23:47,000 --> 00:23:49,080 Speaker 1: reflect on your life and and the people in it. 440 00:23:49,160 --> 00:23:51,240 Speaker 1: And certainly I have I owe him a great debt 441 00:23:51,400 --> 00:23:53,760 Speaker 1: for opening this world to me and also for things, 442 00:23:54,200 --> 00:23:56,359 Speaker 1: uh that nobody knows that he did behind the scenes 443 00:23:56,400 --> 00:23:57,960 Speaker 1: that I think of the real definition of a good 444 00:23:58,000 --> 00:24:01,760 Speaker 1: man what you do when nobody's watching. So after nine eleven, 445 00:24:02,000 --> 00:24:05,000 Speaker 1: I decided I was gonna put all my efforts into 446 00:24:05,000 --> 00:24:07,280 Speaker 1: starting a new platform. And after I spent about two 447 00:24:07,280 --> 00:24:09,320 Speaker 1: million dollars on it, I decided that if I didn't 448 00:24:09,359 --> 00:24:11,760 Speaker 1: turn this into a business, uh, then it's the world's 449 00:24:11,760 --> 00:24:14,200 Speaker 1: most expensive hobby. And you know what's that all about? 450 00:24:14,280 --> 00:24:16,879 Speaker 1: So uh, it turned into something pretty powerful. I think 451 00:24:16,920 --> 00:24:20,000 Speaker 1: anybody who remembers Minionville can remember the energy and the 452 00:24:20,080 --> 00:24:22,800 Speaker 1: events and the and the lessons and and it's something 453 00:24:22,880 --> 00:24:26,240 Speaker 1: that I think after the after, you know, with the 454 00:24:26,240 --> 00:24:28,560 Speaker 1: benefit of hindsight, I think I appreciate it more than 455 00:24:28,680 --> 00:24:32,240 Speaker 1: than maybe I did immediately thereafter. And last question, tell 456 00:24:32,280 --> 00:24:39,080 Speaker 1: me about the Ruby Peck Foundation and the rock Stars guitars. Well, 457 00:24:39,119 --> 00:24:41,840 Speaker 1: the Ruby Peck Foundation Ruby Pecks my grandfather. So in 458 00:24:41,920 --> 00:24:45,200 Speaker 1: two thousand and one started at children's Ruby Peck Foundation 459 00:24:45,240 --> 00:24:47,640 Speaker 1: for children's education and we raised, you know, a lot 460 00:24:47,640 --> 00:24:49,600 Speaker 1: of money for kids. It was part of the giving 461 00:24:49,600 --> 00:24:52,360 Speaker 1: back ethos that's part of Minionville. And I remember Doug 462 00:24:52,440 --> 00:24:54,680 Speaker 1: Cass and you and a number of others got to 463 00:24:54,880 --> 00:24:57,000 Speaker 1: that got that all star guitar as signed by everybody 464 00:24:57,040 --> 00:25:00,280 Speaker 1: from Buffett to Chainos too, you know, Peter Lane right 465 00:25:00,320 --> 00:25:02,399 Speaker 1: across the board, and we auction it off for charity. 466 00:25:02,480 --> 00:25:05,280 Speaker 1: So it was a past the organization. We raised a 467 00:25:05,280 --> 00:25:07,840 Speaker 1: lot of money for kids. But you know, between Menonville 468 00:25:07,880 --> 00:25:09,920 Speaker 1: and the Ruby Peck Foundation, it was a it was 469 00:25:09,960 --> 00:25:13,200 Speaker 1: a terrific uh stretch in my life. But as people say, 470 00:25:13,480 --> 00:25:16,760 Speaker 1: you are with things for reasons, seasons or lifetimes, and 471 00:25:17,080 --> 00:25:20,120 Speaker 1: you know, I guess Minonville wasn't a lifetime endeavor. So 472 00:25:20,280 --> 00:25:23,120 Speaker 1: let's talk a little bit about CBD. Can we call 473 00:25:23,160 --> 00:25:27,399 Speaker 1: that that instead of my mangling the word, Um, what 474 00:25:27,800 --> 00:25:31,879 Speaker 1: is CBD and what's it good for? Well? CBD in 475 00:25:31,920 --> 00:25:34,800 Speaker 1: and of itself as an antipsychotic, right, So it's a 476 00:25:34,800 --> 00:25:38,720 Speaker 1: calming influence and taking a step back cannabinoids and talking 477 00:25:38,720 --> 00:25:40,640 Speaker 1: a little bit about the science because this is really 478 00:25:40,960 --> 00:25:44,360 Speaker 1: the thrust of what's the most important conversation about cannabis 479 00:25:44,480 --> 00:25:46,600 Speaker 1: right now, and what most people are missing is the 480 00:25:46,640 --> 00:25:50,720 Speaker 1: wellness side. So everything that's alive, whether it's a dog, 481 00:25:50,760 --> 00:25:54,400 Speaker 1: a cat, a plant, fish, or human being, has what's 482 00:25:54,440 --> 00:25:57,960 Speaker 1: called an endocannabinoid system, right, and this was first discovered 483 00:25:58,000 --> 00:26:00,000 Speaker 1: in the late eighties and early nineties, it's the most 484 00:26:00,080 --> 00:26:04,600 Speaker 1: ubiquitous network of receptors in the human body, Okay. And 485 00:26:04,640 --> 00:26:08,040 Speaker 1: what they found is the cannabinoids found in cannabis are 486 00:26:08,080 --> 00:26:12,520 Speaker 1: identical in action to the endocannabinoids that your body produces. Now, 487 00:26:12,560 --> 00:26:14,399 Speaker 1: so in other words, these aren't things that are getting 488 00:26:14,400 --> 00:26:18,440 Speaker 1: you high. This has an impact on the biochemistry of 489 00:26:18,480 --> 00:26:22,479 Speaker 1: the body. Well, about ten percent of carnabinoids will produce 490 00:26:22,560 --> 00:26:26,439 Speaker 1: that euphoric effect or non euphoric. All of them are 491 00:26:26,440 --> 00:26:29,840 Speaker 1: anti inflammatories, all of them are therapeutic, right. So what 492 00:26:29,920 --> 00:26:33,479 Speaker 1: they're finding out now is that by looking at the 493 00:26:33,600 --> 00:26:37,200 Speaker 1: endocannabinoid system, you can now target receptors in your body 494 00:26:37,240 --> 00:26:40,760 Speaker 1: with certain cannabinoids across a wealth of indications for wellness. 495 00:26:41,040 --> 00:26:43,240 Speaker 1: Right now, we my partner Lauren de falcore nine and 496 00:26:43,280 --> 00:26:45,760 Speaker 1: I'll tell you his story. Uh, but we spent a 497 00:26:45,760 --> 00:26:48,560 Speaker 1: lot of time talking to scientists and genealogists, and the 498 00:26:48,600 --> 00:26:52,040 Speaker 1: mosaic that was painted for us effectively was over the 499 00:26:52,119 --> 00:26:54,520 Speaker 1: last hundred years, we've gone from hunters and gatherers to 500 00:26:54,600 --> 00:26:58,320 Speaker 1: desk jobs, and we've gone from organic foods to process foods, 501 00:26:58,320 --> 00:27:01,400 Speaker 1: trans fats and chemicals, and certainly heredity plays a part. 502 00:27:01,600 --> 00:27:04,800 Speaker 1: But as you get older, your body stops producing these endocannabinoids. 503 00:27:04,960 --> 00:27:07,480 Speaker 1: Case in point, the Runner's high. Everybody always thought the 504 00:27:07,520 --> 00:27:11,040 Speaker 1: runners high was endorphins. False. The runners high is a 505 00:27:11,200 --> 00:27:14,080 Speaker 1: e A, which is an endocannabinoid. It's identical in action 506 00:27:14,119 --> 00:27:17,960 Speaker 1: to th HC. This is all frontier science. Remember, still 507 00:27:18,000 --> 00:27:20,280 Speaker 1: illegal to test cannabis in the United States. So all 508 00:27:20,359 --> 00:27:26,440 Speaker 1: of this is happening in Israel, Israel, and Italy, Germany overseas. Right, 509 00:27:26,880 --> 00:27:29,440 Speaker 1: But what they're finding now, and you might I'm sure 510 00:27:29,480 --> 00:27:32,960 Speaker 1: you saw the g W Pharmaceuticals their epidialects drug. We 511 00:27:32,960 --> 00:27:35,560 Speaker 1: have a position in GW. But their epidialects drug is 512 00:27:35,600 --> 00:27:39,040 Speaker 1: reducing seizures and children by fifty cutting them in half. 513 00:27:39,359 --> 00:27:42,960 Speaker 1: So they had their FDA expert panel a few weeks 514 00:27:43,000 --> 00:27:46,199 Speaker 1: back and they got a standing ovation on top of 515 00:27:46,200 --> 00:27:48,760 Speaker 1: a thirteen to nothing unanimous decisions. So this is going 516 00:27:48,800 --> 00:27:52,200 Speaker 1: to move forward, which is significant, demonstrates medical efficacy. The 517 00:27:52,280 --> 00:27:53,760 Speaker 1: d e A is going to have to reschedule and 518 00:27:53,800 --> 00:27:55,159 Speaker 1: that's going to open up the pipe and arch. So 519 00:27:55,280 --> 00:28:00,719 Speaker 1: let's talk about asthma, Alzheimer's cancer, epilepsy, park and sins. 520 00:28:01,080 --> 00:28:04,320 Speaker 1: What else is on the list for things that CBD 521 00:28:04,720 --> 00:28:08,840 Speaker 1: can actually, uh make a difference either in the quality 522 00:28:08,840 --> 00:28:13,360 Speaker 1: of life or potentially finding a cure for these diseases. Well, 523 00:28:13,400 --> 00:28:15,560 Speaker 1: the the answer is that it's frontier science and we 524 00:28:15,640 --> 00:28:19,520 Speaker 1: don't yet know the scope of the wellness activity. Not 525 00:28:19,600 --> 00:28:21,440 Speaker 1: just but it's not just CBD, is what I'm saying. 526 00:28:21,480 --> 00:28:24,439 Speaker 1: CBD and th hc or or sort of the main players. 527 00:28:24,480 --> 00:28:27,960 Speaker 1: What everybody associates with cannabin lots of other chemicals, a 528 00:28:28,040 --> 00:28:30,879 Speaker 1: ton of minor cannabinoids. You think that people were mining 529 00:28:30,920 --> 00:28:34,280 Speaker 1: for bitcoins and that became crazy. Wait till people understand 530 00:28:34,280 --> 00:28:38,080 Speaker 1: how valuable these minor cannabinoids are. CBN as a sleep aid, 531 00:28:38,360 --> 00:28:41,160 Speaker 1: th h c V as an appetite supressant. This is 532 00:28:41,200 --> 00:28:44,600 Speaker 1: all coming through the pipe right now. There's about clinical trials. 533 00:28:44,720 --> 00:28:47,800 Speaker 1: It's gonna blow your mind when you see the efficacious 534 00:28:47,880 --> 00:28:51,520 Speaker 1: agility of this plant. Wait, weed as an appetite suppressant. 535 00:28:51,600 --> 00:28:55,400 Speaker 1: Now I'm I'm stunned to you that well weed is 536 00:28:55,440 --> 00:28:58,080 Speaker 1: a four letter word. Okay, we're talking about wellness, right, 537 00:28:58,120 --> 00:29:01,760 Speaker 1: We're talking about extracting the cannabin voids and targeting receptors 538 00:29:01,760 --> 00:29:04,960 Speaker 1: in your body. And this is literally frontier science, and 539 00:29:05,000 --> 00:29:07,320 Speaker 1: this is what people don't get We've gone and spoken 540 00:29:07,360 --> 00:29:12,680 Speaker 1: to big pharma analysts and biotech CEOs and cardiothoracic surgeons 541 00:29:12,800 --> 00:29:15,240 Speaker 1: and they looked at us like we're crazy. Seriously, they 542 00:29:15,320 --> 00:29:17,560 Speaker 1: never studied this. As a matter of fact, only nine 543 00:29:17,560 --> 00:29:20,800 Speaker 1: percent of medical schools now even touch on the ECS 544 00:29:20,800 --> 00:29:24,680 Speaker 1: on the endocannabinoid system and that all started last semester Oxford, Right, 545 00:29:24,760 --> 00:29:27,680 Speaker 1: So you literally have a four year time line on 546 00:29:27,720 --> 00:29:32,080 Speaker 1: an arbitrage here before this becomes mainstream therapeutic relief. So 547 00:29:32,160 --> 00:29:33,840 Speaker 1: one of the things I read the other day, and 548 00:29:33,880 --> 00:29:36,600 Speaker 1: it could just be a correlation. I'm not suggesting there's 549 00:29:36,600 --> 00:29:39,000 Speaker 1: a causation because I didn't look at the study closely. 550 00:29:39,560 --> 00:29:45,440 Speaker 1: But in states where there's a huge opioid addiction problem, 551 00:29:45,560 --> 00:29:51,280 Speaker 1: and subsequently either decriminalization medical marijuana or legalization, the opioid 552 00:29:51,320 --> 00:29:59,000 Speaker 1: addictions plummet. In states where it's kindabis friendly states, less morbidity. 553 00:29:59,240 --> 00:30:01,600 Speaker 1: This is saving law. Now. People who have been following 554 00:30:01,640 --> 00:30:04,160 Speaker 1: this for a long time, it want a lot longer 555 00:30:04,160 --> 00:30:07,520 Speaker 1: than I have, will tell you that epilepsy cancer. As 556 00:30:07,520 --> 00:30:11,160 Speaker 1: a matter of fact, Nixon's on tape burying the stat 557 00:30:11,160 --> 00:30:15,520 Speaker 1: are actually blaming the Jews for all the cannabinoids but 558 00:30:16,520 --> 00:30:21,040 Speaker 1: they knew this. They knew this one, and they banned testing, 559 00:30:21,040 --> 00:30:23,000 Speaker 1: which I'm saying, this is you are you gonna make 560 00:30:23,040 --> 00:30:27,040 Speaker 1: me lower my view of Nixon even further that he 561 00:30:27,200 --> 00:30:31,400 Speaker 1: knew this was had a positive impact and ultimately still 562 00:30:31,400 --> 00:30:33,800 Speaker 1: said just I mean, listen, there are so many reasons 563 00:30:33,840 --> 00:30:35,920 Speaker 1: when we talked about the met but think about the 564 00:30:36,000 --> 00:30:38,920 Speaker 1: racial disparity, right, how this is clogging up the prison system, 565 00:30:38,920 --> 00:30:41,400 Speaker 1: and how this is the crime rate and the cost 566 00:30:41,440 --> 00:30:45,760 Speaker 1: what about simple calculus. The cost of this is insane, right. 