There is a great parable which comes to mind during this time. It reads, “The rain came down, the floods came, and the winds blew, and beat on that house; and it didn’t fall, for it was founded on the rock. Everyone who hears these words, and doesn’t do them, will realize what it means to have built a house on the sand. And the rain fell, and the floods came, and the winds blew and beat against that house, and it fell, and great was the fall of it”.
Now is the time to refocus and make a positive shift. A shift to that which is most important or essential to human life. Take the time to repair, rebuild, or simply make improvements to the foundation of your life so that you are stronger than you were before. A better version of yourself.
While we need to remain sensitive to the world’s current situation, we all should understand that tough times generally present the greatest opportunity for leadership and change. As one of the industry-leading investment firms, we at Arcadian believe it is critically important to highlight an area of business that is in the middle of a change, which has been a long time coming. The Coronavirus has no borders, nor does it see race, gender, or occupation. Plants exist in a similar capacity. The natural world views all humans as equals, even though humanity has not reciprocated in the same way. Perhaps with the emergence of the cannabis and hemp industries over the last decade, we may finally understand just how essential coexisting with nature truly is.
As the nation and our world grapple with this new reality, we are learning what it means for an element of our lives to be either a necessity or a luxury. Because the plant has properties used to treat so many health conditions, the cannabis industry has been deemed an “essential service” during this health crisis. Similar to a pharmacy or a grocery store. As such, people can receive their medicine and the supply chain will remain intact. Is cannabis recession-proof? We are finding out that most businesses are experiencing 125-200% sequentially over the last few weeks. BDS Analytics, a partner in our portfolio of companies that we are extremely fortunate to work with, noted on a conference call last week that the average basket purchased by a consumer is up over 25% from its previous 75-day average”. Sales volumes for cannabis retailers have increased significantly. Will that continue? The industry believes that strong sales will continue throughout the crisis because of how important these products are to the wellbeing of millions of people.
Let’s imagine what the conversation will be like post-Coronavirus. How can policy makers and leaders throughout our country not allow for an industry to be available to the public and legitimized at a federal level, when it is determined to be essential to life during a crisis such as this? Think about these two thoughts. The government will have a need to make up for its unexpected, significant loss of tax revenues. Major resource allocators will have a need to generate returns from alternatives while traditional asset classes are less stable than previously predicted. So many great American and world-renowned businesses are experiencing mandatory shutdowns, yet this medicine will continue to find its way into human daily life.
Cannabis is an industry that has consistently achieved a compounding annual growth rate (CAGR) of ~30%, resulting in $16+ billion of revenue in 2019. Almost none of which was generated at a location where one can buy and consume publicly. The products are meant to be consumed in small gatherings or privately, as this is the way in which the rules are currently written. Will that change? It is inevitable. Challenge yourself to ask people in your life about cannabinoid-based products and what are their reasons for use. Someone’s grandmother using CBD topicals for pain, an uncle who has trouble sleeping and needs to take nighttime tinctures, a young child with epilepsy, a friend overcoming social disorders, or a father simply using flower to relax instead of alcohol. You may be surprised at the number of everyday people safely using plant medicine to increase the overall quality of their lives.
We need to look at how we deal with life mentally during times of high stress. These are issues that even in today’s world we have not quite figured out, as human psychology is extremely complex. Let’s think back to all the things we have read or watched which detail life during a total world crisis. How often do you remember alcohol and tobacco playing a role? Of course, we see this in every World War documentary or Hollywood movie depicting what life was like during those times. We would argue those products did nothing to help people physically or emotionally. In fact, short-term-satisfaction consumer habits probably made it that much harder for people to get back into a high-quality lifestyle after a crisis has ended. What if in this crisis, we can consume products to help us stay present, connected, and mindful? Whether it be for sleep, anxiety, pain, epilepsy, cancer, depression, or countless other “every day” human issues we deal with, there is a cannabinoid-based product out there for you. Might we be encouraged to look closer at this natural wonder which has been in use for tens of thousands of years all around the world?
Be open to trying something different during your reassessment of what is important. Re-evaluate how you are nourishing your mind and body during life’s journey. Let’s protect each other and encourage a healthier lifestyle before we emerge from the other side of this pandemic. As Henry Ford once said, “Failure is simply the opportunity to begin again, only this time more intelligently”.
Balance is something many of us talk about, but is it truly, holistically achieved? Sure, we want balance in our schedules, our relationships, our habits, but what about internal balance? The molecular homeostasis that our bodies are constantly trying to achieve every minute of our lives is oftentimes overlooked. This pandemic is a rare chance to reset yourself, your life and your priorities. If cannabis and hemp related products are making countless lives better, why shouldn’t we fight to ensure that as many people as possible can choose a higher quality alternative to what life has offered before?
We are all connected in this, a global effort. For once we all have a common enemy. Now is the time for us to take care of our home. The earth is everyone’s home equally, a home that has been sick for all too long. Now is our chance to reconnect and ensure that the global home, as well as our individual homes, are built with a solid foundation, on rock. Crisis in life is inevitable, let’s make sure we are prepared. Choose to be stronger together, protect one another. Let’s leave behind the persecution of nature and emerge with a new perspective. Mindful…
^ essential to human life (hightimes.com)
^ Sales volumes for cannabis retailers have increased significantly. (hightimes.com)
^ www.ArcadianFund.com (www.arcadianfund.com)
Read more https://hightimes.com/news/world/reassessing-essential-cannabis-time-pandemic/