When trying to trade cannabis stocks as an American investor, you might occasionally find limitations in what kinds of stocks you can buy at some brokerages, however. Not all of them will trade Canadian or even OTC stocks, though access has improved immeasurably over the last year or two.

Fortunately, most of the biggest U.S-based brokers now allow you to trades stocks listed in Canada, notably ones on the Toronto Stock Exchange (TSX) and the Canadian Securities Exchange (CSE) just as if you were buying Apple or Ford.

Whenever a stock trades in Canada and the United States over-the-counter (OTC) markets for our NICI Membership or The Cannabis IPO Insider subscribers, my trade instructions will tell you where it’s best to buy the shares.  If you’re trading a stock which NICI has not recommended, you generally will do a little better buying it on a Canadian exchange than getting it OTC.

But first, you have to sign up with an online brokerage.

Signing up with any online brokerage is easy.  It’s like applying for a credit card or renting a car. In fact, signing up for a brokerage account is almost as easy as signing up to be part of the National Institute for Cannabis Investors.

You just go to the sign up area on the website and put in all your information: name, address, and so on. You’ll also enter a banking account number so you can actually put money into your brokerage and then make your stock buys.

It’s all normal and no riskier than using your credit card at a grocery stores or gas station.

Did you find this FAQ helpful?

First off, go through the resources on the website and your Dashboard. NICI has assembled free reports, videos, how-to training sessions, and more that can turn even the most intimidated new trader into an expert in rapid fashion. But, if nothing else, look out for the regularly occurring trade alerts and follow the advice of Executive Director Greg Millier, who is also NICI’s lead analyst. Of course, make sure you have a way to trade stocks – be it a physical broker or an online account that you put money into.

As a member, you will receive on average 1-2 new recommendations a month emailed to your inbox. These trades will be added to the Portfolio within 24 hours. The Portfolio is where we track all of our open trades. If you became a member after we made a recommendation, you can find out whether it is still a valid buy or not by checking the “Notes.” Valid trades will be listed as “BUY.” Sold positions will be removed from the Portfolio within 24 hours.

If you haven’t already, explore NICILytics, a complete database of Cannabis stocks, the NICI Membership and the Cannabis IPO Insider.

Did you find this FAQ helpful?

Since most of my trades of the best emerging cannabis stock opportunities don’t involve companies listed on the New York Stock Exchange or Nasdaq, let’s take a look at your best options for buying TSX, CSE, or OTC stocks (in no ranked order).:

Interactive Brokers LLC (interactivebrokers.com) – Investors may trade Canadian stocks with no notable restrictions. Our research team have asked if trades with three of our first five recommendations for the CSE listing of a stock could be made, and a representative said they could do so with no problems.

Fidelity Investments Inc. (fidelity.com) – Fidelity will allow you to buy through Canadian exchanges and automatically converts your purchases to Canadian dollars when buying a stock from there. Fidelity does have a policy that it will automatically convert attempted purchases of stocks trading at a penny stock prices – the Securities & Exchange Commission defines a penny stock as anything trading for less than $5 per share – to whatever the OTC stock is.

TD Ameritrade (tdamertrade.com)  – This broker will accept trades on Canadian exchanges. However, you would need to call in and talk to a live broker to make such a trade. Meanwhile, a customer can place their own trade for an OTC stock on the online platform.

eTrade (https://etrade.com) and TradeStation Group Inc. (https://tradestation.com)  – These brokers do not yet offer any Canadian cannabis stock trades. However, you can buy OTC listed stocks, though foreign stocks will be limited as well (tickers ending in ‘F’).

All brokers may require additional fees beyond normal costs. Please reach out directly to your broker for further information.

Additionally, while we do try to accommodate all investors, we do cater specifically to American customers and therefore our recommendations are geared towards those who have American citizenship and are not effected by foreign law. Customers outside of the US will have to carry out additional due-diligence to make certain that they comply with and understand their local laws and regulations regarding investing.

Did you find this FAQ helpful?