567 00:30:45,760 --> 00:30:48,360 Speaker 1: But but my point being, were at the cusp of 568 00:30:48,360 --> 00:30:50,520 Speaker 1: of a revolution in healthcare, which we think is going 569 00:30:50,560 --> 00:30:53,160 Speaker 1: to be a healthcare disruption, and we think big farmers 570 00:30:53,160 --> 00:30:55,680 Speaker 1: about to turn buyer, but uh, we don't think they 571 00:30:55,680 --> 00:30:57,880 Speaker 1: have a choice. I quoted you in a Bloomberg View 572 00:30:57,920 --> 00:31:01,320 Speaker 1: column a couple of months ago, and the line I 573 00:31:01,360 --> 00:31:04,280 Speaker 1: said was, imagine, for a moment, you could go back 574 00:31:04,280 --> 00:31:07,120 Speaker 1: in time to nineteen thirty two, the year before the 575 00:31:07,160 --> 00:31:10,040 Speaker 1: twenty one Amendment to the U. S. Constitution was ratifying 576 00:31:10,600 --> 00:31:13,800 Speaker 1: repealing prohibition in the eighteenth Amendment. And I raised the 577 00:31:13,880 --> 00:31:18,000 Speaker 1: question if you could do that knowing what the future 578 00:31:18,200 --> 00:31:21,000 Speaker 1: was going to look like with alcohol being legal again, 579 00:31:21,520 --> 00:31:25,120 Speaker 1: how would you invest? So we're not quite at the 580 00:31:25,160 --> 00:31:31,280 Speaker 1: repeal of all these rules against research or medical usage 581 00:31:31,400 --> 00:31:36,160 Speaker 1: or even recreational usage, but it certainly feels like that's 582 00:31:36,200 --> 00:31:40,880 Speaker 1: the inevitable way we're moving that, which leads me to 583 00:31:40,960 --> 00:31:46,640 Speaker 1: the investing question. If everything goes as it's expected, and 584 00:31:46,680 --> 00:31:50,760 Speaker 1: I imagine it will be parallel to the marriage equality rules. 585 00:31:50,760 --> 00:31:53,040 Speaker 1: People felt we were getting closer and closer than suddenly 586 00:31:53,640 --> 00:31:57,520 Speaker 1: the dam broke. How would you position your portfolio? What 587 00:31:57,760 --> 00:32:01,480 Speaker 1: sectors would you look to invest stin? If someone comes 588 00:32:01,520 --> 00:32:03,800 Speaker 1: up to you and says, hey, I got ten percent 589 00:32:03,800 --> 00:32:06,720 Speaker 1: of my portfolio, I want to be a little speculative, 590 00:32:06,840 --> 00:32:08,920 Speaker 1: and I think this medical marijuana thing is going to 591 00:32:08,960 --> 00:32:12,080 Speaker 1: be big, how would you recommend invest I think the 592 00:32:12,120 --> 00:32:14,560 Speaker 1: consistencies are you're looking for brands, and you're looking for 593 00:32:14,600 --> 00:32:17,400 Speaker 1: brands at a distribution and quality of product, and certainly 594 00:32:17,440 --> 00:32:19,360 Speaker 1: good management teams and all the things that you would 595 00:32:19,360 --> 00:32:21,960 Speaker 1: look for in a good company. Right you're looking at 596 00:32:22,000 --> 00:32:24,640 Speaker 1: management teams, you're looking at at their balance sheet, you're 597 00:32:24,640 --> 00:32:27,800 Speaker 1: looking at their patent portfolio, whatever the case may be. 598 00:32:27,920 --> 00:32:29,760 Speaker 1: But where I think it's different now and where I 599 00:32:29,760 --> 00:32:31,720 Speaker 1: think a lot of people are gonna get hurt investing 600 00:32:31,720 --> 00:32:34,840 Speaker 1: in cannabis is there's a perception that this is about 601 00:32:34,840 --> 00:32:37,680 Speaker 1: cultivation and that you know a lot of the Canadian 602 00:32:37,680 --> 00:32:40,040 Speaker 1: cultivators have had their run in the sun. Uh, there's 603 00:32:40,040 --> 00:32:43,560 Speaker 1: a lot of them that are that are well undervalued 604 00:32:43,600 --> 00:32:44,960 Speaker 1: as a matter of fact. I mean, we're looking at 605 00:32:44,960 --> 00:32:47,400 Speaker 1: a company right now that has about two million dollar 606 00:32:47,440 --> 00:32:49,320 Speaker 1: market cap that we think is gonna do eight hundred 607 00:32:49,360 --> 00:32:53,240 Speaker 1: million in revenue in and why is it trading like this? 608 00:32:53,280 --> 00:32:56,560 Speaker 1: It's treating like this because there's no institutional research analysts, 609 00:32:56,560 --> 00:32:59,160 Speaker 1: no institutional holders. And we think that's about to change 610 00:32:59,200 --> 00:33:00,760 Speaker 1: in a big way. You're gonna see Wall Street a 611 00:33:00,840 --> 00:33:03,360 Speaker 1: job cannabis because they're gonna follow the money and that's 612 00:33:03,400 --> 00:33:04,920 Speaker 1: where the money is going to go. But it's not 613 00:33:04,960 --> 00:33:09,200 Speaker 1: just cultivation again. Cosmetics and vanity gonna be huge, huge, 614 00:33:09,280 --> 00:33:11,640 Speaker 1: huge vertical and it's gonna have a huge talent because 615 00:33:12,200 --> 00:33:14,600 Speaker 1: the cannabinoids. But the people are gonna find in the 616 00:33:14,640 --> 00:33:19,160 Speaker 1: wellness attributes between makeup between consumer goods, industrial hemp and 617 00:33:19,240 --> 00:33:22,960 Speaker 1: farming hemp, creet plastic composites. I mean, the I think 618 00:33:23,000 --> 00:33:25,440 Speaker 1: what's gonna surprise people the most about this industry as 619 00:33:25,480 --> 00:33:27,880 Speaker 1: it starts to evolve. Is is not gonna be any 620 00:33:28,200 --> 00:33:29,920 Speaker 1: There's not there's not gonna be any sector that's not 621 00:33:29,960 --> 00:33:32,160 Speaker 1: touched by this. It's gonna it's gonna touch every sector 622 00:33:32,200 --> 00:33:34,520 Speaker 1: of society. So part of the pun. But this is 623 00:33:34,560 --> 00:33:39,920 Speaker 1: a fairly sober approach to investing in a very specific 624 00:33:40,080 --> 00:33:45,160 Speaker 1: sector that has yet to really gain broad acceptance amongst 625 00:33:45,200 --> 00:33:47,560 Speaker 1: the investment and this is how we're approaching it. So 626 00:33:47,840 --> 00:33:51,880 Speaker 1: we have exposure in Australia and Canada, in the US, 627 00:33:51,880 --> 00:33:56,960 Speaker 1: and in Israel and uh in Europe and in South America, 628 00:33:57,120 --> 00:34:00,719 Speaker 1: and we're looking across ten verticals, which includes cultivation dispensaries, 629 00:34:00,720 --> 00:34:03,920 Speaker 1: but certainly we think that's gonna migrate to drugs. From 630 00:34:03,960 --> 00:34:06,960 Speaker 1: drugs from state dispensaries to medicine prescribed by doctors that's 631 00:34:06,960 --> 00:34:09,160 Speaker 1: covered by insurance. Like in Germany right now, if you 632 00:34:09,160 --> 00:34:11,080 Speaker 1: want cannabis in Germany, you go to your doctor, get 633 00:34:11,080 --> 00:34:13,440 Speaker 1: a prescription, go to the pharmacy to get your cannabis, 634 00:34:13,560 --> 00:34:15,759 Speaker 1: and submit the bill to your insurance company. That's it. 635 00:34:15,760 --> 00:34:18,919 Speaker 1: It's covered. And we think that's the model. So we're 636 00:34:19,000 --> 00:34:23,239 Speaker 1: but we're investing across biopharmaceuticals or the laboratory space that 637 00:34:23,400 --> 00:34:26,800 Speaker 1: the extraction space, UH and certainly industrial have been farming. 638 00:34:26,840 --> 00:34:28,880 Speaker 1: We think is going to be a pretty significant market 639 00:34:28,920 --> 00:34:33,719 Speaker 1: for UH, for consumers. Your your portfolio. Is it all 640 00:34:33,800 --> 00:34:37,160 Speaker 1: publicly traded companies? Are there any pre public any private 641 00:34:37,239 --> 00:34:39,319 Speaker 1: or venture or how do you guys approach It's all 642 00:34:39,320 --> 00:34:41,560 Speaker 1: publicly traded companies. And again, I've been looking for an 643 00:34:41,600 --> 00:34:44,160 Speaker 1: advantageous risk reward in this space for a long time, 644 00:34:44,600 --> 00:34:46,600 Speaker 1: and I kind of got caught up on if I 645 00:34:46,640 --> 00:34:48,759 Speaker 1: found a really good private equity deal and it did 646 00:34:48,880 --> 00:34:51,080 Speaker 1: very well, how am I going to demonstrate that income 647 00:34:51,120 --> 00:34:53,120 Speaker 1: on my federal tax return? And I always sort of 648 00:34:53,160 --> 00:34:57,239 Speaker 1: stumbled there, this is UH, this is different. We are investing, 649 00:34:57,320 --> 00:34:59,040 Speaker 1: and we're not touching the plant. We're not moving a 650 00:34:59,040 --> 00:35:02,440 Speaker 1: plant across eight lines. Were invested in publicly traded companies 651 00:35:02,480 --> 00:35:06,279 Speaker 1: only that are listed on in exchange. And we're legitimately 652 00:35:06,360 --> 00:35:08,239 Speaker 1: viewing this as a healthcare play. This is not an 653 00:35:08,239 --> 00:35:10,440 Speaker 1: optics We're not trying to put a wolf in sheep's 654 00:35:10,440 --> 00:35:12,640 Speaker 1: clothing here. We're passionate about this because we believe this 655 00:35:12,680 --> 00:35:15,960 Speaker 1: is impact investing. And I keep reading about all this 656 00:35:16,680 --> 00:35:21,600 Speaker 1: usage of CBDs as treatments for pets are we using 657 00:35:21,600 --> 00:35:25,200 Speaker 1: our pets as no again, no pun intended guinea pigs. 658 00:35:25,280 --> 00:35:29,520 Speaker 1: Or is there a legitimate reason that we're giving CBDs 659 00:35:29,600 --> 00:35:32,200 Speaker 1: to two doves? And again it's an antipsychotic. I have 660 00:35:32,239 --> 00:35:34,840 Speaker 1: a very nervous dog at home, and I give CBD 661 00:35:34,920 --> 00:35:38,080 Speaker 1: two and it helps relax them. Uh. And again, anything 662 00:35:38,120 --> 00:35:41,680 Speaker 1: that's alive, plants, fish, dogs, human beings all have an 663 00:35:41,719 --> 00:35:44,520 Speaker 1: endocannabinoid system. And again this is frontier science. We are 664 00:35:44,560 --> 00:35:47,640 Speaker 1: scratching the surface of what we understand here. And I'd 665 00:35:47,680 --> 00:35:49,239 Speaker 1: like to you know, there are a lot of people 666 00:35:49,280 --> 00:35:50,840 Speaker 1: out there who have been fighting long and hard to 667 00:35:50,880 --> 00:35:53,000 Speaker 1: bring this to the four and it feels like we're 668 00:35:53,080 --> 00:35:55,000 Speaker 1: right there. This is an election year, and if the 669 00:35:55,040 --> 00:35:57,880 Speaker 1: Republicans don't take this issue off the table before November, 670 00:35:58,040 --> 00:36:00,799 Speaker 1: they're gonna lose the election. We I've been speaking with 671 00:36:00,880 --> 00:36:05,200 Speaker 1: Todd Harrison. He is the chief investment officer and founder 672 00:36:05,320 --> 00:36:10,839 Speaker 1: of CB one Capital Partners, specializing in healthcare and cannabinoid 673 00:36:11,080 --> 00:36:14,880 Speaker 1: medical products. Be sure and stick around for the podcast Actras, 674 00:36:14,880 --> 00:36:18,279 Speaker 1: where we keep the tape running and continue discussing all 675 00:36:18,360 --> 00:36:23,200 Speaker 1: things cannabinoids. You can find that at Bloomberg dot com, 676 00:36:23,239 --> 00:36:27,879 Speaker 1: Apple iTunes, Overcast, wherever finer podcasts or soul. We love 677 00:36:27,960 --> 00:36:32,080 Speaker 1: your comments, feedback and suggestions right to us at m 678 00:36:32,080 --> 00:36:35,759 Speaker 1: IB podcast at Bloomberg dot net. Be sure and check 679 00:36:35,760 --> 00:36:38,640 Speaker 1: out my daily column. You could see that on Bloomberg 680 00:36:38,719 --> 00:36:42,319 Speaker 1: View dot com. Follow me on Twitter at Riolts. I'm 681 00:36:42,360 --> 00:36:46,800 Speaker 1: Barry Hults. You're listening to Masters in Business on Bloomberg Radio. 682 00:37:00,520 --> 00:37:02,920 Speaker 1: Welcome to the podcast, TATO. Thank you so much for 683 00:37:02,920 --> 00:37:05,520 Speaker 1: doing this. I have been looking forward to having this 684 00:37:05,600 --> 00:37:09,520 Speaker 1: conversation for a while, and I think this is a 685 00:37:09,680 --> 00:37:16,879 Speaker 1: wildly undercovered section of not only the political issues. My 686 00:37:17,640 --> 00:37:20,799 Speaker 1: libertarian friends are on the right side of this. Hey, 687 00:37:20,840 --> 00:37:22,799 Speaker 1: if you don't think the government should tell you you 688 00:37:22,880 --> 00:37:26,000 Speaker 1: can't you can drink or not, then why can they 689 00:37:26,080 --> 00:37:28,520 Speaker 1: tell you you can? And I don't smoke weed is 690 00:37:28,520 --> 00:37:30,319 Speaker 1: the funny part of it. But why should they tell 691 00:37:30,360 --> 00:37:34,360 Speaker 1: you you can or can't? And um, I I just 692 00:37:34,440 --> 00:37:36,759 Speaker 1: always looked at it as as a sort of odd 693 00:37:37,480 --> 00:37:40,719 Speaker 1: um a sort of by the way, I'm not saying 694 00:37:40,760 --> 00:37:45,360 Speaker 1: I never smoked, don't don't send me emails, um, but 695 00:37:45,600 --> 00:37:47,960 Speaker 1: you know I've I found when I stopped smoking, I 696 00:37:48,000 --> 00:37:50,160 Speaker 1: suddenly became a whole lot more productive. But that's just 697 00:37:50,239 --> 00:37:53,440 Speaker 1: my experience. You talk libertarian governor. Governor Gary Johnson's on 698 00:37:53,440 --> 00:37:56,800 Speaker 1: our board along with Dr Ethan Russo, Dr Julie Holland, 699 00:37:56,880 --> 00:37:59,880 Speaker 1: Dave Charnick, and Warren Gertner, who we're proud of that 700 00:38:00,040 --> 00:38:01,839 Speaker 1: board because these are people who get asked a lot 701 00:38:01,880 --> 00:38:05,800 Speaker 1: to get involved in. Certainly in this space is a massive, 702 00:38:05,920 --> 00:38:09,239 Speaker 1: massive credibility chasm. So what we found is that the 703 00:38:09,280 --> 00:38:11,920 Speaker 1: people who know what's going on, who have the integrity 704 00:38:11,920 --> 00:38:15,160 Speaker 1: and the authenticity and mission uh, they all know each other. 