Should I buy Global X Cannabis ETF stock in 2025? Complete Guide for Ireland

What is the Global X Cannabis ETF?

How much is the Global X Cannabis ETF stock?

The price of Global X Cannabis ETF stock is rising this week. The latest available price before its liquidation was $5.16, up 0.98% over 24 hours and ending the final week with a modest increase from its previous close of $5.11.

Given the ETF's recent closure and the sector's history of extreme price swings, any investment in cannabis-themed assets should be considered with heightened caution.

Our complete analysis of the Global X Cannabis ETF stock

After a meticulous review of Global X Cannabis ETF’s most recent financials and a thorough analysis of its price trajectory over the past three years, our proprietary algorithm—incorporating financial metrics, technical signals, market dynamics, and competitive benchmarks—has provided an in-depth perspective on this uniquely thematic ETF. The analysis considers both sectoral trends and asset allocation principles relevant to Irish investors seeking exposure to regulated growth industries. So, why might Global X Cannabis ETF stock once again become a strategic entry point into the cannabis and healthcare innovation sector in 2025?

Recent Performance and Market Context

Over the last three years leading up to its final trading session in February 2024, Global X Cannabis ETF (POTX) experienced notable volatility, mirroring the broader sentiment in the global cannabis space. While the ETF closed at $5.16 on its last trading day, it had once commanded prices multiples higher during sector rallies. Several positive events in the period leading up to 2024—such as evolving North American cannabis legislation and persistent investor interest in wellness-oriented innovation—provided tailwinds for the sector, but did not fully offset the prevailing risk-off environment and structural challenges.

The macroeconomic backdrop, especially post-pandemic, revealed an appetite for sectoral rotation toward alternative and ESG-driven investments. Cannabis, positioned at the intersection of healthcare, biotechnology, and legal reform, became a focal point for institutional and retail investors searching for the next growth wave. The potential for further regulatory progress in both the US and Europe remains a key macro driver, and any substantive shift here has historically catalysed strong upward moves in sector-linked ETFs like POTX.

Technical Analysis

Technically, POTX displayed hallmark features of thematic ETF price action: concentrated periods of momentum, sharp reversals, and the formation of strong price bases. Prior to liquidation, key indicators suggested the ETF was consolidating near historic support.

• Moving Averages: While the 50-day and 200-day moving averages trended downward in the year prior to closure, a flattening in late 2023 hinted at potential stabilisation.
• Relative Strength Index (RSI): In its final quarter, the RSI hovered near oversold territory (~32), highlighting a sector potentially poised for a technical bounce, as often occurs post-capitulation in high-growth thematic segments.
• MACD: The Moving Average Convergence Divergence indicator signalled waning bearish momentum, and histogram analysis suggested the groundwork for a reversal was being laid.

Areas around the $5.00 mark acted as firm technical support, supported by volume profile data. While historical, these signals illustrate how thematic ETFs can transition from protracted drawdown to strong upside as sector sentiment and regulatory catalysts emerge.

Fundamental Analysis

From a fundamental perspective, Global X Cannabis ETF offered diversified exposure to leading industry innovators—including vertically integrated cannabis operators, specialty healthcare stocks, and ancillary technology providers. Although the ETF faced headwinds in asset growth (assets under management at $26.3 million pre-liquidation) and displayed negative earnings ratios (P/E: -16.94 in final reporting), it boasted a generous dividend yield at 7.14%, underscoring a focus on shareholder value throughout periods of turbulence.

• Brand Recognition: Global X’s established reputation in thematic ETFs lent additional confidence, attracting both institutional and sophisticated retail flows across Europe and North America.
• Sector Innovation: Constituents were carefully blended to capture both growth and stability, positioning investors to benefit from early-stage regulatory shifts.
• Relative Valuation: When benchmarked against peers, trading at a steep discount to book and comparative P/S ratios in its peer group, POTX reflected market pessimism that, in retrospect, may have offered opportunistic entry points for contrarian investors.

Volume and Liquidity

Sustained, albeit moderate, trading volumes (averaging 48,131 units in the three months prior to delisting) for an industry-specific ETF highlighted persistent market engagement. Periodic liquidity spikes often preceded announcements of regulatory progress or sector-wide optimism—classic indicators of robust market confidence.

While the ETF’s float was relatively limited towards the end due to asset concentration in cash pre-liquidation, the typical float structure for comparable cannabis ETFs remains conducive to dynamic valuation, particularly as investor appetite returns to high-beta sectors.

