First marijuana investment fund launched in Brazil
Management company created by son of Jorge Paulo Lemann and experienced market executives launches in Brazil the opportunity to invest in a fund composed of shares of foreign companies in the cannabis industry. The minimum investment is R$ 5,000.
Vitreo management company introduces to the market the 'Vitreo Cannabidiol FIA IE', the first thematic fund with shares and ETF units of companies in the cannabis market in the United States and Canada. The minimum investment amount is R$ 5,000 and the management fee is 1.5%.
However, due to regulatory reasons, this line is for so-called qualified investors - those who have at least R$ 1 million in financial investments. There is still no forecast of profitability and the recommendation is for the invested amount to remain in the fund for at least 3 years.
The composition consists of two-thirds of ETFs - exchange-traded funds that invest in global cannabis industry stocks traded on foreign stock exchanges and the remainder in shares of five to six companies in the sector.
Patrick O’Grady, CEO of Vitreo, told Valor Investe that 'being a unique and differentiated product, it is difficult to determine the target volume of capital raising'.
Vitreo is a digital management company created by Paulo Lemann (founder of Pollux Capital and son of Jorge Paulo Lemann), Patrick O’Grady (who was a partner at Pactual and XP Investimentos), Alexandre Aoude (former president of Deutsche Bank in Brazil) among others. It manages R$2.5 billion in assets in its first year of operation.