705 00:38:15,239 --> 00:38:17,239 Speaker 1: So it's been a very good network for us to 706 00:38:17,360 --> 00:38:19,680 Speaker 1: tap into because there's a lot of good people doing 707 00:38:19,719 --> 00:38:21,239 Speaker 1: a lot of good work, and there's a lot of 708 00:38:21,280 --> 00:38:23,560 Speaker 1: bad people doing a lot of shady things. Out of 709 00:38:23,600 --> 00:38:26,400 Speaker 1: the Out of the five hundred or so publicly traded 710 00:38:26,400 --> 00:38:29,080 Speaker 1: cannabis stocks we found it, there's that many five hundred 711 00:38:30,120 --> 00:38:33,919 Speaker 1: and about fifty to sixty maybe or legit of which 712 00:38:33,920 --> 00:38:36,120 Speaker 1: we'll ow about half of that depending on time or price. 713 00:38:36,360 --> 00:38:39,640 Speaker 1: But it's really it's really we're talking about the nascent industry. 714 00:38:39,640 --> 00:38:41,440 Speaker 1: And again that's why we think the by building is 715 00:38:41,440 --> 00:38:44,560 Speaker 1: going to be so pervasive, because people are gonna have 716 00:38:44,600 --> 00:38:46,719 Speaker 1: to get involved in your spirit company. You have to 717 00:38:46,760 --> 00:38:48,440 Speaker 1: get involved in your tobacco company, you have to get 718 00:38:48,480 --> 00:38:51,239 Speaker 1: involved your healthcare company, if your consumer goods company. This 719 00:38:51,320 --> 00:38:54,760 Speaker 1: is all happening sequentially. So fifty out of five hundred, 720 00:38:55,440 --> 00:38:58,960 Speaker 1: right in line with Sturgeons law, famous Theodore Sturgeon, famous 721 00:38:58,960 --> 00:39:02,520 Speaker 1: science fiction writer, defending science fiction when someone called it 722 00:39:02,640 --> 00:39:06,680 Speaker 1: crap quote unquote, and he said, yeah, science fiction is crap. 723 00:39:06,719 --> 00:39:09,399 Speaker 1: But then again, ninety percent of everything is craped. And 724 00:39:09,400 --> 00:39:12,560 Speaker 1: and here here it is, so fifty companies out of 725 00:39:12,600 --> 00:39:16,360 Speaker 1: five hundred. Um, is there any chance that this gets 726 00:39:16,400 --> 00:39:19,440 Speaker 1: co opted by the large farmer companies, just gets taken 727 00:39:19,440 --> 00:39:22,720 Speaker 1: over and these innovative, little small companies get pushed aside? 728 00:39:23,120 --> 00:39:25,520 Speaker 1: Or is it going to be more like the biotech 729 00:39:25,600 --> 00:39:31,000 Speaker 1: model where these small, innovative, nimble companies find new molecules, 730 00:39:31,040 --> 00:39:34,919 Speaker 1: new way of processing, new applications, and eventually they get 731 00:39:35,160 --> 00:39:37,560 Speaker 1: bought or or merged with some of the big guys. 732 00:39:37,719 --> 00:39:39,239 Speaker 1: I think the answer is yes. I think you're going 733 00:39:39,280 --> 00:39:43,480 Speaker 1: to see all of the above. Um. And again, Uh, 734 00:39:43,680 --> 00:39:47,000 Speaker 1: the expertise necessary, especially when you start talking about the 735 00:39:47,040 --> 00:39:50,200 Speaker 1: science and the endocannabinuting system and the compounds. This is 736 00:39:50,239 --> 00:39:52,200 Speaker 1: not something that you can pick up, you know, over 737 00:39:52,239 --> 00:39:54,040 Speaker 1: the course of a couple of weeks or a couple 738 00:39:54,040 --> 00:39:56,320 Speaker 1: of months. This is something you have to go acquire. 739 00:39:56,640 --> 00:39:58,640 Speaker 1: And that's why a lot of these companies, in our opinion, 740 00:39:58,800 --> 00:40:01,600 Speaker 1: are going to be taken out as this becomes more 741 00:40:01,640 --> 00:40:05,759 Speaker 1: adopted and more accepted across not only state lines, but 742 00:40:05,880 --> 00:40:09,760 Speaker 1: international lines. And we're seeing that wave theory of sorts sweeping. 743 00:40:09,760 --> 00:40:12,319 Speaker 1: When New Jersey's governor was elected saying they was gonna 744 00:40:12,360 --> 00:40:14,760 Speaker 1: legalize within a hundred days, I said to my partners, 745 00:40:14,920 --> 00:40:18,240 Speaker 1: how long do you think before Cuomo uh softens his stance, 746 00:40:18,280 --> 00:40:21,319 Speaker 1: And sure enough, the next day he came out uh 747 00:40:21,360 --> 00:40:24,200 Speaker 1: and and he said he was open to learning more. 748 00:40:25,000 --> 00:40:27,239 Speaker 1: Governors do not want to see tax revenue for sure 749 00:40:27,239 --> 00:40:29,120 Speaker 1: going to their neighbors. It's just not gonna happen. And 750 00:40:29,160 --> 00:40:31,720 Speaker 1: when we talk about tax revenue, it's it's a double 751 00:40:31,840 --> 00:40:35,320 Speaker 1: edged sword because on the one hand, we spend literally 752 00:40:35,400 --> 00:40:38,880 Speaker 1: tens of billions of dollars a year keeping an enormous 753 00:40:39,000 --> 00:40:41,920 Speaker 1: number of people in prisons. And there's a whole another 754 00:40:41,920 --> 00:40:45,080 Speaker 1: conversation to have about, Hey, you and I, a couple 755 00:40:45,080 --> 00:40:47,040 Speaker 1: of white guys from Long Island get pulled over with 756 00:40:47,040 --> 00:40:50,319 Speaker 1: the joint in our car. The cop is gonna say, 757 00:40:50,600 --> 00:40:53,480 Speaker 1: all right, you idiots, try not to do this again. 758 00:40:53,800 --> 00:40:56,280 Speaker 1: But if we're two people of color and get queens, 759 00:40:56,320 --> 00:40:59,440 Speaker 1: we go to jail. That's exactly right. It's called in 760 00:40:59,480 --> 00:41:02,000 Speaker 1: the courts is clogging the systems, and it's just not right, 761 00:41:02,360 --> 00:41:04,239 Speaker 1: you know. But you talk about follow the money. B 762 00:41:04,360 --> 00:41:07,000 Speaker 1: DS Analytics came out with the number and said that 763 00:41:07,040 --> 00:41:10,200 Speaker 1: the industry owed billion dollars in state taxes in two 764 00:41:10,200 --> 00:41:13,120 Speaker 1: thousand sixteen and another one point four billion in two 765 00:41:13,120 --> 00:41:16,560 Speaker 1: thousand seventeen, and that it would save medicaid another billion 766 00:41:16,600 --> 00:41:18,719 Speaker 1: on top of that. So all of these billions are 767 00:41:18,719 --> 00:41:21,000 Speaker 1: starting to add up. And you know, the total market 768 00:41:21,120 --> 00:41:23,880 Speaker 1: right now, we figure private and public, we've cuffed it 769 00:41:23,920 --> 00:41:26,680 Speaker 1: around seventy five billion. That's got a lot of rooms. 770 00:41:26,800 --> 00:41:29,920 Speaker 1: Is just medical message, just legal. This is just legal 771 00:41:29,960 --> 00:41:33,200 Speaker 1: tradeable investable assets right now. But again, you're talking about 772 00:41:33,200 --> 00:41:36,840 Speaker 1: about a three three twenty billion dollar global market before 773 00:41:37,680 --> 00:41:40,920 Speaker 1: before you start seeing these end products start to start 774 00:41:40,920 --> 00:41:43,239 Speaker 1: to show up, what you're gonna see because when people 775 00:41:43,320 --> 00:41:45,120 Speaker 1: understand that this is not a bad thing, this is 776 00:41:45,120 --> 00:41:47,960 Speaker 1: not a gateway drug, this is actually an opioid terminus. Right, 777 00:41:48,000 --> 00:41:51,840 Speaker 1: We talked about the mortality rate and a decrease decrease 778 00:41:51,920 --> 00:41:56,879 Speaker 1: dates where where it's friendly to cannaboids and cannabinoids. Uh. 779 00:41:56,920 --> 00:41:59,800 Speaker 1: And there's a heavy opioid problem. That's right, and that's just. 780 00:42:00,000 --> 00:42:01,839 Speaker 1: And this is a bit of a blessing. You hate 781 00:42:01,880 --> 00:42:04,440 Speaker 1: to find pleasure in somebody else's pain, but this is 782 00:42:04,440 --> 00:42:07,240 Speaker 1: a bit of a blessing for uh, this science because 783 00:42:07,239 --> 00:42:10,080 Speaker 1: it's pushing the conversation to the four. But then you 784 00:42:10,160 --> 00:42:12,920 Speaker 1: have pain, and you have psychological relaxation, all of the 785 00:42:12,960 --> 00:42:15,680 Speaker 1: mental issues, which people say, Okay, I can see it 786 00:42:15,719 --> 00:42:17,920 Speaker 1: for that, But what people aren't prepared for is this 787 00:42:18,040 --> 00:42:20,920 Speaker 1: killing cancer cells? Is this so let me let's say 788 00:42:21,000 --> 00:42:25,760 Speaker 1: this one by one. Cannabinoids kill cancer cells. GW Pharmaceuticals, 789 00:42:25,800 --> 00:42:29,319 Speaker 1: which again we own UH in two In February of 790 00:42:29,320 --> 00:42:32,480 Speaker 1: two thousand seventeen, they had their face too much studies, 791 00:42:32,480 --> 00:42:35,920 Speaker 1: which is brain cancer. The primary endpoints were terrific. They 792 00:42:35,960 --> 00:42:39,280 Speaker 1: couldn't release secondary end points, which is overall survival because 793 00:42:39,360 --> 00:42:42,360 Speaker 1: quote too many people were still surviving. They said, we 794 00:42:42,360 --> 00:42:44,760 Speaker 1: expect to have that information in the coming weeks to months. 795 00:42:45,040 --> 00:42:47,719 Speaker 1: That was fifteen months ago now, so we think that 796 00:42:47,840 --> 00:42:50,080 Speaker 1: that information is actually gonna come out this summer at ASCO. 797 00:42:50,120 --> 00:42:53,800 Speaker 1: We're hoping, but we's gonna show pretty demonstrative efficacy against 798 00:42:53,840 --> 00:42:55,600 Speaker 1: brain cancer, which is one of the if not the 799 00:42:55,600 --> 00:42:59,000 Speaker 1: most most aggressive forms of cancer. Uh. And there's a 800 00:42:59,000 --> 00:43:01,279 Speaker 1: lot of a lot of that's about this is there's 801 00:43:01,320 --> 00:43:03,239 Speaker 1: a lot there's a lot of anecdotal science. We talk 802 00:43:03,280 --> 00:43:07,080 Speaker 1: about clinical validation anecdotal or is it science, Well, there's 803 00:43:07,120 --> 00:43:10,120 Speaker 1: a lot of anecdotal information because it's been illegal to 804 00:43:10,160 --> 00:43:13,160 Speaker 1: test this, right, So we talk about clinical validation because 805 00:43:13,239 --> 00:43:16,359 Speaker 1: let's be honest, like, let's take those those those onerous 806 00:43:16,560 --> 00:43:19,200 Speaker 1: indications out of the equation. People have been using cannabis 807 00:43:19,200 --> 00:43:22,640 Speaker 1: to self medicate for I mean back eight thousand BC. 808 00:43:22,920 --> 00:43:25,000 Speaker 1: I mean we're talking ten thousand years now. This has 809 00:43:25,040 --> 00:43:29,440 Speaker 1: been you know, this has been in existence, So staying power, right, 810 00:43:29,480 --> 00:43:32,080 Speaker 1: But it's not just for what people would think it's for. 811 00:43:32,160 --> 00:43:34,120 Speaker 1: There's a lot more here that science is going to 812 00:43:34,200 --> 00:43:38,840 Speaker 1: demonstrate going forward. Why can um pharmaceutical companies in the 813 00:43:38,920 --> 00:43:43,040 Speaker 1: United States or any medical schools or whoever wants to 814 00:43:43,040 --> 00:43:47,360 Speaker 1: do research, Why can't we do research on cannabinoids and 815 00:43:47,360 --> 00:43:50,239 Speaker 1: and marijuana ask Jeff's sessions. That's a good question. It's 816 00:43:50,239 --> 00:43:53,720 Speaker 1: a schedule one narcotic right up there with the worst 817 00:43:53,760 --> 00:43:56,319 Speaker 1: of the worst herold But but we research heroin and 818 00:43:56,360 --> 00:44:00,279 Speaker 1: we research other stuff. Why we precluded from doing medical research? 819 00:44:00,719 --> 00:44:03,160 Speaker 1: Is there a law that prevents that you just can't 820 00:44:03,239 --> 00:44:07,040 Speaker 1: obtain There's a multibillion dollar pharmaceutical lobby that prevents that 821 00:44:07,239 --> 00:44:09,600 Speaker 1: because they've been wanting the pockets of the politicians to 822 00:44:09,640 --> 00:44:12,000 Speaker 1: really repress this. And then you know, you look at 823 00:44:12,040 --> 00:44:15,080 Speaker 1: me like, is that conspiracy theory? That's not listen. That's 824 00:44:15,080 --> 00:44:16,920 Speaker 1: why is the United States played twice as much for 825 00:44:16,920 --> 00:44:19,760 Speaker 1: a medical care as any other country in the world. 826 00:44:19,800 --> 00:44:23,239 Speaker 1: So it's not a big leap to say, oh, and 827 00:44:23,280 --> 00:44:25,480 Speaker 1: by the way, they're repressing this. But we'll come back 828 00:44:25,480 --> 00:44:26,920 Speaker 1: in a couple of years. I will tell you, you'll 829 00:44:26,960 --> 00:44:29,520 Speaker 1: say that health care disruption conversation we had with spot 830 00:44:29,800 --> 00:44:32,160 Speaker 1: spot on. So let me ask you. I am not 831 00:44:32,200 --> 00:44:34,920 Speaker 1: a big believer in forecasts or predictions, but let me 832 00:44:35,000 --> 00:44:39,560 Speaker 1: ask you a prediction. Um, And I know this is 833 00:44:39,600 --> 00:44:42,359 Speaker 1: way outside of your expertise, but I'm just curious as 834 00:44:42,400 --> 00:44:46,000 Speaker 1: to your views. Since you're putting hard capital, including your 835 00:44:46,000 --> 00:44:52,320 Speaker 1: own money, at risk. When does the United States decriminalize 836 00:44:52,360 --> 00:44:56,319 Speaker 1: marijuana for medical purposes? Across the whole country. And then 837 00:44:56,360 --> 00:44:59,360 Speaker 1: when does it just become like alcohol and other drugs 838 00:44:59,400 --> 00:45:02,719 Speaker 1: sold to add else like alcohol and tobacco, another drug 839 00:45:02,760 --> 00:45:06,920 Speaker 1: salt adults over the counter with just a driver's license. Well, 840 00:45:07,040 --> 00:45:09,800 Speaker 1: I do still believe it's going to be this year's business, 841 00:45:09,800 --> 00:45:12,120 Speaker 1: even if it's framed as a state's rights issues, which 842 00:45:12,120 --> 00:45:14,200 Speaker 1: it is also a states right Stuey. The way everybody 843 00:45:14,200 --> 00:45:17,239 Speaker 1: who talks about states rights is wild hypocrite. They'll use 844 00:45:17,280 --> 00:45:20,000 Speaker 1: it to let something goes in their way, but then 845 00:45:20,080 --> 00:45:22,439 Speaker 1: something goes against them and suddenly states rights no matter. 