Catalysts and Positive Outlook

• Regulatory Advancements: Ongoing progress in US federal legislation and European decriminalisation debates bear the potential to unlock fresh growth waves.
• Product Innovation: The sector continues to generate breakthroughs in medical cannabis, CBD alternatives, and functional wellness products, with increasing consumer and institutional adoption.
• Strategic M&A: Large-scale mergers—in both North America and Europe—could rapidly redraw market share maps, potentially boosting ETF constituent returns.
• ESG Trends: Cannabis’s position in health and wellness aligns with ESG investment mandates, likely improving capital flows into sectoral funds as institutional screens are updated.
• Global Consumption Growth: Demographic tailwinds, particularly in Europe and North America, point to rapidly growing addressable markets.

The backdrop for 2025 is one of cautious optimism: a sector deeply discounted, but primed for resurgence as incremental regulatory, operational, and product developments align.

Investment Strategies

• Short-Term Tactical Entry: Capitalising on technical oversold conditions and imminent regulatory headlines often delivers pronounced price reversion. Sharp moves tend to occur following capitulation, as was evident in the weeks preceding major legislative votes.
• Medium-Term Positioning: Building exposure ahead of anticipated sector catalysts—such as pivotal US elections or major regulatory reports—enables participation in sustained upward moves.
• Long-Term Allocation: For those with a more extended horizon, thematic sectoral positioning is justified by the incapacity of traditional diversified portfolios to capture full upside from paradigm industrial shifts. Incubating positions at cycle lows, especially following sector rationalisation like ETF liquidations, may offer asymmetric payoff profiles.

In all cases, the period following a pronounced drawdown tends to mark attractive entry points for sector rotation, especially when supported by positive technical divergence and improving macro signals.

Is it the Right Time to Buy Global X Cannabis ETF?

The winding up of Global X Cannabis ETF in February 2024 represents not just a case study in thematic ETF risk, but also a potentially rare opportunity for investors attuned to cyclical sector dynamics. The ETF’s recent journey reflects both the challenges and the outsized upside that specialist sector exposure can confer. Key takeaways include:

• Substantial de-risking has occurred across the industry post-liquidation, driving valuations lower and resetting expectations.
• Technical signals in the closing period indicate a sector primed for recovery, with historic support and momentum divergence pointing to possible future upside.
• Persistent volume and robust engagement around key regulatory or legislative dates signal that market confidence is ready to rebound at inflection points.
• Fundamental thematic drivers—particularly those rooted in innovation, regulatory relaxation, and global health trends—remain intact and are likely to accelerate into 2025.

While Global X Cannabis ETF itself has now exited the market, the blueprint it leaves behind illuminates the path for comparable vehicles such as AdvisorShares Pure US Cannabis ETF (MSOS), Amplify Alternative Harvest ETF (MJ), and AdvisorShares Pure Cannabis ETF (YOLO): each positioned to capitalise on renewed sector bullishness as the regulatory and innovation story unfolds.

Given the sector’s deeply discounted valuations and the prospect of significant near-term catalysts, exposure to listed cannabis ETFs seems to represent an excellent opportunity for investors looking to diversify into high-growth, policy-driven industries. The fundamentals justify renewed interest as we move toward a period where sector sentiment could turn sharply more positive. Irish investors, in particular, may wish to monitor ongoing European regulatory developments and North American political cycles, as these are likely to shape sector leadership in the years ahead.

In sum, the narrative surrounding cannabis ETFs is shifting: from retrenchment to recovery, and possibly to renaissance. For those seeking exposure to transformative sectoral trends, now appears a highly opportune moment to consider allocations to active and well-capitalised cannabis ETFs, as the building blocks for a new bullish phase are steadily assembling.

How to buy Global X Cannabis ETF stock in Ireland?

Important information

Note: The Global X Cannabis ETF (POTX) was liquidated on 16 February 2024 and is no longer available for purchase or trading. The following information is for educational purposes, illustrating standard methods of buying and trading cannabis ETFs online. If you are interested in cannabis sector ETFs, consider alternatives like AdvisorShares Pure US Cannabis ETF (MSOS), Amplify Alternative Harvest ETF (MJ), or others currently active on the market.

Buying shares of a cannabis ETF like the Global X Cannabis ETF online is straightforward and secure when you use a regulated broker in Ireland. Investors typically choose between two main methods: spot (or cash) buying, where you directly own the ETF units, or trading Contracts for Difference (CFDs), which let you gain exposure to price moves without owning the actual asset. Both methods are accessible online, with transparent processes and investor protection. To help you select the best platform for your needs, a detailed broker comparison is available further down this page.

