(Credit: PAUL BUCK/AFP/Getty Images)
“Texas could be a marijuana leader, in the next few years, actually.”
That’s the prediction of Alan Brochstein, founder of 420 Investors, and one of the participants at this week’s inaugural Marijuana Investment Conference in Houston. It’s a bold prognostication from a guy who less than two years ago, hardly comprehended the breadth and depth of the industry.
“About a year and ten-months ago, I didn’t know what ‘420′ was,” he confides in an anteroom at the Conferece. “I do now–‘420′ means ‘marijuana-friendly,’ and I stumbled upon the whole notion of publicly-traded marijuana stock,” he says. “I didn’t know they existed.”
Alan Brochstein, 420 Investments Photo Credit: Alan Brochstein
Brochstein is no newbie in this arena. “I’ve been in investments since I graduated from college, since 1986, and I had been in stocks professionally, since 2000,” he says. In early 2013 his first exposure to marijuana stocks revealed a shocking scenario. “I learned in early 2013 that these companies even existed. “I was horrified. I said, ‘wow! people are crazy–they’re paying high prices for terrible companies,’ and I was probably one of the first people to ever take a very serious look at the companies in the space,” he recalls.
Throughout 2013, he became fascinated by the whole subject. And yes, personal politics did enter the equation. “I’m a lifelong Libertarian, so to me, it was like, ‘Legalize it.’” he says. “I don’t know why not. Period. End of story.”
What he learned in 2013 was all of the medicinal aspects, which really resonated with Brochstein. “I was learning about all these different conditions that Marijuana may be able to treat, and at the same time, because of the scheduling–which is just crazy to me, that our government, for whatever reason, thinks cocaine is safer than Marijuana,” he says. …read more