846 00:45:22,480 --> 00:45:25,880 Speaker 1: So I've always found that argument to be so disingenuous 847 00:45:25,960 --> 00:45:28,960 Speaker 1: from most people, um, including myself. You know, I do 848 00:45:29,040 --> 00:45:31,680 Speaker 1: think the motivation is political, al right, because this is 849 00:45:31,760 --> 00:45:34,440 Speaker 1: this is going to be a Democrat, a Democratic issue, 850 00:45:34,440 --> 00:45:36,439 Speaker 1: blue wave this this is gonna be a blue wave issue, 851 00:45:36,440 --> 00:45:38,200 Speaker 1: if that's for sure. And you saw McConnell, you saw 852 00:45:38,200 --> 00:45:41,040 Speaker 1: a banner, you saw Trump. And they're trying to very intelligently, 853 00:45:41,080 --> 00:45:42,920 Speaker 1: i might say, trying to remove this issue before the 854 00:45:42,920 --> 00:45:45,319 Speaker 1: midterms get here, and I think they have to. So 855 00:45:45,360 --> 00:45:49,480 Speaker 1: that's on allowing that's allowing the states to make their 856 00:45:49,480 --> 00:45:51,480 Speaker 1: own decisions in the states so just in other words, 857 00:45:51,560 --> 00:45:54,440 Speaker 1: remove the federal so it's no longer class one narcotic. 858 00:45:54,760 --> 00:45:58,879 Speaker 1: You remove the federal government from the conversation and just 859 00:45:59,000 --> 00:46:01,200 Speaker 1: let the states to make their own. And I think 860 00:46:01,239 --> 00:46:04,080 Speaker 1: equally important we'll see this year's is banking reform. That 861 00:46:04,160 --> 00:46:05,680 Speaker 1: was the next question I was about to ask you, 862 00:46:05,719 --> 00:46:09,920 Speaker 1: because literally you go to Colorado or are Gone and 863 00:46:10,120 --> 00:46:13,719 Speaker 1: there's one local community bank. You can't JP Morgan Welles, 864 00:46:13,800 --> 00:46:16,000 Speaker 1: far Ago City Bank. None of these companies can do 865 00:46:16,040 --> 00:46:18,480 Speaker 1: it because they want to have access to the federal 866 00:46:18,480 --> 00:46:21,560 Speaker 1: reserve and they operate across state lines. So the role 867 00:46:21,640 --> 00:46:23,840 Speaker 1: terrified to do and Nutan has already said this as 868 00:46:23,840 --> 00:46:25,759 Speaker 1: a priority for him. I mean, people walking out with 869 00:46:25,800 --> 00:46:29,120 Speaker 1: bags of cash is not sustainable. Supposedly, these black ops 870 00:46:29,120 --> 00:46:32,839 Speaker 1: guys are huge because they're making these hundred thousand allar 871 00:46:32,880 --> 00:46:36,239 Speaker 1: cash drops every day and it's just, you know, not 872 00:46:36,680 --> 00:46:39,560 Speaker 1: not a smart way to to manage business. So you 873 00:46:39,600 --> 00:46:45,480 Speaker 1: think in there will be some reform that will allow um, 874 00:46:45,600 --> 00:46:47,680 Speaker 1: these things to be banked, so you could pay with 875 00:46:47,719 --> 00:46:52,200 Speaker 1: a credit card, you can deposit, uh, they'll be able 876 00:46:52,200 --> 00:46:55,480 Speaker 1: to deposit money directly into a major bank. That this 877 00:46:55,560 --> 00:46:58,520 Speaker 1: is gonna go completely legitimate, I think so, you know, 878 00:46:58,680 --> 00:47:01,960 Speaker 1: I mean, listen, it's speculate at this point given the environment. 879 00:47:02,000 --> 00:47:04,160 Speaker 1: But you know, look at what's happening north of the border. 880 00:47:04,200 --> 00:47:07,279 Speaker 1: You have Bank of Montreal now entering the space, I mean, 881 00:47:07,320 --> 00:47:11,160 Speaker 1: the biggest of the big you know, this becomes right BMO. 882 00:47:11,239 --> 00:47:13,040 Speaker 1: And as a is there any business you know, when 883 00:47:13,040 --> 00:47:15,440 Speaker 1: you see a new revenue source, you're going to, you know, 884 00:47:15,520 --> 00:47:17,680 Speaker 1: look to capture it. But the government has to get 885 00:47:17,719 --> 00:47:19,400 Speaker 1: out of the way on this. This is the horses 886 00:47:19,440 --> 00:47:21,440 Speaker 1: are out of the barn. The patients aren't giving back 887 00:47:21,480 --> 00:47:23,640 Speaker 1: their medicine, the states aren't giving back their tax revenue, 888 00:47:23,640 --> 00:47:26,080 Speaker 1: and the people are giving back their jobs. So if 889 00:47:26,120 --> 00:47:28,040 Speaker 1: you have to make a bet ten years from now, 890 00:47:28,480 --> 00:47:32,640 Speaker 1: blockchain or cannabinoid which is bigger? Why I am making 891 00:47:32,680 --> 00:47:36,000 Speaker 1: a bet um And I think I think cannabinoid wellness 892 00:47:36,080 --> 00:47:38,480 Speaker 1: is going to be massive because I think blockchain is 893 00:47:38,719 --> 00:47:40,399 Speaker 1: going to have its own role and I think I've 894 00:47:40,400 --> 00:47:42,239 Speaker 1: always been a fan of I know, this is sort 895 00:47:42,239 --> 00:47:44,960 Speaker 1: of become the the popular narrative now I'm a big 896 00:47:45,000 --> 00:47:47,480 Speaker 1: fan of blockchain more so than trying to speculate which 897 00:47:47,480 --> 00:47:51,399 Speaker 1: currency because I don't know, but cannabiniated wellness is healthcare, right, 898 00:47:51,440 --> 00:47:54,479 Speaker 1: This is better care with less side effects. Uh. And 899 00:47:54,520 --> 00:47:58,439 Speaker 1: when people understand that of cannabinoids are non euphork and 900 00:47:58,560 --> 00:48:01,200 Speaker 1: they're all good for you in different ways. And you 901 00:48:01,239 --> 00:48:03,759 Speaker 1: can target receptors. And my partner hates when I use 902 00:48:03,800 --> 00:48:06,759 Speaker 1: this analogy, but it's a little crude. But rather than 903 00:48:06,760 --> 00:48:09,680 Speaker 1: the Western medicine of taking a pill and hoping it 904 00:48:09,680 --> 00:48:11,160 Speaker 1: gets to where it needs to go, you can actually 905 00:48:11,239 --> 00:48:13,799 Speaker 1: target receptors in different parts of your body as a 906 00:48:13,840 --> 00:48:17,480 Speaker 1: retrograde pathway. I mean, this is this is really powerful 907 00:48:17,520 --> 00:48:19,480 Speaker 1: science here and it's just on the cusp of coming through. 908 00:48:19,560 --> 00:48:22,800 Speaker 1: So I have two demographics I have to ask you about. First, 909 00:48:23,840 --> 00:48:28,880 Speaker 1: we we have sixty baby boomers retiring each day. The 910 00:48:28,920 --> 00:48:32,640 Speaker 1: population in the United States is aging. What do the 911 00:48:32,680 --> 00:48:38,600 Speaker 1: cannabinoid group of um compounds and molecules, what do they 912 00:48:38,640 --> 00:48:42,600 Speaker 1: mean for the healthcare of the elderly? Yep, it's the 913 00:48:42,680 --> 00:48:45,440 Speaker 1: it's actually that that's our that's our focus market. That's 914 00:48:45,440 --> 00:48:47,800 Speaker 1: why Florida is such a big focus for us because 915 00:48:47,840 --> 00:48:51,160 Speaker 1: the elderly obviously take the most medication. But interestingly, the 916 00:48:51,200 --> 00:48:53,080 Speaker 1: older you get, the better this is for you. If 917 00:48:53,080 --> 00:48:56,480 Speaker 1: you think about how your body stops producing endocannabinoids as 918 00:48:56,480 --> 00:48:59,640 Speaker 1: a function of diet, exercise, and heredity over the course 919 00:48:59,680 --> 00:49:02,200 Speaker 1: of time. What we've heard all of these scientists and 920 00:49:02,239 --> 00:49:07,080 Speaker 1: genealogists talk about is an endocannabinoid depression. Right, our endocannabinoid 921 00:49:07,160 --> 00:49:09,640 Speaker 1: system is just it's just withered up and died at 922 00:49:09,640 --> 00:49:12,600 Speaker 1: a certain age. As we get older, the cannabinoids identical 923 00:49:12,640 --> 00:49:16,040 Speaker 1: in action to what our bodies are supposed to produce, 924 00:49:16,080 --> 00:49:18,680 Speaker 1: but stop producing. If you ever saw have you ever 925 00:49:18,680 --> 00:49:21,839 Speaker 1: seen the elderly and just cannabis, they light up right 926 00:49:22,080 --> 00:49:25,600 Speaker 1: and forget like the no pun intended. But here's the 927 00:49:25,760 --> 00:49:28,200 Speaker 1: here's the part that's interesting. I'm not a doctor, but 928 00:49:28,280 --> 00:49:31,040 Speaker 1: what's demensia? Dementia is the degradation of the mind. Right, 929 00:49:31,080 --> 00:49:33,799 Speaker 1: your mind fails your you know, it becomes decrepit. What 930 00:49:34,000 --> 00:49:38,280 Speaker 1: what does THHC do? It stimulates brain cell activity. So 931 00:49:38,719 --> 00:49:41,920 Speaker 1: again that is that a medical uh, but I'm just 932 00:49:42,160 --> 00:49:44,920 Speaker 1: it's an intuitive one, you know, coma the same one. 933 00:49:45,719 --> 00:49:51,200 Speaker 1: It opens very specific, right, that's a very specific pressure 934 00:49:51,239 --> 00:49:53,560 Speaker 1: on the back of the odde, which is why your 935 00:49:53,560 --> 00:49:56,239 Speaker 1: eyes get read because the capillaries and large as the 936 00:49:56,480 --> 00:49:59,560 Speaker 1: as the t as the end, as the cannabinoids take effect. 937 00:50:00,120 --> 00:50:03,160 Speaker 1: So and then the second UM demographic. I have to 938 00:50:03,200 --> 00:50:07,560 Speaker 1: ask UM for partially selfish reasons, because my office we 939 00:50:07,640 --> 00:50:12,400 Speaker 1: have a significant number of veterans we've hired, and that 940 00:50:12,640 --> 00:50:19,360 Speaker 1: group has an enormously disproportionate amount of medical issues, including depression, 941 00:50:19,600 --> 00:50:22,840 Speaker 1: and there's some sixteen suicides a day. Not all veterans, 942 00:50:23,080 --> 00:50:25,520 Speaker 1: but a high number of veterans are in that group. 943 00:50:26,040 --> 00:50:29,400 Speaker 1: What what can cannabinoids do for that? That group of 944 00:50:29,440 --> 00:50:33,399 Speaker 1: people coming back with PTSD, coming back missing limbs, coming 945 00:50:33,400 --> 00:50:37,360 Speaker 1: back with all sorts of permanent pain and ongoing trauma. 946 00:50:37,840 --> 00:50:40,520 Speaker 1: What could this do for that? Here's the difference between 947 00:50:40,560 --> 00:50:44,839 Speaker 1: opioids and cannabinoids. You have opioid receptors in your brainstem, right. 948 00:50:44,920 --> 00:50:47,440 Speaker 1: Your brain stem controls your lungs and your breathing, right, 949 00:50:47,440 --> 00:50:50,239 Speaker 1: That's why people overdose from opioids. You have very, very 950 00:50:50,320 --> 00:50:53,839 Speaker 1: scarce endocannabinoid receptors in your brainstem. That's why nobody's ever 951 00:50:53,920 --> 00:50:57,359 Speaker 1: died from cannabis. So right there, you're talking about pain 952 00:50:57,440 --> 00:51:02,719 Speaker 1: relief or or emotion in a relief without the possibility 953 00:51:02,760 --> 00:51:06,360 Speaker 1: of death, much lower risk type of medication. Clearly, the 954 00:51:06,360 --> 00:51:09,320 Speaker 1: adverse effect profile is is to monstrably be better for 955 00:51:09,440 --> 00:51:14,480 Speaker 1: starters that. That's quite that's quite interesting. You're very comfortable 956 00:51:14,719 --> 00:51:18,480 Speaker 1: speaking in public, but you weren't always very comfortable peaking 957 00:51:18,600 --> 00:51:21,799 Speaker 1: speaking in public. We want to have a conversation about that. 958 00:51:21,840 --> 00:51:25,280 Speaker 1: You said, everything's on the table. Sure. Do you remember 959 00:51:25,600 --> 00:51:32,040 Speaker 1: you and I doing an episode of Dylan MSNBC show. Dude, 960 00:51:32,360 --> 00:51:35,640 Speaker 1: you were Albert Brooks on Broadcast News. I listen. I 961 00:51:35,680 --> 00:51:37,799 Speaker 1: think it was one of the best lines ever. Verse 962 00:51:37,800 --> 00:51:40,279 Speaker 1: said on TV. If we don't stop being Democrats and 963 00:51:40,320 --> 00:51:42,680 Speaker 1: don't stop being Republicans and we start being Americans, this 964 00:51:42,719 --> 00:51:45,680 Speaker 1: thing is just gonna fester. And what happened, it's festered? 