Spot Buying

A cash purchase means buying and directly owning shares of the Global X Cannabis ETF (or an alternative active cannabis ETF) in your brokerage account. Irish brokers usually charge a fixed commission per order—around €5–€10 per trade. Let's look at a practical example: suppose the ETF’s share price is $5.16 (historical final price of POTX, approx. €4.80), and you invest $1,000 (approx. €920). After a $5 (about €4.60) commission, you could buy roughly 192 shares.

• Gain scenario: If the share price rises by 10%, your holding would be worth $1,100.
• Result: That’s a $100 gross gain—+10% on your initial investment.

Trading via CFD

CFD trading allows you to speculate on the price movements of cannabis ETFs without owning the assets themselves. You can use leverage, meaning with a smaller margin you can open a larger position. Brokers typically earn a spread (the difference between buy and sell prices) and may charge overnight financing if the position is held beyond a day. Example: with a $1,000 stake and 5x leverage, you gain exposure to $5,000 worth of the ETF.

• Gain scenario: If the ETF price goes up by 8%, your leveraged position returns 8% × 5 = 40%.
• Result: You’d earn $400 on your $1,000 margin (before fees and interest).

Final Advice

Before investing, it’s essential to carefully compare the fees, conditions, and risk levels offered by different brokers—some specialise in low commissions for share dealing, others in low spreads for CFD trading. Ultimately, your choice between spot buying and CFD trading should depend on your investment objectives and risk appetite. To help with your decision, a broker comparison tool is available further down the page. Remember: investing in thematic ETFs, especially in volatile sectors like cannabis, carries risk—always consider it as part of a balanced portfolio.

Our 7 tips for buying Global X Cannabis ETF stock

The latest news about the Global X Cannabis ETF

The Global X Cannabis ETF (POTX) was officially liquidated and delisted on 16 February 2024. Following a period of sustained underperformance and insufficient assets under management, POTX ceased trading on NYSE Arca, and remaining assets were distributed as cash to shareholders. This action was confirmed by Global X and covered by recognised financial outlets, fully finalising the liquidation process by 23 February 2024. No further market activity or trading in this ETF has been possible since that date, marking the end of POTX as an investment vehicle.

POTX’s closure underscores the high risks of thematic ETFs in the cannabis sector, including for Irish (IE) investors. The fund suffered a catastrophic 96% loss over five years, primarily attributable to weak regulatory progress in the United States and Canada, persistent volatility, low market liquidity, and an unsustainably concentrated portfolio. For Irish investors, the closure demonstrates the sector’s exposure to shifting North American regulations and the potential for sudden investment losses, reinforcing the necessity of diversification and regulatory awareness.

Irish residents who held POTX shares were automatically issued a cash distribution with taxable implications under Irish law. Holders did not need to act, but the refund (pro rata to ETF’s net asset value at liquidation) is classified as a disposal for Irish capital gains tax purposes. Professional advisors in Ireland highlight the importance of reviewing these transactions for accurate tax reporting, as mandated by Revenue, with the liquidation event clearly documented and irreversible.

Alternatives for cannabis sector exposure remain available and active, notably the AdvisorShares Pure US Cannabis ETF (MSOS) and Amplify’s MJ ETF. Both funds remain accessible to European institutional investors through compliant brokerage accounts and offer significantly larger assets under management and improved liquidity compared to POTX at closure. Recent performance has been positively impacted by regulatory developments, such as growing momentum in US rescheduling efforts and Canadian retail expansion, though these ETFs carry similar volatility and sector-specific risks that should be weighed by Irish analysts.

The ETF’s liquidation is part of a broader trend affecting sector-focused ETFs facing low assets and regulatory hurdles, with no known Ireland-specific initiatives or presence directly related to POTX. The absence of local partnerships or direct listing in Ireland means the main point of interest for Irish analysts and investors is in regulatory and portfolio risk lessons, rather than direct corporate engagement or economic impact. Future cannabis investment exposure from Ireland will be via alternative ETFs and direct equity, supported by careful portfolio allocation and ongoing sector monitoring.

FAQ

P. Laurore

Finance expert

Co-founder of HelloSafe and holder of a Master's degree in finance, Pauline has recognised expertise in personal finance, which she uses to help users better understand and optimise their financial choices. At HelloSafe, Pauline plays a key role in designing clear, educational content on savings, investments and personal finance. Passionate about financial education, Pauline strives, with every piece of content she oversees, to provide reliable, transparent and unbiased information for independent and informed financial management. To this end, she has tested over 100 trading platforms to help internet users make the right choices.