Cannabis CFD trading
The cannabis industry presents a wealth of share trading opportunities, its growth driven by legalisation that continues to spread across the US and Canada – and spurred on by ever-increasing support from the public. Discover how to trade cannabis with Australia's No.1 CFD provider.1
Why do people trade cannabis?
As more states and countries legalise cannabis – fuelled by greater acceptance from the public – there’s reason to believe that the cannabis industry’s prospects for continued growth look good.
In fact, research suggests that the US legal cannabis industry could be worth as much as $75 billion by 2030.2 With forecasts like these, it’s no wonder that savvy traders have been flocking to the market, eager to capitalise on the latest cannabis industry.
Get direct exposure to the top marijuana stocks with our Cannabis Index
You can trade the most popular marijuana stocks all in one place – including Canopy Growth and the 29 other biggest marijuana companies in the world – with our exclusive Cannabis Index. This way, you can get exposure directly to the cannabis industry and its star players.
When trading our Cannabis Index, you are trading CFDs. CFDs are derivatives, which means you can:
Go long or short
Because you don’t own the underlying asset, you can speculate on market movement, whether cannabis industry prices are rising or falling. Note that there is risk in both, but going short means your potential for loss (if predicting incorrectly) is theoretically unlimited.
Trade with leverage
Deposit a fraction of your trade’s full value to open, with your profit or loss based on that full value. Just remember that leverage can be risky and any potential profits and losses will be magnified, which means losses can easily outweigh your deposit amount.
Trade on major stock indices
Trade with low margins and more 24-hour markets than any other provider.
Why trade cannabis CFDs with IG?
Trade on easy-to-use platforms and apps, at your desk or on the move.
Mitigate against risk with our extensive range of stop and limit orders.
Get friendly, expert support 24 hours a day, from 2pm Saturday to 8am Saturday (AEDT).
Become a better trader whatever your skill level, with our online courses and webinars.
Choose a FTSE 250-listed3, established provider, and benefit from 45 years’ trading expertise.
Open an account quickly and easily – you can usually start trading on the same day you apply.
How can I trade cannabis CFDs with IG?
You can trade on cannabis by trading CFDs on two different types of markets - each with their own benefits.
Cannabis shares CFDs
Speculate on the movement of individual stocks across the marijuana industry, from growers to the firms bringing cannabis to market.
Cannabis ETF CFDs
Go long or short on a basket of cannabis stocks, designed to track industry trends and broaden exposure for investors.
Cannabis CFD margins
Cannabis CFD spreads
CFD trading is a form of leveraged trading, meaning you can win, or lose, a significant amount more than you pay up front.
Your key payment for trading cannabis is the spread, essentially our commission for executing your trade. We work to keep our spreads among the lowest in the business.
|Market||Retail margin||Pro Level 1 margin||Pro Level 2 margin|
|Shares and ETFs||20%||10%||4%|
|Market||Minimum spread||Minimum commission (share and ETF CFDs)|
Explore cannabis industry with an IG account in minutes
Opening an account with us is quick and easy. Just follow these three steps.
Fill in our simple online form
We’ll ask a few questions about your trading experience.
Get swift verification
We can usually verify your ID in just a few seconds.
Fund your account and trade
Or practise on a demo if you’d prefer.
What moves cannabis markets?
Changes in the law
Cannabis is currently legal, in some capacity, in 43 US states and Canada – which accounts for most of the industry’s business. Further legalisation will be positive for share prices, where a return to illegality would deal a blow.
Supply and demand
With the industry in relative infancy, cannabis suppliers are expanding rapidly to meet investor expectations and public demand. However, that can’t last forever, and a supply glut – where supply outstrips demand – could see share prices falling.
As with any stock, the speculators that drive price movement will look to company news – changes in executives, earnings reports – to decide what’s positive or negative for cannabis industry.
Get the latest cannabis news
What are cannabis shares CFDs?
Cannabis shares CFDs differs from investment, which means the outright purchase and sale of cannabis stocks or ETFs. When trading on cannabis shares CFDs, you are speculating on price movement and never own any assets. You can also use trading products like CFDs to profit whether markets are rising or falling, whereas direct investment in the physical stocks only allows profit if an asset increases in value.
What are the constituents of the cannabis index IG offers?
|Curaleaf Hldgs Subordinate Voting||CAD|
|Grn.Thumb Inds. Subd. Vtg.||CAD|
|Tilray Brands Inc||USD|
|Trulieve Cannabis Corp||CAD|
|Sundial Growers Inc||USD|
|AYR WELLNESS INC||CAD|
|Planet 13 Holdings Inc||CAD|
|WM Technology Inc||USD|
|AFC Gamma Inc||USD|
|High Tide Inc||CAD|
|Valens Co Inc||CAD|
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Discover the cannabis industry that are getting traders talking.
1 Number 1 in Australia by primary relationships, CFDs & FX, Investment Trends November 2021 Leveraged Trading Report
2 Cowen & Co, 2018.
3 IG is part of IG Group Holdings Plc, a member of the FTSE 250.
4 The index is calculated and managed by BITA GmbH and is subject to change.