965 00:51:45,800 --> 00:51:48,239 Speaker 1: It well there, that was almost a decade ago, and 966 00:51:48,280 --> 00:51:50,680 Speaker 1: you're right, it did fester. But what I'm bringing up 967 00:51:51,320 --> 00:51:53,440 Speaker 1: is not that we got off the set and you 968 00:51:53,480 --> 00:51:57,280 Speaker 1: were drenched. I'm bringing up you're so much more comfortable 969 00:51:57,320 --> 00:52:01,319 Speaker 1: discussing this than you were talking about out whatever we 970 00:52:01,320 --> 00:52:05,000 Speaker 1: were talking about. Is it just you've gotten used to 971 00:52:05,040 --> 00:52:07,759 Speaker 1: this or is it you're just so enthusiastic about the 972 00:52:07,800 --> 00:52:12,120 Speaker 1: subject that whatever. Butterflies just well, I'll tell you this. 973 00:52:12,200 --> 00:52:15,560 Speaker 1: I've you know, and some people will maybe disagree with this, 974 00:52:15,600 --> 00:52:17,919 Speaker 1: but I've never really been interested in doing the whole 975 00:52:17,960 --> 00:52:19,879 Speaker 1: media thing. And I did it for a long time 976 00:52:19,880 --> 00:52:23,000 Speaker 1: at Minnonville because I felt like obligatory. It was part 977 00:52:23,040 --> 00:52:25,799 Speaker 1: of the part of the just to get more sort 978 00:52:25,800 --> 00:52:31,120 Speaker 1: of page views and clicks. And it's also see from 979 00:52:31,160 --> 00:52:33,880 Speaker 1: everything we've talked about, writing is a way to distill 980 00:52:33,920 --> 00:52:36,799 Speaker 1: what you think and being able to share your perspective. 981 00:52:37,440 --> 00:52:39,359 Speaker 1: I've always looked at it as at first of all, 982 00:52:39,400 --> 00:52:43,399 Speaker 1: it's fun too. I started doing Cudl and Cramer two 983 00:52:43,480 --> 00:52:46,360 Speaker 1: thousand three, it was they were fun to have the 984 00:52:46,440 --> 00:52:51,279 Speaker 1: conversation with. You got to help shape the debate. Especially 985 00:52:51,320 --> 00:52:54,759 Speaker 1: they really weren't a lot of people talking about subprime 986 00:52:54,840 --> 00:52:58,480 Speaker 1: housing and derivatives and and c d os. Prior to 987 00:52:58,520 --> 00:53:01,800 Speaker 1: the were on the money for Nothing Federal Reserve by documentary, 988 00:53:02,200 --> 00:53:04,600 Speaker 1: you and I both were, and and there were very 989 00:53:04,640 --> 00:53:06,640 Speaker 1: few people talking to that and just being able to 990 00:53:06,680 --> 00:53:10,440 Speaker 1: move that debate forward. I especially when you say I've 991 00:53:10,480 --> 00:53:13,160 Speaker 1: seen something that's unique, no one else is talking about it. 992 00:53:13,200 --> 00:53:15,759 Speaker 1: I want to have this discussion. You seem to be 993 00:53:15,800 --> 00:53:19,839 Speaker 1: doing that same thing with with the cannabinoids today. It's 994 00:53:20,120 --> 00:53:23,000 Speaker 1: the parallel to two thousand and six seven, maybe even 995 00:53:23,040 --> 00:53:27,000 Speaker 1: two thousand five six seven before the market. Well, I 996 00:53:27,000 --> 00:53:29,240 Speaker 1: think I think that's just there. I mean, I've always 997 00:53:29,239 --> 00:53:31,440 Speaker 1: been somebody that needs a purpose. I need a purpose 998 00:53:31,480 --> 00:53:32,680 Speaker 1: to get up in the morning. I need to be 999 00:53:32,680 --> 00:53:35,719 Speaker 1: passionate about what I do. And it hasn't always been 1000 00:53:35,719 --> 00:53:37,840 Speaker 1: that way. And I think for a long time, you know, 1001 00:53:37,840 --> 00:53:39,759 Speaker 1: when the writing was on the wall with Minonville, and 1002 00:53:39,760 --> 00:53:42,400 Speaker 1: I still was, you know, sort of you know, going 1003 00:53:42,480 --> 00:53:45,000 Speaker 1: through the motions because I had that sense of duty 1004 00:53:45,080 --> 00:53:47,640 Speaker 1: to finish that thing. Uh, it lost a lot of 1005 00:53:47,640 --> 00:53:50,719 Speaker 1: its passion, a lot of its spontaneity, a lot of 1006 00:53:50,719 --> 00:53:55,080 Speaker 1: its enthusiasm. This to me, this to me is powerful. Right. 1007 00:53:55,200 --> 00:53:57,879 Speaker 1: I've seen the parents, I've talked to the parents, I've 1008 00:53:58,200 --> 00:54:00,680 Speaker 1: this is the stories. The stories are hard break. I 1009 00:54:00,680 --> 00:54:02,480 Speaker 1: was sitting there watching them speak at the g W 1010 00:54:02,880 --> 00:54:05,160 Speaker 1: Expert panel when I was swelling up. Watch I have 1011 00:54:05,160 --> 00:54:07,040 Speaker 1: a little girl at home. I have three kids at home. 1012 00:54:07,239 --> 00:54:09,319 Speaker 1: You know, any parent is going to see that, and 1013 00:54:09,360 --> 00:54:12,520 Speaker 1: really it's gonna hit home with my kids disease and 1014 00:54:12,520 --> 00:54:14,600 Speaker 1: you're not letting They're going. There are kids I have 1015 00:54:14,600 --> 00:54:16,279 Speaker 1: to run over with a steam roll. There are kids 1016 00:54:16,320 --> 00:54:19,480 Speaker 1: going from three hundred seizures a day to two a month, right, 1017 00:54:19,520 --> 00:54:21,040 Speaker 1: And they're saying that this is illegal and they have 1018 00:54:21,120 --> 00:54:22,640 Speaker 1: to run from the fees. They have to move to 1019 00:54:22,680 --> 00:54:25,600 Speaker 1: Colorado to get there. It's criminal. This is the time 1020 00:54:25,640 --> 00:54:28,080 Speaker 1: has come for this issue. And and what's why we're 1021 00:54:28,120 --> 00:54:30,920 Speaker 1: passionate is because people are so off sides here. They 1022 00:54:30,920 --> 00:54:32,600 Speaker 1: think this is a gateway drug. Yes, it is a 1023 00:54:32,600 --> 00:54:35,239 Speaker 1: gateway drug. It's a gateway off of opioids, right, But 1024 00:54:35,280 --> 00:54:37,880 Speaker 1: it's also a wellness play and that's what people are missing. 1025 00:54:38,080 --> 00:54:40,200 Speaker 1: They think of Cheech and Chong. Even still, you said 1026 00:54:40,200 --> 00:54:42,520 Speaker 1: to me just before during a break, you know, maybe 1027 00:54:42,520 --> 00:54:44,200 Speaker 1: do you have any samples with you? As a joke, 1028 00:54:44,480 --> 00:54:46,440 Speaker 1: but we hear that all the time. People think this 1029 00:54:46,520 --> 00:54:48,840 Speaker 1: is about getting high. The more people who think this 1030 00:54:48,960 --> 00:54:52,160 Speaker 1: is about getting high, the war of an opportunity is 1031 00:54:52,200 --> 00:54:54,200 Speaker 1: for the wellness strategy because people are looking on the 1032 00:54:54,200 --> 00:54:57,880 Speaker 1: wrong side of the pipe. I mean, it's but it 1033 00:54:57,960 --> 00:55:00,600 Speaker 1: really is true. I'm assed on us. By the way, 1034 00:55:00,640 --> 00:55:02,640 Speaker 1: there's a bunch of stuff I have to nobody's talking 1035 00:55:02,680 --> 00:55:05,360 Speaker 1: about this, nobody's married the science in the strategy. It's 1036 00:55:05,400 --> 00:55:10,680 Speaker 1: it's so amazingly clear that this is a wildly undercovered space. 1037 00:55:11,280 --> 00:55:15,480 Speaker 1: It's shocking. Um. So we have an office in Portland, Oregon, 1038 00:55:15,640 --> 00:55:17,560 Speaker 1: and when we're out there. The first time we were 1039 00:55:17,560 --> 00:55:21,120 Speaker 1: out there, I said, uh to our employee Joey, I've 1040 00:55:21,160 --> 00:55:23,399 Speaker 1: never been in a wheed shop. You gotta take me. 1041 00:55:23,800 --> 00:55:27,680 Speaker 1: And it was the craziest experience. First, like there's a 1042 00:55:28,280 --> 00:55:31,160 Speaker 1: they buzz you in and this door slams behind you 1043 00:55:31,200 --> 00:55:33,319 Speaker 1: like you're in a vault. And then you have to 1044 00:55:33,320 --> 00:55:35,719 Speaker 1: show I D and they photo I D. And then 1045 00:55:35,760 --> 00:55:38,200 Speaker 1: they take you to the next thing. And it's sort 1046 00:55:38,239 --> 00:55:40,520 Speaker 1: of like the Starbucks of weed. They are all these 1047 00:55:40,560 --> 00:55:44,120 Speaker 1: different things and the you know, the mellow caramel flavor. 1048 00:55:44,160 --> 00:55:47,719 Speaker 1: And I'm right, well, there's different, strange, different cannabinoids. Everybody 1049 00:55:47,719 --> 00:55:52,800 Speaker 1: has the same same coffee slash, wine slash. There is 1050 00:55:52,840 --> 00:55:57,920 Speaker 1: a certain type of um obsessive deep dives in a 1051 00:55:58,560 --> 00:56:02,520 Speaker 1: own a file type of I'm drawing the blank. People 1052 00:56:02,520 --> 00:56:05,239 Speaker 1: are passionate about their cannabis. I mean not just from 1053 00:56:05,239 --> 00:56:08,399 Speaker 1: a wellness standpoint, but again, I think I think from 1054 00:56:08,400 --> 00:56:11,399 Speaker 1: a semantics and lexicon craft beer is probably the best 1055 00:56:11,480 --> 00:56:14,000 Speaker 1: parallel I could come up with. Their Like I like this, 1056 00:56:14,120 --> 00:56:16,319 Speaker 1: I don't like hops. I like a white beer, and 1057 00:56:16,400 --> 00:56:19,759 Speaker 1: it's the same sort of uh is this Indica is 1058 00:56:19,800 --> 00:56:24,600 Speaker 1: it's sativa. What's the the depth of enthusiasm is really 1059 00:56:24,640 --> 00:56:26,319 Speaker 1: But but I'll say this though, just because I think 1060 00:56:26,320 --> 00:56:29,120 Speaker 1: it's important. I was at a Wall Street dinner a 1061 00:56:29,160 --> 00:56:31,960 Speaker 1: few months back, uh, and they were talking about cannabis 1062 00:56:31,960 --> 00:56:35,400 Speaker 1: and framing it as a discretionary vice, framing it as beer. 1063 00:56:36,960 --> 00:56:39,520 Speaker 1: That's my frame of reference, right, that's most people's frame 1064 00:56:39,560 --> 00:56:42,799 Speaker 1: of reference for this, But it's in our opinion it's 1065 00:56:42,880 --> 00:56:46,920 Speaker 1: off base because this is, well, again, it's not all medical. 1066 00:56:46,960 --> 00:56:49,040 Speaker 1: I think a lot of its semantics people it's self medicated. 1067 00:56:49,040 --> 00:56:51,880 Speaker 1: And certainly there's a contingent that does this recreationally or 1068 00:56:51,960 --> 00:56:54,200 Speaker 1: is it's called it don't use, but I certainly think 1069 00:56:54,200 --> 00:56:57,640 Speaker 1: that's there's there's blurredlines that people who believe that they're 1070 00:56:57,719 --> 00:57:00,320 Speaker 1: they're doing this recreationally, but really they're self met acicating 1071 00:57:00,360 --> 00:57:03,440 Speaker 1: in a way that maybe they don't realize. I remember, 1072 00:57:04,520 --> 00:57:07,759 Speaker 1: I know you, well, I know Jim Cramer. Well, I 1073 00:57:07,800 --> 00:57:11,239 Speaker 1: read the first book, Confessions of a Street Addict. The 1074 00:57:12,120 --> 00:57:15,920 Speaker 1: one aspect of that book that stayed with me was 1075 00:57:16,000 --> 00:57:20,640 Speaker 1: Kramer taking a keyboard and smashing it and literally there's 1076 00:57:20,640 --> 00:57:25,120 Speaker 1: somebody is signed to before the keys stopped dancing across 1077 00:57:25,240 --> 00:57:28,560 Speaker 1: the desk. Someone has to walk into the closet, get 1078 00:57:28,600 --> 00:57:32,680 Speaker 1: a box from a stack of keyboards, come back, plug 1079 00:57:32,760 --> 00:57:35,720 Speaker 1: it in. So he's ready to trade. Literally the keys 1080 00:57:35,760 --> 00:57:38,840 Speaker 1: haven't even stopped moving. And there's another Is that an 1081 00:57:38,840 --> 00:57:43,760 Speaker 1: exaggeration or is that a fairly accurate occasional occurrence. It 1082 00:57:43,840 --> 00:57:45,840 Speaker 1: was the best of times, it was the worst of times. 1083 00:57:45,840 --> 00:57:48,520 Speaker 1: But again I owe Jim a great deal of of 1084 00:57:48,560 --> 00:57:51,000 Speaker 1: debt for, you know, really being kind to me. You know, 1085 00:57:51,040 --> 00:57:53,920 Speaker 1: my father as as an example, when I was this 1086 00:57:54,000 --> 00:57:55,400 Speaker 1: is why two K we're in the middle of a 1087 00:57:56,400 --> 00:57:57,840 Speaker 1: y two K. I don't know how else to put it, 1088 00:57:58,040 --> 00:58:01,280 Speaker 1: you know, fifteen points wing things in a day, and 1089 00:58:01,360 --> 00:58:03,200 Speaker 1: you know, I got a call my father, who I 1090 00:58:03,200 --> 00:58:06,000 Speaker 1: hadn't talked to him many years was uh in a 1091 00:58:05,800 --> 00:58:08,880 Speaker 1: in a jail and MAUI uh. You know it was 1092 00:58:08,960 --> 00:58:11,760 Speaker 1: really like emotional sort of like. And Jim turned in 1093 00:58:11,760 --> 00:58:13,400 Speaker 1: the middle of the trading day, gets off the desk 1094 00:58:13,440 --> 00:58:16,040 Speaker 1: and he calls up his people in in Hawaii and 1095 00:58:16,040 --> 00:58:18,720 Speaker 1: gets an attorney and says, go, we'll take care of everything. 