That helped the fund sponsor avoid some of the thorny legal issues associated with introducing new marijuana ETFs in the U.S. Among those issues are federal regulation of custodian banks, the banks that holds shares of the underlying companies featured in index funds.<\/p>\n
\nU.S. Bancorp (NYSE:USB), a publicly traded company, was MJ’s initial custodian bank, but ETFMG replaced the firm as its MJ’s custodian, administrator and transfer agent last year. Privately held Wedbush Securities, a Los Angeles-based broker-dealer, is now MJ’s custodian.<\/p>\n<\/blockquote>\n
That move is seen as potentially opening the door for more cannabis ETFs to list in the US, but with the drug still illegal at the federal level, some fund issuers remain apprehensive about running afoul of regulators.<\/p>\n
At the end of April, US-listed ETFs had $3.84 trillion in combined assets compared to $133 billion in Canada, but Canada has more than triple the number of cannabis ETFs as the US has because marijuana is legal north of the border.<\/p>\n","protected":false},"excerpt":{"rendered":"
ETF Managers Group (ETFMG), the fund issuer behind the world’s largest exchange-traded fund (ETF) dedicated to marijuana equities, is looking to drum up more notoriety by sponsoring an Ultimate Fighting Championship heavyweight star. New Jersey-based ETFMG is the firm behind the ETFMG Alternative Harvest ETF(NYSEARCA: MJ), and the company has agreed to be the official […]<\/p>\n","protected":false},"author":46,"featured_media":106500,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[62,16],"tags":[],"acf":[],"yoast_head":"\n
ETFs Meet UFC in This Unusual Sponsorship Arrangement<\/title>\n\n\n\n\n\n\n\n\n\n\n\n\n\t\n\t\n\t\n\n\n\n\n\n\t\n\t\n\t\n