Review

President Biden signed the CBD research bill into law.

I distributed this written material to 420 Investor subscribers during the week:

• 420 Investor Weekly Review 11/25/22

• 420 Investor Model Portfolio Composition 11/25/22

• Cannabis Sub-Sector Review - 11/25/22

• Preview of Organigram Q4 Financials

• Get Ready for a Rebound

• 420 Investor Newsletter - Volume 9, Edition 12

Here are some of this week's highlights for Focus List names:

• AYRWF began adult-use sales in its Somerville, Massachusetts store. All three of its New Jersey stores have been rebranded as Ayr.
• CEAD unit Surna won another contract for HVACD equipment in Massachusetts for $1.7 million.
• GNLN announced a strategic partnership in Canada with a division of House of Horvath.
• OGI beat expectations as it posted Q4 revenue of C$45.5 million and adjusted EBITDA of C$3.2 million.
• SBIG announced a cost reduction plan that will include a 23% reduction in headcount.
• TCNNF opened another medical dispensary in Florida.
• TLLTF announced that it will be introducing a product from the Shinnecock Nation in Massachusetts.
• TRSSF paid down $30 million of its Michigan debt. It opened its 4th Cookies store in that state too.

Please check the Focus List, (which has technical, fundamental and valuation ratings as well as a market-cap table). To help track market caps, we maintain tables for the Canadian LPs and the American cannabis operators and ancillary companies.

There were comments in over 110 discussions in the Forum. Don't miss out on this most informative part of 420 Investor! Not familiar with the the Forum? This video will help! This is a great way to track your favorite tickers, even those not on the Focus List, and to get your questions answered quickly.

Market Performance

The Global Cannabis Stock Index remained far above its all-time closing low of 11.26 from 9/30. It exploded higher to 14.80 this Friday, ending up 10.7% this week. This was a lot better than the 1.1% gain in the S&P 500, which is down slightly in December. The cannabis index has rallied 8.3% in December, and it has rallied 31.4% thus far in Q4. This is more than the 13.5% return in the S&P 500.

The index, which lost 26% in 2021 following a 5.2% gain in 2020, is down 55.0% in 2022. It currently includes 28 stocks and ended 2021 at 32.85. In September it was down 25.9%, and it was down 23.7% in Q3:

For perspective, the index, which began 2013 at 100, bottomed in August 2013 at 70 after a prior peak of 220 in February 2013 and peaked in 2014 at 1010. The long post-2014 decline ended in February 2016, with the market soaring at the beginning of 2018 to levels not seen since 2014. We took out the 2016 lows by a wide margin in early 2020 and then soared into 2021 before reversing. We made a new all-time low at the end of September:

Model Portfolios

Flying High, down 16.1% in Q3, ended the week valued at $183,277, up 7.1% during the week. It has gained 24.7% in Q4 thus far. This model portfolio was launched on 9/23/13 with $10,000 (paper), and it ended 2013 at $18,225, 2014 at $15,702, 2015 at $9608, 2016 at $49,568, 2017 at $112,891, 2018 at $161,346, 2019 at $165,249, 2020 at $252,409 and 2021 at $294,249. The year-to-date gain was 16.6% in 2021, and the model portfolio is down 37.7% in 2022. The model portfolio has increased 1733% since inception. Flying High has 6 positions and 0.2% cash. During the week, I added exited an ancillary name and added to four names already in the model portfolio.

420 Opportunity, which fell 15.2% in Q3, ended the week at $45,490, up 6.8%, which was worse than the Global Cannabis Stock Index. It is up 26.6% in Q4. This model portfolio, which was funded with $50,000 (paper) on 4/8/14 and ended 2014 at $17,105, 2015 at $11,418, 2016 at $44,915, 2017 at $91,407, 2018 at $94,616, 2019 at $77,715, 2020 at $105,373 and 2021 at $90,823, has a goal of being fully invested and outperforming the market as measured by the 420 Investor Cannabis Stock Index, which was flat during the week. In 2021, the model lost 13.8%, while the index decreased 26.0%, and it is down 49.9% in 2022 compared to the index loss of 55.0%. The model portfolio has lost 9.0% since inception, while the overall market has declined by 98% during that time-frame. The model maintains 12 holdings and 0.1% cash. The three largest holdings include MAPS (11.9%), AYRWF (10.6%) and TRSSF (10.0%). During the week, I trimmed REFI on Monday, adding to HYFM. On Wednesday, I reduced TRSSF and added to CEAD. On Thursday, I trimmed HYFM. On Friday, I added to SBIG and sold CRLBF to add to LOWLF. I also reduced TRSSF again to add to VFF. I then sold REFI and added to TLLTF and to AAWH.

420 Quality, which was funded with $50,000 (paper) on 3/1/17 and was down 14.8% in Q3, ended the week at $63,153, up 6.7% this week. It has rallied 25.6% in Q4, which is behind the index. In 2021, the model portfolio lost 21.8% compared to the 26.0% loss in the index. In 2022, it has returned -50.0% compared to the index return of -55.0%. It ended 2017 at $109,480, 2018 at $119,053, 2019 at $113,123, 2020 at $161,504 and 2021 at $126,323. To learn more about the model portfolio, which is longer-term focused, please read the description I posted before launch. Since inception, the model has gained 26.3%, while the index has lost 81.7%. The model has 12 holdings and 0.4% cash. The largest positions include MAPS (12.2%), AYRW (9.9%) and CEAD (9.7%). During the week, I trimmed REFI on Monday, adding to HYFM. On Wednesday, I reduced TRSSF and added to CEAD. On Thursday, I trimmed HYFM. On Friday, I added to SBIG and sold CRLBF to add to LOWLF. I also reduced TRSSF again to add to VFF. I then sold REFI and added to TLLTF and to AAWH.

Calendar

As a reminder, 420i posts a calendar for your convenience, as does New Cannabis Ventures. NCV also posts a separate calendar for conference calls.

There are no events scheduled for the upcoming week.

Companies with fiscal years ending in September (August for Canadian Venture stocks that don't file with the SEC) must report their annual financials in December. Companies with years ending in January, April or July must file their quarterly reports by mid-December (or by late December for Canadian-listed stocks that aren't on the TSX or NEO or filing with the SEC).