1096 00:58:18,800 --> 00:58:20,479 Speaker 1: I mean, these are things that people don't know about 1097 00:58:20,560 --> 00:58:24,000 Speaker 1: Jim's how kind he is when nobody's looking. And I think, uh, 1098 00:58:24,080 --> 00:58:25,680 Speaker 1: I think the rest of it. You know, he's a 1099 00:58:25,720 --> 00:58:28,600 Speaker 1: passionate guy. You know, he he hates to lose. But 1100 00:58:28,760 --> 00:58:30,440 Speaker 1: if you're his friend, will do anything for you. If 1101 00:58:30,440 --> 00:58:33,840 Speaker 1: you're his enemy, like I still appear to be, I guess, uh, 1102 00:58:33,880 --> 00:58:36,160 Speaker 1: you know you're persona on ge. So so the thing, 1103 00:58:36,320 --> 00:58:40,000 Speaker 1: I've always been amazed by Cramer. So people have told 1104 00:58:40,000 --> 00:58:43,160 Speaker 1: me I don't have much of a filter, and that's 1105 00:58:43,160 --> 00:58:45,440 Speaker 1: sort of true. I guess I have to cop to that. 1106 00:58:45,840 --> 00:58:49,480 Speaker 1: But Jim literally, like whatever voice instide your head that 1107 00:58:49,520 --> 00:58:54,240 Speaker 1: says you shouldn't say that, he is completely filterless. You 1108 00:58:54,240 --> 00:58:57,280 Speaker 1: you've never and anyone who's never spent time with him, 1109 00:58:57,640 --> 00:59:00,800 Speaker 1: for for good and for bad, no one in the 1110 00:59:00,880 --> 00:59:06,200 Speaker 1: universe is more honest. There's zero filter. There's just nothing between. Hey, 1111 00:59:06,240 --> 00:59:08,600 Speaker 1: maybe I should hedge this a little bit. Maybe I 1112 00:59:08,600 --> 00:59:10,800 Speaker 1: should put a little maybe I should make this a 1113 00:59:10,800 --> 00:59:14,320 Speaker 1: little white lie, put it pretty it up. That filter 1114 00:59:14,720 --> 00:59:19,200 Speaker 1: is congenerally not there. And that's what makes him such 1115 00:59:19,240 --> 00:59:23,320 Speaker 1: a unique and fascinating individual. Because say what you will 1116 00:59:23,360 --> 00:59:26,800 Speaker 1: about him, you know you're not getting spun by him. 1117 00:59:26,920 --> 00:59:31,520 Speaker 1: He is telling you exactly what he thinks. I don't 1118 00:59:31,520 --> 00:59:33,600 Speaker 1: know how else to describe that. I think I think 1119 00:59:33,640 --> 00:59:37,480 Speaker 1: Bill Flecknstein said it best. Sometimes right, sometimes wrong, always honest. 1120 00:59:37,840 --> 00:59:40,280 Speaker 1: I mean, you're getting that, You're getting you're getting the truth. 1121 00:59:40,600 --> 00:59:42,080 Speaker 1: And I think there's something to be said for that. 1122 00:59:42,320 --> 00:59:44,560 Speaker 1: And it's a shame you guys had your falling out. 1123 00:59:44,600 --> 00:59:47,880 Speaker 1: He he seemed to feel that you, uh, you stuck 1124 00:59:47,880 --> 00:59:49,960 Speaker 1: a knife in his back. You just had enough of 1125 00:59:49,960 --> 00:59:52,040 Speaker 1: what you were doing and moved on. Yeah. No, And 1126 00:59:52,360 --> 00:59:54,400 Speaker 1: this is sort of the you know, this is I 1127 00:59:54,400 --> 00:59:57,400 Speaker 1: guess my cross to bear. But you know, after after 1128 00:59:57,480 --> 00:59:59,600 Speaker 1: nine eleven, I had my own issues and I wanted 1129 00:59:59,640 --> 01:00:01,880 Speaker 1: to do some thing meaningful and and kind of strike 1130 01:00:01,920 --> 01:00:03,680 Speaker 1: out on my own. And you know, having I was 1131 01:00:03,720 --> 01:00:05,360 Speaker 1: a writer on the street dot com and I was 1132 01:00:05,400 --> 01:00:07,080 Speaker 1: at the time president of his hedge funds, So I 1133 01:00:07,200 --> 01:00:09,840 Speaker 1: understand sort of the animus of of me leaving and 1134 01:00:09,880 --> 01:00:12,520 Speaker 1: doing my own thing. But you know, again, things were 1135 01:00:12,560 --> 01:00:15,240 Speaker 1: said and done, and certainly on my part that I 1136 01:00:15,280 --> 01:00:18,720 Speaker 1: take full responsibility for. But you know, life's too short 1137 01:00:18,760 --> 01:00:20,720 Speaker 1: to kind of hold these things going from I've I've 1138 01:00:20,760 --> 01:00:24,240 Speaker 1: always thought you've had a very healthy attitude, not only 1139 01:00:24,520 --> 01:00:28,720 Speaker 1: about stuff like this, but about money and the pursuit 1140 01:00:28,880 --> 01:00:32,400 Speaker 1: of it. And understanding it's just a tool, and I 1141 01:00:32,440 --> 01:00:35,240 Speaker 1: fits your whole life their promise. I mean, listen, Manyonville. 1142 01:00:35,480 --> 01:00:37,760 Speaker 1: You know when you know Manyville still, did that really 1143 01:00:37,800 --> 01:00:40,400 Speaker 1: push your two million dollars? It costs me twenty two 1144 01:00:40,400 --> 01:00:43,480 Speaker 1: million on paper? Well, I mean in actually yeah, I 1145 01:00:43,480 --> 01:00:45,400 Speaker 1: put a few million in, but I put fifteen years 1146 01:00:45,440 --> 01:00:47,240 Speaker 1: in my life and and and every part of my 1147 01:00:47,320 --> 01:00:49,800 Speaker 1: body and soul and purpose into it. So you know, 1148 01:00:49,840 --> 01:00:51,680 Speaker 1: it was like losing a child. And you know, I 1149 01:00:51,720 --> 01:00:54,560 Speaker 1: say losing Listen, the digital media model broke. You know, 1150 01:00:54,600 --> 01:00:56,760 Speaker 1: I got in, I said, I literally wrote an article 1151 01:00:56,800 --> 01:00:58,920 Speaker 1: said the digital media model is broken, you know, and 1152 01:00:58,920 --> 01:01:00,920 Speaker 1: I'm putting this up for saying. And we sold some 1153 01:01:01,000 --> 01:01:03,400 Speaker 1: of it, which was you know, the proceeds were used 1154 01:01:03,440 --> 01:01:06,040 Speaker 1: to pay back everybody that was owed money, uh, for 1155 01:01:06,080 --> 01:01:08,400 Speaker 1: the most part. And you know, certainly I have the 1156 01:01:08,560 --> 01:01:10,440 Speaker 1: uh you know, it's still up you know, I have 1157 01:01:10,560 --> 01:01:13,120 Speaker 1: the I have the the archives are still there, everything there, 1158 01:01:13,320 --> 01:01:15,600 Speaker 1: and you know it's still up there. So you know, 1159 01:01:15,600 --> 01:01:17,520 Speaker 1: in the back of my mind, I sort of think 1160 01:01:17,600 --> 01:01:20,080 Speaker 1: that maybe a revival one day, But you know, I 1161 01:01:20,080 --> 01:01:21,680 Speaker 1: think part of it also is there's a lot of 1162 01:01:21,800 --> 01:01:23,720 Speaker 1: very good lessons in there. There's a lot of good 1163 01:01:23,720 --> 01:01:27,760 Speaker 1: content and and really it was a real time assimilation 1164 01:01:27,840 --> 01:01:30,920 Speaker 1: of probably the most interesting fifteen years in financial history. 1165 01:01:31,240 --> 01:01:33,320 Speaker 1: So through that lens, I mean from Y two k 1166 01:01:33,520 --> 01:01:36,560 Speaker 1: to uh, you know, to two thousand and call it fifteen. 1167 01:01:36,600 --> 01:01:38,480 Speaker 1: You're you're talking about a lot of changes in the 1168 01:01:38,480 --> 01:01:40,880 Speaker 1: financial Well, you haven't seen the next fifteen years, and 1169 01:01:40,880 --> 01:01:43,920 Speaker 1: I have just sneaking suspicion it's going to be, uh, 1170 01:01:43,960 --> 01:01:46,360 Speaker 1: perhaps just as interesting. All right, So let me get 1171 01:01:46,400 --> 01:01:49,840 Speaker 1: to my favorite questions. These are the things I ask 1172 01:01:49,920 --> 01:01:52,840 Speaker 1: all my guests, and I found that they are both 1173 01:01:52,920 --> 01:01:57,480 Speaker 1: fun and intriguing and revealing. Um and a lot of 1174 01:01:57,480 --> 01:02:00,400 Speaker 1: these have come from listeners, so I've I can't take 1175 01:02:00,400 --> 01:02:02,760 Speaker 1: full credit for alities. So let's jump right into this. 1176 01:02:03,360 --> 01:02:07,680 Speaker 1: Tell us the most important thing people don't know about 1177 01:02:07,720 --> 01:02:11,200 Speaker 1: your background? I think there's a lot of there's a 1178 01:02:11,280 --> 01:02:13,360 Speaker 1: lot that people don't know. But you were, you were 1179 01:02:13,440 --> 01:02:18,520 Speaker 1: starting forward at Syracuse right now, what what do people know? 1180 01:02:18,600 --> 01:02:20,720 Speaker 1: What give us? I think it's, you know, I think 1181 01:02:20,720 --> 01:02:23,840 Speaker 1: it's really, if anything, it's the fact that it's just 1182 01:02:24,000 --> 01:02:25,919 Speaker 1: you know, I've been working since I'm thirteen years old, 1183 01:02:25,960 --> 01:02:28,520 Speaker 1: and you know, from from working in a bagel shop 1184 01:02:28,560 --> 01:02:30,560 Speaker 1: of turning bagels at thirteen at five o'clock in the 1185 01:02:30,560 --> 01:02:32,560 Speaker 1: morning on a Saturday too. You know when I lived 1186 01:02:32,600 --> 01:02:34,960 Speaker 1: in California for high school and going out to see 1187 01:02:35,000 --> 01:02:37,360 Speaker 1: me Valley and picking weeds for fifty dollars a day, 1188 01:02:37,640 --> 01:02:40,160 Speaker 1: picking what I'm picking weeds out of a field like 1189 01:02:40,240 --> 01:02:45,120 Speaker 1: literally like literally reading for fifty dollars. First, I keep 1190 01:02:45,160 --> 01:02:50,640 Speaker 1: hearing subconscious weed references. I understand that about Malle in California, 1191 01:02:51,760 --> 01:02:56,120 Speaker 1: Alle like everything has a menial labor, my point being, 1192 01:02:56,160 --> 01:02:59,120 Speaker 1: you know, backbreaking labor. Yeah, but I think it's the 1193 01:02:59,120 --> 01:03:00,440 Speaker 1: best thing that ever happened to me. You know, when 1194 01:03:00,440 --> 01:03:01,760 Speaker 1: I was a young kid, my mom said, if you 1195 01:03:01,800 --> 01:03:03,440 Speaker 1: want money, to get a job, and it stuck with 1196 01:03:03,480 --> 01:03:05,439 Speaker 1: me because we didn't grow up with money. We lived 1197 01:03:05,440 --> 01:03:07,040 Speaker 1: on the other side of the tracks, and I always 1198 01:03:07,040 --> 01:03:09,000 Speaker 1: wanted to be the guy with the money. And it 1199 01:03:09,040 --> 01:03:10,880 Speaker 1: taught me at a very early age if you wanted something, 1200 01:03:10,880 --> 01:03:13,320 Speaker 1: you better put the work and makes sense. Tell us 1201 01:03:13,360 --> 01:03:17,080 Speaker 1: about your early mentors, Who who goded your career? Who 1202 01:03:17,080 --> 01:03:21,360 Speaker 1: do you who did you take a lot of lessons from? Well, 1203 01:03:21,400 --> 01:03:25,360 Speaker 1: I gotta say in early when I started at Morgan Stanley, 1204 01:03:25,360 --> 01:03:27,640 Speaker 1: there were a few people there. Jack Skiba, Uh, you 1205 01:03:27,680 --> 01:03:29,280 Speaker 1: know I would come in at five five thirty in 1206 01:03:29,320 --> 01:03:31,960 Speaker 1: the morning and right up the tea accounts and write 1207 01:03:32,040 --> 01:03:34,680 Speaker 1: up the point and figure charts. And uh certainly Jack 1208 01:03:34,760 --> 01:03:38,880 Speaker 1: was was a meaningful purpose person in my development. Tommy Cardon, 1209 01:03:39,080 --> 01:03:41,600 Speaker 1: David Slain, these are people who were there early and 1210 01:03:41,600 --> 01:03:44,360 Speaker 1: and they didn't really care about anything other than seeing 1211 01:03:44,360 --> 01:03:46,640 Speaker 1: me succeed. And I think that's uh something to be 1212 01:03:46,680 --> 01:03:50,840 Speaker 1: said for that. People don't realize what those desks were 1213 01:03:50,920 --> 01:03:53,920 Speaker 1: like back in the desk. I had friends on on 1214 01:03:53,960 --> 01:03:58,040 Speaker 1: the Meryld desk, Um, I knew other people on other 1215 01:03:58,800 --> 01:04:01,400 Speaker 1: That was a big family, wasn't it. Yeah, it was. 1216 01:04:02,160 --> 01:04:04,240 Speaker 1: You know when I was Stanley, we were you know, 1217 01:04:04,280 --> 01:04:05,680 Speaker 1: we used to put on our hats and go to 1218 01:04:05,720 --> 01:04:07,560 Speaker 1: war against Goldman sacks every day. I mean it was 1219 01:04:07,600 --> 01:04:10,120 Speaker 1: Morgan and Goldman a right, So we were We took 1220 01:04:10,160 --> 01:04:12,240 Speaker 1: that seriously and we would go out there and try 1221 01:04:12,280 --> 01:04:14,200 Speaker 1: to get all the customer business we could and try 1222 01:04:14,240 --> 01:04:16,720 Speaker 1: to trade out trade these guys who remember back then 1223 01:04:17,000 --> 01:04:19,040 Speaker 1: there were no tape lines. You know, your name was 1224 01:04:19,080 --> 01:04:21,240 Speaker 1: your word. If you wait, if you picked up a 1225 01:04:21,280 --> 01:04:24,200 Speaker 1: phone and made a trade, you're bound by your own 1226 01:04:24,560 --> 01:04:28,480 Speaker 1: you know, yeah, and that's it. But it worked for 1227 01:04:28,520 --> 01:04:31,520 Speaker 1: a long time until until it didn't. I guess. So 1228 01:04:32,080 --> 01:04:35,920 Speaker 1: what traders influenced your approach to either trading or invest in. 1229 01:04:37,680 --> 01:04:39,520 Speaker 1: You know, I've always had a respect for Peter Lynch 1230 01:04:39,600 --> 01:04:42,960 Speaker 1: and and the obvious, uh, the obvious reason would be, 1231 01:04:43,040 --> 01:04:45,440 Speaker 1: you know, getting to know your investment and really believing 1232 01:04:45,480 --> 01:04:47,640 Speaker 1: in your investment and having a stake in your investment. 1233 01:04:47,840 --> 01:04:50,160 Speaker 1: But I also like the fact that he was that 1234 01:04:50,280 --> 01:04:52,440 Speaker 1: you know, he adapted his style to the market. And 1235 01:04:52,440 --> 01:04:54,280 Speaker 1: there are a lot of different markets. You know. There 1236 01:04:54,280 --> 01:04:56,200 Speaker 1: are times when you want to you know, fade the 1237 01:04:56,240 --> 01:04:58,080 Speaker 1: market and trade around the core. There are times you 1238 01:04:58,080 --> 01:04:59,840 Speaker 1: want to hit it to quit it. There are times 1239 01:04:59,840 --> 01:05:02,400 Speaker 1: you want to you know, uh, invest for the long 1240 01:05:02,440 --> 01:05:05,360 Speaker 1: haul and trade uh, you know, against it. And I 1241 01:05:05,440 --> 01:05:09,040 Speaker 1: always admired Peter Lynch for having the ability to sort of, 1242 01:05:09,440 --> 01:05:11,840 Speaker 1: uh to adjust his style to the type of market 1243 01:05:11,880 --> 01:05:13,960 Speaker 1: that he was in hit it to quit it, which 1244 01:05:14,000 --> 01:05:17,520 Speaker 1: is a phrase I love. And most of my young 1245 01:05:17,600 --> 01:05:21,680 Speaker 1: colleagues have no idea who James Brown is. Um hit 1246 01:05:21,760 --> 01:05:26,720 Speaker 1: it then quit it. Um. Let's talk about everybody's favorite question. 