The state of the cannabis sector made itself known yesterday, with Amplify ETF’s announcing that it would be shutting down one of its funds that is focused on the sector. Amplify’s US Alternative Harvest ETF (NYSE: MJUS) is set to be liquidated.
The liquidation is scheduled to occur later this month, with creation orders no longer to be accepted after the close of business on January 20. The ETF as a whole will cease to trade after the close of markets on January 27, at which point the fund will be liquidated and a final distribution made to shareholders.
That distribution is scheduled for January 30.
At the time of announcements, the ETF boasted net assets of just $65.85 million, which is spread across a total of 19 holdings within the fund. The largest position is Green Thumb Industries (CSE: GTII), which accounts for 18.8% of the funds holdings, with market value sitting at roughly $13.3 million.
The second and third largest positions are Curaleaf Holdings (TSX: CURA) and Trulieve Cannabis (CSE: TRUL), which made up 13.6% and 11.0% of the fund, respectively, with positions worth $9.4 million and $7.6 million.
In terms of performance, the fund has seen its net asset value decline a cumulative 91% since its inception in May of 2021, with the fund in 2024 experiencing a decline of 46%.
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