Cannabis
Milo / 07.10.2020
"as discussed yesterday legislation regulating the use, trading and investment in cannabis has not passed yet in Luxembourg, hence the opinion of our legal advisor, who had also looked at it in the past for other projects, is that a securitisation vehicle investing in a fund that ultimately invests in cannabis could be considered to be breaching the law.
Apart from these considerations, Luxembourg paying agents would not touch the product and, despite our Swiss paying agent ISP would in principle have no issues with the product, they advised that Clearstream would not onboard any product on cannabis. A tracker on such funds would be deemed as indirect distribution indeed of the fund in question.
I will need to brainstorm with Roberto if there are any other possible solutions we can think of."