1247 01:05:26,800 --> 01:05:29,040 Speaker 1: Tell us about some of your books that you like 1248 01:05:29,200 --> 01:05:32,120 Speaker 1: best Um when I mentioned the book you wrote, But 1249 01:05:32,160 --> 01:05:34,040 Speaker 1: what do you read for fun? What do you read? 1250 01:05:34,600 --> 01:05:38,480 Speaker 1: Uh for finance? Fiction, nonfiction? Tell us what you enjoy well. 1251 01:05:38,760 --> 01:05:41,400 Speaker 1: I think from a book standpoint man Search for Meaning 1252 01:05:41,520 --> 01:05:44,040 Speaker 1: by Victor Frankel is probably the most powerful book I 1253 01:05:44,120 --> 01:05:48,480 Speaker 1: ever read UM, and I strongly suggest it if you 1254 01:05:48,520 --> 01:05:50,680 Speaker 1: haven't read it. But you know, I'll tell you. Given 1255 01:05:50,720 --> 01:05:53,040 Speaker 1: where we are right now, I'm reading NonStop, but I'm 1256 01:05:53,080 --> 01:05:56,560 Speaker 1: reading about clinical trials, and I'm reading about research studies, 1257 01:05:56,600 --> 01:05:59,200 Speaker 1: and I'm reading about everything that's happening around the world. 1258 01:05:59,200 --> 01:06:02,400 Speaker 1: In Connabinoid own this that people don't get. So we're 1259 01:06:02,440 --> 01:06:05,160 Speaker 1: actually to that end. We're building ACB one capital. We 1260 01:06:05,200 --> 01:06:08,760 Speaker 1: had our website, we're building a research repository that should 1261 01:06:08,760 --> 01:06:10,200 Speaker 1: be up this week so you'll be able to go 1262 01:06:10,280 --> 01:06:14,960 Speaker 1: in by indication, whether it's cancer, pain, epilepsy, and be 1263 01:06:15,040 --> 01:06:17,080 Speaker 1: able to access all of the research that we've been 1264 01:06:17,080 --> 01:06:18,720 Speaker 1: reading because we want to share this with people. We 1265 01:06:18,800 --> 01:06:20,920 Speaker 1: want people to understand what's going on here. Have you 1266 01:06:20,960 --> 01:06:24,200 Speaker 1: plowed through any UM book on health and wellness that 1267 01:06:24,240 --> 01:06:25,840 Speaker 1: really stood out with you, Because I know you've read 1268 01:06:25,840 --> 01:06:28,320 Speaker 1: a ton of that stuff. They all kind of blur together. 1269 01:06:28,360 --> 01:06:30,240 Speaker 1: In my mind, anything that stands out well. You know, 1270 01:06:30,360 --> 01:06:32,800 Speaker 1: Dr Julie Holland, who's on our advisory board, has written 1271 01:06:32,840 --> 01:06:34,880 Speaker 1: some terrific books. The Pop Book is one of them. 1272 01:06:34,920 --> 01:06:36,640 Speaker 1: She's also done great work with M D m A 1273 01:06:37,000 --> 01:06:40,160 Speaker 1: and depression, which I think is probably on the horizon. 1274 01:06:40,240 --> 01:06:42,840 Speaker 1: Is the next like, oh my gosh, is that really medicine? 1275 01:06:43,200 --> 01:06:46,720 Speaker 1: Uh So, there's a lot being done for particularly for veterans, 1276 01:06:46,800 --> 01:06:50,080 Speaker 1: for PTSD and things of that nature. But she's certainly 1277 01:06:50,120 --> 01:06:52,920 Speaker 1: the first step that I were taken in learning. Normally 1278 01:06:52,960 --> 01:06:54,480 Speaker 1: at this point, I would ask you what are you 1279 01:06:54,520 --> 01:06:57,280 Speaker 1: most excited about today? But I don't think I even 1280 01:06:57,280 --> 01:06:59,400 Speaker 1: have to ask that. I've never been this excited. I 1281 01:06:59,400 --> 01:07:00,800 Speaker 1: think this is the best risk a war that I've 1282 01:07:00,840 --> 01:07:03,800 Speaker 1: ever seen. And the next question is what's the next 1283 01:07:03,920 --> 01:07:07,120 Speaker 1: major shift that you see coming? But you've you've already 1284 01:07:07,160 --> 01:07:11,000 Speaker 1: answered that. Also, you think politically this is gonna be 1285 01:07:11,080 --> 01:07:15,760 Speaker 1: just the next domino we marge equality fell under Obama administration. 1286 01:07:15,840 --> 01:07:17,960 Speaker 1: You think this is gonna fall soon around. I think 1287 01:07:17,960 --> 01:07:21,520 Speaker 1: it has to. I mean, the world is not waiting 1288 01:07:21,560 --> 01:07:25,080 Speaker 1: for the US. This is an outside in global bull market, 1289 01:07:25,200 --> 01:07:28,760 Speaker 1: and we we are we are way behind and by 1290 01:07:28,760 --> 01:07:31,560 Speaker 1: our own doing right, but certainly not too late. We 1291 01:07:31,640 --> 01:07:33,240 Speaker 1: have this This is a great country. We have the 1292 01:07:33,240 --> 01:07:36,320 Speaker 1: resources and the intellect and you know, uh, you know, 1293 01:07:36,360 --> 01:07:38,360 Speaker 1: we talked about it. We have the capital, but we 1294 01:07:38,400 --> 01:07:40,600 Speaker 1: also have the human capital. Right. There's a lot of 1295 01:07:40,640 --> 01:07:42,479 Speaker 1: these kids who are coming up right now who don't 1296 01:07:42,480 --> 01:07:44,160 Speaker 1: know what to do, and and a lot of these 1297 01:07:44,680 --> 01:07:47,400 Speaker 1: uh industries that I think we grew up on I 1298 01:07:47,480 --> 01:07:50,040 Speaker 1: have changed so dramatically. I'll put Wall Street on the 1299 01:07:50,080 --> 01:07:51,600 Speaker 1: top of the list in terms of the way it 1300 01:07:51,680 --> 01:07:53,480 Speaker 1: used to be versus the way it is now. But 1301 01:07:53,520 --> 01:07:55,400 Speaker 1: I gotta tell you, like, I have kids, and I 1302 01:07:55,440 --> 01:07:58,880 Speaker 1: think I think cannabinoid wellness. Learned the science, right, there's 1303 01:07:58,880 --> 01:08:02,360 Speaker 1: gonna be such demand for people who understand this science. 1304 01:08:02,560 --> 01:08:05,720 Speaker 1: You're talking six figures out of the gate for your 1305 01:08:05,840 --> 01:08:08,080 Speaker 1: entire career. In my opinion, you just got to put 1306 01:08:08,080 --> 01:08:10,600 Speaker 1: the work and you gotta learn the science. So this 1307 01:08:10,680 --> 01:08:13,520 Speaker 1: is always an interesting question. Tell us about a time 1308 01:08:13,560 --> 01:08:17,720 Speaker 1: you failed and what you learned from the experience. How 1309 01:08:17,800 --> 01:08:20,799 Speaker 1: much time you have. I've got a lot of failures. 1310 01:08:20,960 --> 01:08:23,920 Speaker 1: I actually give us one that stood out that perhaps 1311 01:08:23,920 --> 01:08:27,960 Speaker 1: people could take a lesson from. Well, Um, I remember 1312 01:08:27,960 --> 01:08:29,479 Speaker 1: when I was at Morgan Stanley. I think this is 1313 01:08:29,479 --> 01:08:35,400 Speaker 1: about uh. I was what twenty four at the time, maybe, uh, 1314 01:08:35,400 --> 01:08:37,080 Speaker 1: And I was just coming into my own I just 1315 01:08:37,280 --> 01:08:39,840 Speaker 1: you know, and I never, I never was prepared for 1316 01:08:41,000 --> 01:08:43,439 Speaker 1: wife on a trading desk. I came out of Syracuse University. 1317 01:08:43,439 --> 01:08:45,120 Speaker 1: They gave me a black shoals model in a Wall 1318 01:08:45,160 --> 01:08:47,880 Speaker 1: Street journal and they're like, good luck, right, but none 1319 01:08:47,920 --> 01:08:51,000 Speaker 1: of that was applicable really, so having to teach myself 1320 01:08:51,040 --> 01:08:55,040 Speaker 1: the derivative business, and uh, certainly, UH stumbled more often 1321 01:08:55,040 --> 01:08:56,800 Speaker 1: than I would like to admit, but got to where 1322 01:08:56,800 --> 01:08:59,040 Speaker 1: I thought I was in a pretty good space. And uh, 1323 01:08:59,080 --> 01:09:00,800 Speaker 1: you know, one day we had a customer come in 1324 01:09:00,880 --> 01:09:03,800 Speaker 1: and the biggest bank trader on the street and wanted 1325 01:09:03,840 --> 01:09:06,400 Speaker 1: to buy first Interstate calls and you know it was 1326 01:09:06,439 --> 01:09:09,320 Speaker 1: an a it was a hundred and twenty stock. I 1327 01:09:09,400 --> 01:09:12,240 Speaker 1: think he was buying the eighty calls like forts in 1328 01:09:12,240 --> 01:09:15,040 Speaker 1: the money. And you know, we started buying him after 1329 01:09:15,280 --> 01:09:17,519 Speaker 1: the first five hundred, af the first thousand, after first 1330 01:09:17,520 --> 01:09:19,679 Speaker 1: two thousand, I said, what's going on? And he tells 1331 01:09:19,680 --> 01:09:21,599 Speaker 1: me a story that he thinks it's gonna get taken over, 1332 01:09:22,040 --> 01:09:25,679 Speaker 1: so right, so he ends up buying eight thousand calls, 1333 01:09:25,720 --> 01:09:28,080 Speaker 1: which at the time was position limit. I sold the 1334 01:09:28,200 --> 01:09:30,120 Speaker 1: most of them, and against that, I pretty much was 1335 01:09:30,200 --> 01:09:32,680 Speaker 1: long everything under the sun against this stock. It was 1336 01:09:32,680 --> 01:09:34,600 Speaker 1: gonna make a lot of money if this happened. And 1337 01:09:34,640 --> 01:09:37,000 Speaker 1: I also told a lot of my friends on the desk, 1338 01:09:37,320 --> 01:09:39,719 Speaker 1: you know, like you said, it was a very collegiate community. 1339 01:09:39,760 --> 01:09:41,720 Speaker 1: So I told everybody who would listen, this is where 1340 01:09:41,720 --> 01:09:43,760 Speaker 1: you want to be in this stock right now, and 1341 01:09:43,800 --> 01:09:46,839 Speaker 1: I'll never forget it was. It was about three fifty 1342 01:09:46,880 --> 01:09:49,960 Speaker 1: one afternoon and my sales trader, Kim dispec Nuk, said, 1343 01:09:49,960 --> 01:09:53,479 Speaker 1: how you making a letter I And I'm thinking to myself, cheese. 1344 01:09:53,520 --> 01:09:56,040 Speaker 1: You know he's position limit. I thought he knew that, 1345 01:09:56,120 --> 01:09:58,080 Speaker 1: and I showed him an offer and she said, no, 1346 01:09:58,160 --> 01:10:01,400 Speaker 1: I needed two sided market. He wants to sell them, 1347 01:10:01,439 --> 01:10:04,280 Speaker 1: so I try to get the story. I assumed the 1348 01:10:04,280 --> 01:10:06,920 Speaker 1: deal is off, and I bought the first five hundred 1349 01:10:07,240 --> 01:10:09,719 Speaker 1: and I got myself in shape, sold a lot. Bade 1350 01:10:09,800 --> 01:10:11,599 Speaker 1: him on the rest of it, which is a terrific 1351 01:10:11,600 --> 01:10:14,320 Speaker 1: bid at the time calls. I said, I'll you know, 1352 01:10:14,320 --> 01:10:16,559 Speaker 1: I'll bid you X for these, and I said it's 1353 01:10:16,600 --> 01:10:18,920 Speaker 1: a great bid, but we'll pick it up tomorrow. Morning, 1354 01:10:19,000 --> 01:10:23,160 Speaker 1: So right right, that was my thoughts. So the next morning, 1355 01:10:23,160 --> 01:10:25,559 Speaker 1: I come in early and I'm sitting there and and 1356 01:10:25,560 --> 01:10:27,920 Speaker 1: I'll never forget Bobby Groscoffer ran the banks on the 1357 01:10:28,000 --> 01:10:29,960 Speaker 1: on the listed side of Morgan Stanley runs up to 1358 01:10:29,960 --> 01:10:32,400 Speaker 1: me said, are you still involved letter I and I 1359 01:10:32,479 --> 01:10:35,760 Speaker 1: kind of looked at him. I said yeah, and he said, well, 1360 01:10:35,760 --> 01:10:39,760 Speaker 1: you're still long right And I said why, and yeah, 1361 01:10:39,760 --> 01:10:41,360 Speaker 1: I said, I can't tell you. And then sure enough, 1362 01:10:41,560 --> 01:10:43,719 Speaker 1: you know, fifteen minutes later, I went to the bathroom 1363 01:10:43,800 --> 01:10:46,679 Speaker 1: and I hear the just cheers on the trading four 1364 01:10:47,040 --> 01:10:49,400 Speaker 1: everybody's excited thing got taken over for like a hundred 1365 01:10:49,439 --> 01:10:52,120 Speaker 1: and eighty dollars or whatever it was. And Morgan Stanley 1366 01:10:52,200 --> 01:10:54,400 Speaker 1: was the banker, so I was restricted. I was probably done. 1367 01:10:54,400 --> 01:10:56,040 Speaker 1: I would have been up four or five million. I 1368 01:10:56,080 --> 01:11:00,320 Speaker 1: was down, you know something in the Severn figures, and 1369 01:11:00,680 --> 01:11:02,600 Speaker 1: I thought I was done. I was like, wow, you 1370 01:11:02,600 --> 01:11:07,240 Speaker 1: know which I thought I was done. I waited till 1371 01:11:07,240 --> 01:11:08,559 Speaker 1: the end of the day. I was last one there. 1372 01:11:08,640 --> 01:11:10,920 Speaker 1: My how much money came back from that trade to 1373 01:11:10,960 --> 01:11:13,640 Speaker 1: the firm because the guy, I have no idea, I know. 1374 01:11:13,920 --> 01:11:16,000 Speaker 1: And then then I had to execute agency and I 1375 01:11:16,000 --> 01:11:18,760 Speaker 1: had to error for hung I was and um, long 1376 01:11:18,800 --> 01:11:21,240 Speaker 1: story short, I got pulled in. My boss asked me 1377 01:11:21,320 --> 01:11:23,240 Speaker 1: what was going on? What happened? I told him, play 1378 01:11:23,280 --> 01:11:26,080 Speaker 1: by play what happened, and he said, he traded it right, 1379 01:11:26,320 --> 01:11:28,040 Speaker 1: That's exactly what you should know. How you should have 1380 01:11:28,040 --> 01:11:31,080 Speaker 1: handled it, you know, coming tomorrow to to fight and 1381 01:11:31,320 --> 01:11:33,240 Speaker 1: end up getting promoted that year was the youngest vice 1382 01:11:33,240 --> 01:11:35,320 Speaker 1: president of Morgan Stanley. But it really what it taught 1383 01:11:35,360 --> 01:11:37,719 Speaker 1: me was you have your process. You stay to your process. 