Every year, the culture warriors whine about an alleged War on Christmas, which is a media phenomenon I refer to as “anger-tainment.” The notion is ridiculous on every level, as evidenced by the relentless iterations of “Jingle Bells” that bombard me everywhere I go.

Christmas still dominates our mainstream culture and economy. Perhaps it’s no longer celebrated in the ethnically monolithic way it was in, say, the 1950s, but the annual frenzy of Christmas is alive and well.

One aspect of Christmas is very much different, though. Marijuana is supplanting holly and mistletoe as the prevalent greenery.

The past couple of holiday seasons, I’ve noticed an interesting change in the behavior of family members and friends. Marijuana edibles (candies, pastries, etc.) and other consumer products infused with either tetrahydrocannabinol (THC) or cannabidiol (CBD) seem to be as popular as old-fashioned Christmas cookies.

Cannabis flower is sought-after as well. “Flower” refers to the smokeable, leafy part of a cannabis plant. Flower derives its popularity from its versatility and ease of use. It can be rolled into a joint or blunt; it can be smoked using a pipe or bong. It’s even usable for cooking, as in cannabis holiday treats.

For many marijuana consumers, flower confers greater pleasure because it’s tactile and a convenient vehicle for social situations and sharing.

To get high, Santa no longer needs reindeer.

It’s something of a shock to me when an elderly relative unwraps a THC-loaded brownie in front of the family hearth, but it merely reflects the changing behavioral trends in wider American society.

The combination of cannabis legalization and pandemic-induced stress is making 2022 a very good year…for THC and CBD food and beverages.

Read This Story: Marijuana and Thanksgiving: High For The Holdiays

In particular, if you’re looking to target a promising sub-sector of the cannabis industry, consider companies involved with producing and marketing CBD. The compound is becoming a familiar household item and political trends are paving the way for its widespread acceptance.

However, before you put your hard-earned money into a CBD venture, first make sure it isn’t a scam. As is often the case with fast-growing industries, the CBD theme is attracting fraudsters. The federal government is cracking down and if you’re not careful, you could lose your shirt.

The U.S. Food and Drug Administration (FDA) is increasingly issuing warning letters to companies for selling products containing CBD in ways that violate the Federal Food, Drug, and Cosmetic Act (FD&C Act).

The FDA is getting stricter about unfounded CBD claims, which is a wake-up call for CBD-related companies and their investors.

These FDA warning letters target the illegal marketing of unapproved CBD products claiming to treat medical conditions. The warning letters address CBD products that are particularly worrisome from a public health standpoint because of the avenue of administration, including nasal, ophthalmic and inhalation.

In addition, the letters address violations relating to the application of CBD to food, and the illicit marketing of CBD products as dietary supplements. These letters also address CBD products illegally marketed for pets, including a product for use in the eyes of dogs and cats. (You know a product has gone mainstream, when marketers start targeting pets.)

The FDA has also sent warning letters to companies illegally selling unapproved CBD products that claimed to prevent, diagnose, mitigate, treat or cure various diseases, in violation of the FD&C Act. In some cases, there were further violations because CBD was added to food, and some of the products were illegally marketed as “dietary supplements.”

Coming to a retail shelf near you…

Cannabis contains more than 100 biologically active chemical compounds, known as cannabinoids. The most commonly known cannabinoids are THC, which produces the “high,” and CBD.

CBD accounts for up to 40% of the cannabis plant’s extract. Unlike its cousin THC, CBD doesn’t give users a buzz. Sales of CBD are fueled by claims (some of them exaggerated) that it can reap a bevy of benefits, such as reducing pain, calming anxiety, and enhancing mental focus.

CBD also happens to be one of the biggest investment opportunities you can find. CBD is migrating into a variety of consumer product categories including food and beverages, pharmaceuticals, health, wellness, and beauty aids. Consumer and health services giants are jumping aboard the CBD bandwagon, to either develop their own products or purchase smaller CBD companies. The same is true of edibles.

According to the latest Gallup data, the percentage of U.S. adults who say they have tried marijuana currently sits at 49%, the highest level to date. Let that sink in: about half of America has experienced marijuana.

According to Statista, sales of CBD products are expected to exceed $1.9 billion in the U.S. in 2022 (see chart).

As I’ve just explained, regulators vow to crack down on marijuana hucksters. However, this scrutiny should benefit legitimate cannabis companies and products. The key is finding well-managed companies with viable products.

WATCH THIS VIDEO: Pot Stocks Are Poised to Light Up 2023

That’s why I’ve launched a new investment service, Marijuana Profit Alert, to help subscribers find the profitable opportunities in this fast-growing but unpredictable industry.

My new publication covers news and trends in the marijuana industry. I also speak on a regular basis with industry insiders, whether they’re on Capitol Hill or in corporate suites or on Wall Street.

I crunch a lot of data, put it through my proprietary screening system, and provide specific, actionable advice on the best investments in the marijuana and psychedelics sectors. I strive to strike the right balance between risk and reward.

To learn more about Marijuana Profit Alert and my latest trades, click this URL.

John Persinos is the editorial director of Investing Daily. You can reach John at: mailbag@investingdaily.com

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