Cannabis ETF Comparison

Compare 8 cannabis exchange-traded funds side by side

Cannabis exchange-traded funds (ETFs) offer investors exposure to the legal marijuana industry without the concentration risk of holding individual stocks. Instead of selecting a single multi-state operator or licensed producer, an ETF bundles dozens of cannabis-related equities into one tradeable security. The most widely followed funds include MSOS (AdvisorShares Pure US Cannabis ETF), which focuses exclusively on American operators, MJ (ETFMG Alternative Harvest ETF), one of the earliest cannabis ETFs with broad international holdings, YOLO (AdvisorShares Pure Cannabis ETF), and CNBS (Amplify Seymour Cannabis ETF).

The primary advantage of cannabis ETFs is diversification. Because the sector is still maturing and individual companies face risks ranging from regulatory setbacks to cash burn, spreading capital across many names can reduce portfolio volatility. ETFs also provide liquidity and transparency, with holdings disclosed daily and shares trading on major U.S. exchanges throughout the session.

On the other hand, ETFs carry management fees expressed as an expense ratio, which erodes returns over time. Cannabis ETFs in particular can suffer from tracking error due to the illiquidity of some underlying holdings. Investors should compare expense ratios, assets under management, geographic focus, and sector weightings when choosing between funds. The table below provides a side-by-side comparison of price, daily performance, and market capitalization for each cannabis ETF in our database.

NameTickerPrice24H %
AdvisorShares Pure US Cannabis ETFMSOS$3.82▲+1.33%
ETFMG Alternative Harvest ETFMJ$24.79▲+0.74%
Amplify Seymour Cannabis ETFCNBS$23.50▲+1.95%
Cannabis ETFTHCX$16.60▼-0.26%
AdvisorShares Pure Cannabis ETFYOLO$2.83▼-4.88%
Global X Marijuana Life Sciences ETFHMLSF$5.21▲+0.00%
Cambria Cannabis ETFTOKE$5.42▲+0.00%
Roundhill Cannabis ETFWEED$16.36▲+0.15%

Note: Holdings count, expense ratios, and top holdings data will be available once connected to a live data provider. Currently showing price and market cap from mock data.

ETF Holdings Overlap

Holdings comparison table will display shared holdings, weighting differences, and overlap percentages when live data is connected.

Frequently Asked Questions

What is a cannabis ETF?+
A cannabis ETF (exchange-traded fund) is a publicly traded fund that holds a basket of cannabis-related stocks, allowing investors to gain diversified exposure to the cannabis industry through a single ticker. Cannabis ETFs may hold multi-state operators (MSOs), licensed producers (LPs), ancillary companies, and other businesses in the cannabis supply chain. They trade on stock exchanges just like individual stocks and can be bought and sold throughout the trading day.
What are the largest cannabis ETFs?+
The largest cannabis ETFs by assets under management include MSOS (AdvisorShares Pure US Cannabis ETF), which focuses exclusively on US multi-state operators, and MJ (ETFMG Alternative Harvest ETF), which has broader global cannabis exposure including Canadian licensed producers. Other notable cannabis ETFs include YOLO (AdvisorShares Pure Cannabis ETF) and CNBS (Amplify Seymour Cannabis ETF). MSOS is the most popular for US-focused cannabis exposure, while MJ offers more international diversification.
What is the difference between MSOS and MJ?+
MSOS (AdvisorShares Pure US Cannabis ETF) focuses exclusively on US cannabis companies, primarily multi-state operators. Because US cannabis companies cannot list directly on major exchanges, MSOS uses swap agreements to gain exposure to OTC-traded MSOs. MJ (ETFMG Alternative Harvest ETF) has broader international exposure and holds Canadian licensed producers, US companies, and ancillary businesses. MSOS is the better choice for US cannabis exposure, while MJ provides more diversified global cannabis exposure.
Are cannabis ETFs a good investment?+
Cannabis ETFs offer diversification benefits by spreading risk across multiple companies, reducing the impact of any single stock's poor performance. They are suitable for investors who want cannabis sector exposure without researching individual companies. However, cannabis ETFs have generally experienced significant declines since their peaks in 2021 due to delayed federal legalization, oversupply, and industry challenges. Like all investments, they carry risk and past performance does not guarantee future results. Consider your risk tolerance and investment timeline before investing.
What are the fees for cannabis ETFs?+
Cannabis ETFs typically have higher expense ratios than broad market ETFs due to the niche nature of the sector and, in the case of US-focused ETFs like MSOS, the complexity of using swap agreements. Expense ratios for cannabis ETFs generally range from 0.70% to 0.95% annually. By comparison, broad market index ETFs like SPY charge around 0.09%. These fees are deducted from the fund's assets and reduce overall returns. Always check the current expense ratio before investing.
How do cannabis ETFs compare to buying individual cannabis stocks?+
Cannabis ETFs provide instant diversification across multiple companies, lower individual stock risk, and professional management. Individual stocks offer the potential for higher returns if you pick winners, no management fees, and the ability to concentrate on your highest-conviction ideas. ETFs are generally better for investors who want broad cannabis exposure without deep research, while individual stocks suit investors who have done thorough analysis and want targeted exposure to specific companies. Many investors use a combination of both approaches.
Can I hold cannabis ETFs in a retirement account?+
Yes, cannabis ETFs like MSOS, MJ, YOLO, and CNBS can be held in most retirement accounts including IRAs, Roth IRAs, and 401(k) plans, provided your brokerage offers access to these ETFs. Since ETFs trade on regulated exchanges, they are treated like any other stock or ETF for retirement account purposes. However, be aware that cannabis remains a volatile sector, so consider the appropriateness of cannabis ETFs within your overall retirement portfolio allocation and risk tolerance.