Bank of NY Mellon will act as custodian bank to a new cannabis-focused exchange-traded fund (ETF), the first time a New York Stock Exchange marijuana-related fund has seen backing by a major bank.
The AdvisorShares Pure Cannabis ETF, which will trade under the ticker symbol YOLO, will have 80% of its assets in companies that derive a minimum 50% of revenue from cannabis operations, according to ETF.com.
Sectors include biotech, retail and agriculture.
At least 25% of the fund will be invested in pharmaceutical and biotech companies that work in the CBD and other cannabis sectors while there also will be stocks involved in non-plant-touching segments such as real estate.
For more details on the AdvisorShares Pure Cannabis ETF, click here.