1384 01:11:37,720 --> 01:11:39,640 Speaker 1: Sometimes it's gonna work, sometimes it's not gonna work. But 1385 01:11:39,640 --> 01:11:41,880 Speaker 1: if you stay true to your process over the course 1386 01:11:41,880 --> 01:11:44,240 Speaker 1: of time, it's gonna work out pretty well. There's nothing 1387 01:11:44,320 --> 01:11:47,519 Speaker 1: more nunciating that then sensation when you have a giant 1388 01:11:47,560 --> 01:11:50,960 Speaker 1: position and suddenly you realize, oh my god, this is 1389 01:11:51,040 --> 01:11:53,519 Speaker 1: just going time. I'm sweating. I'm sweating talking about it. 1390 01:11:53,600 --> 01:11:57,120 Speaker 1: Like I remember that I have a pretty iron constitution 1391 01:11:57,200 --> 01:12:00,080 Speaker 1: my gut. I can eat anything, as you know, but 1392 01:12:01,120 --> 01:12:04,080 Speaker 1: I just remember that sinking feeling and the pity of 1393 01:12:04,120 --> 01:12:09,679 Speaker 1: stomach business breakfast, here comes Eric comes and uh god, 1394 01:12:09,800 --> 01:12:11,280 Speaker 1: you had to you had to look at that and 1395 01:12:11,280 --> 01:12:13,800 Speaker 1: go five. Yeah, But I mean listen, when we were 1396 01:12:13,800 --> 01:12:15,920 Speaker 1: at Kramer Berker, which you know a few years later 1397 01:12:15,960 --> 01:12:18,120 Speaker 1: we were having thirty million dollar swings in a day, 1398 01:12:18,520 --> 01:12:21,840 Speaker 1: up or down. We're both ways well. Kramer tells the 1399 01:12:21,920 --> 01:12:24,760 Speaker 1: story of being on was it the Asian contagion and 1400 01:12:25,920 --> 01:12:29,160 Speaker 1: he's on the beach getting shell lacked the markets up 1401 01:12:29,960 --> 01:12:35,519 Speaker 1: that year, He's down fIF from the beach. His then wife, 1402 01:12:35,520 --> 01:12:38,719 Speaker 1: who he called the trading goddess, picked up the phone 1403 01:12:38,880 --> 01:12:42,639 Speaker 1: and literally said by del Baya, who by went down 1404 01:12:42,640 --> 01:12:46,280 Speaker 1: the whole list and basically in a bikini from the beach, 1405 01:12:46,360 --> 01:12:50,280 Speaker 1: saved their year. True, more or less, I wasn't there 1406 01:12:50,320 --> 01:12:54,519 Speaker 1: for that. It's definitely in one of his it was 1407 01:12:54,720 --> 01:12:57,040 Speaker 1: they were interesting times the turn of the century. They were. 1408 01:12:57,080 --> 01:12:59,760 Speaker 1: They were certainly interesting times, something I'll never forget. And I, 1409 01:13:00,000 --> 01:13:02,599 Speaker 1: you know, we didn't talk about in in two thousand, 1410 01:13:03,040 --> 01:13:05,800 Speaker 1: so I was lightly bearished. Then nobody knew who the 1411 01:13:05,800 --> 01:13:08,000 Speaker 1: hell I was. So no matter how barrassed I was, 1412 01:13:08,040 --> 01:13:11,360 Speaker 1: it wasn't relevant. You were full on bear come March 1413 01:13:11,439 --> 01:13:14,519 Speaker 1: two thousand, like you went full on. I said, we 1414 01:13:14,520 --> 01:13:16,400 Speaker 1: were going to the War of eighteen twelve, and we 1415 01:13:16,400 --> 01:13:19,800 Speaker 1: were at five thousand something at the time, So lucky 1416 01:13:19,840 --> 01:13:22,360 Speaker 1: and smart better lucky and that I had actual platform too, 1417 01:13:22,800 --> 01:13:24,880 Speaker 1: you know, otherwise it beressed if you're a barish in 1418 01:13:24,920 --> 01:13:26,400 Speaker 1: the woods and the market goes down to I was 1419 01:13:26,479 --> 01:13:28,599 Speaker 1: bearish in the woods in two thousand, no one newer 1420 01:13:28,680 --> 01:13:30,840 Speaker 1: care of who the hell I was. Um, what do 1421 01:13:30,840 --> 01:13:32,760 Speaker 1: you do for fun? What do you do to stay 1422 01:13:32,840 --> 01:13:36,919 Speaker 1: either mentally or physically fit outside of the trading room? 1423 01:13:37,000 --> 01:13:39,320 Speaker 1: You know, I got a peloton from my wife for 1424 01:13:39,400 --> 01:13:42,800 Speaker 1: the holidays and sec and I live on that thing 1425 01:13:42,840 --> 01:13:45,040 Speaker 1: as much as you can. Yeah, it's terrific. You know, 1426 01:13:45,080 --> 01:13:46,720 Speaker 1: I try. You know, it's tough. I get out. You know. 1427 01:13:46,720 --> 01:13:48,800 Speaker 1: We just took an office in Port Washington, which is 1428 01:13:48,840 --> 01:13:52,280 Speaker 1: a stone's throw from my uh from my house, and 1429 01:13:52,360 --> 01:13:54,080 Speaker 1: you know, I thought this would allow me to do 1430 01:13:54,200 --> 01:13:56,040 Speaker 1: some more in the morning. But now I just get 1431 01:13:56,080 --> 01:13:58,439 Speaker 1: to the office like at six o'clock, six thirty, and 1432 01:13:58,520 --> 01:13:59,800 Speaker 1: I just can't wait, you know, to be able to 1433 01:13:59,800 --> 01:14:01,439 Speaker 1: get up every day. And this is another one that 1434 01:14:01,479 --> 01:14:03,840 Speaker 1: I've always said in kind of lost its luster. You 1435 01:14:03,880 --> 01:14:05,800 Speaker 1: say it enough, but it's so true. You know, if 1436 01:14:05,840 --> 01:14:07,720 Speaker 1: you do what you love with people, your respect while 1437 01:14:07,720 --> 01:14:11,040 Speaker 1: serving the greater good, I mean, that's not work, that's 1438 01:14:11,120 --> 01:14:13,320 Speaker 1: professional nirvana. That's as good as it gets. If you 1439 01:14:13,360 --> 01:14:15,880 Speaker 1: can get up every day with purpose and and do 1440 01:14:15,960 --> 01:14:18,840 Speaker 1: something you love and actually have a knock on effect 1441 01:14:18,880 --> 01:14:22,200 Speaker 1: for society, or or at least believe you do. I 1442 01:14:22,240 --> 01:14:25,040 Speaker 1: think you're you're You're a blessed man. You're more or 1443 01:14:25,080 --> 01:14:28,680 Speaker 1: less just answered the question I'm about to ask. So 1444 01:14:28,720 --> 01:14:32,439 Speaker 1: if a millennial or recent college graduate came up and said, Hey, 1445 01:14:32,479 --> 01:14:35,479 Speaker 1: what what sort of career advice? UH, can you give me? 1446 01:14:35,640 --> 01:14:37,599 Speaker 1: What would you tell them? If they said I want 1447 01:14:37,600 --> 01:14:40,280 Speaker 1: to go into either trading or investment investing, what would 1448 01:14:40,320 --> 01:14:42,439 Speaker 1: you say to them? I would say, to prepare yourself 1449 01:14:42,479 --> 01:14:46,000 Speaker 1: for a very long, very long process. I mean, listen, 1450 01:14:46,040 --> 01:14:47,760 Speaker 1: the cream will always rise to the top, and they'll 1451 01:14:47,760 --> 01:14:51,120 Speaker 1: always be demand for the exceptional talent. But certainly the 1452 01:14:51,160 --> 01:14:53,719 Speaker 1: playing field has changed. Uh. And I'm not even talking 1453 01:14:53,760 --> 01:14:56,559 Speaker 1: about the seventy percent of trading that's done by computers now. 1454 01:14:56,600 --> 01:14:59,479 Speaker 1: I'm just talking about, you know, the efficiencies. I mean, listen, 1455 01:14:59,520 --> 01:15:01,759 Speaker 1: when I start to do do Morgan Stanley in the early nineties, 1456 01:15:02,120 --> 01:15:04,840 Speaker 1: the Dells, the Microsoft, the Intels of the world would 1457 01:15:04,840 --> 01:15:07,880 Speaker 1: all sell puts rather than buy backstock because they were 1458 01:15:07,920 --> 01:15:10,920 Speaker 1: capital gains instead of There are lots of reasons to 1459 01:15:11,000 --> 01:15:12,880 Speaker 1: do that. But my point is we would price that 1460 01:15:13,240 --> 01:15:15,960 Speaker 1: and we we would win, you know, by seventy vols 1461 01:15:15,960 --> 01:15:17,840 Speaker 1: because we were the only ones in the market. So 1462 01:15:17,880 --> 01:15:21,160 Speaker 1: we make seventy volves pricing this this paper. Uh, and 1463 01:15:21,240 --> 01:15:23,040 Speaker 1: in a couple of years we were winning business by 1464 01:15:23,080 --> 01:15:25,960 Speaker 1: maybe a quarter penny, right, So the inefficiencies were such. 1465 01:15:26,000 --> 01:15:29,400 Speaker 1: Those inefficiencies, in my opinion, now exist in the cannabis space. 1466 01:15:29,439 --> 01:15:32,840 Speaker 1: You have no institutional presence, you have no institutional analysts, 1467 01:15:33,040 --> 01:15:35,960 Speaker 1: and you have a lot of inefficiencies that because you 1468 01:15:36,040 --> 01:15:38,080 Speaker 1: have all retail holders in a lot of these names. 1469 01:15:38,280 --> 01:15:40,720 Speaker 1: They're very emotional, and you have these moves that are 1470 01:15:40,760 --> 01:15:43,120 Speaker 1: outsized relative to what they should be. So if you 1471 01:15:43,200 --> 01:15:45,880 Speaker 1: have the time horizon and the risk profile and the 1472 01:15:45,960 --> 01:15:48,320 Speaker 1: fortitude to kind of see through that, I think you 1473 01:15:48,360 --> 01:15:50,439 Speaker 1: can make a lot of money here. And our final question, 1474 01:15:50,680 --> 01:15:53,000 Speaker 1: what is it that you know about the world of 1475 01:15:53,040 --> 01:15:56,559 Speaker 1: investing in trading today that you wish you knew twenty 1476 01:15:56,680 --> 01:16:00,519 Speaker 1: or even thirty years ago. I think you would be 1477 01:16:00,560 --> 01:16:04,200 Speaker 1: just to hold onto your winners and let your winners run. Uh. 1478 01:16:04,240 --> 01:16:06,800 Speaker 1: You know, I think you have to. Somebody once said 1479 01:16:06,800 --> 01:16:09,479 Speaker 1: to me, don't be afraid of losing money or don't 1480 01:16:09,479 --> 01:16:12,040 Speaker 1: be afraid of making money. I should say right now, 1481 01:16:12,080 --> 01:16:17,280 Speaker 1: I've always heard, hey, bulls and bears get uh, bulls 1482 01:16:17,280 --> 01:16:20,320 Speaker 1: and bears make money, but pigs gets slaughtered, and I 1483 01:16:20,360 --> 01:16:23,320 Speaker 1: always thought it was terrible advice. So you're up hit 1484 01:16:23,360 --> 01:16:27,120 Speaker 1: that bid when especially in a world of Amazon and Apple. 1485 01:16:27,280 --> 01:16:30,040 Speaker 1: But there are different strategies you can trail your stops. 1486 01:16:30,200 --> 01:16:32,519 Speaker 1: There's a lot of different things that rather than just 1487 01:16:32,560 --> 01:16:34,559 Speaker 1: say okay, I'm up what you we might have a 1488 01:16:34,600 --> 01:16:36,840 Speaker 1: preconceived notion of how much we should make. Okay, I 1489 01:16:36,920 --> 01:16:39,439 Speaker 1: hit that and I will get out. If you do that, 1490 01:16:39,520 --> 01:16:42,080 Speaker 1: you can make money, but you're never gonna get wealthy, right, 1491 01:16:42,080 --> 01:16:44,120 Speaker 1: You're never gonna get like like I listen, I say 1492 01:16:44,120 --> 01:16:46,000 Speaker 1: to these guys all the time in the office. You know, 1493 01:16:46,040 --> 01:16:48,720 Speaker 1: we sell for dimes, we buy for dollars, right, so 1494 01:16:48,760 --> 01:16:50,200 Speaker 1: I will you know, listen to if I think a 1495 01:16:50,240 --> 01:16:52,320 Speaker 1: stock gets over at Skis, I own two fifty while 1496 01:16:52,320 --> 01:16:55,439 Speaker 1: I sell fifty because it's up in a matter of 1497 01:16:55,479 --> 01:16:58,040 Speaker 1: two weeks around. But I'm not going to sell the 1498 01:16:58,040 --> 01:17:01,519 Speaker 1: position because it reached some uh you know, some P 1499 01:17:01,680 --> 01:17:04,400 Speaker 1: and L that I deemed to be adequate. That way, 1500 01:17:04,439 --> 01:17:07,519 Speaker 1: I'm never gonna really to turn this from, you know, 1501 01:17:07,560 --> 01:17:10,559 Speaker 1: from a trading operation to an investment shop. We have 1502 01:17:10,840 --> 01:17:14,400 Speaker 1: been speaking with Todd Harrison. He is the chief investment 1503 01:17:14,439 --> 01:17:20,400 Speaker 1: officer and founding partner at CB one Capital Partners, a 1504 01:17:20,439 --> 01:17:25,679 Speaker 1: health and wellness medical cannabinoid hedge funds. If you enjoy 1505 01:17:25,760 --> 01:17:27,920 Speaker 1: this conversation, be sure and look up an Inch or 1506 01:17:28,000 --> 01:17:32,400 Speaker 1: down an Inch on Apple iTunes or Bloomberg dot Com 1507 01:17:32,439 --> 01:17:35,599 Speaker 1: overcast wherever fun or podcasts are sold, and you can 1508 01:17:35,680 --> 01:17:39,760 Speaker 1: see any of the other two hundred plus such recordings 1509 01:17:39,800 --> 01:17:43,479 Speaker 1: we have made over the past four years. We love 1510 01:17:43,560 --> 01:17:48,360 Speaker 1: your comments, feedback and suggestions right to us at m 1511 01:17:48,400 --> 01:17:52,040 Speaker 1: IB podcast at Bloomberg dot Net. I would be remiss 1512 01:17:52,120 --> 01:17:54,400 Speaker 1: if I did not thank my crack staff who helps 1513 01:17:54,439 --> 01:17:59,559 Speaker 1: put together all of our weed related podcasts. Uh. Taylor 1514 01:17:59,600 --> 01:18:04,160 Speaker 1: Riggs our booker slash producer. Medina Patwana is our audio engineer. Producer. 1515 01:18:04,560 --> 01:18:08,519 Speaker 1: Michael Batnick is our head of research. I'm Barry Ritults. 1516 01:18:08,720 --> 01:18:12,120 Speaker 1: You've been listening to a Masters in Business on Bloomberg 1517 01:18:12,200 --> 01:18:12,519 Speaker 1: Radio