What’s the biggest challenge advisors face when trying to understand risk in this space?
My biggest challenge is just to understand the current state of the legislation. I mean since 2017 it was ruled by
the Supreme Court that it should be legal; that is that it should be legal for recreational use in everything. But the bill of law just hasn’t been approved. Now, it’s been over three years.
Everybody has been very excited because it represents something very big. It’s a big market and the legislation will be federal. So as soon as it is open everybody will go like crazy because it’s a big opportunity. That also has a lot to do with our proximity with the US and Canada, particularly considering the trade agreements between the three nations. You can see why people are excited – it’s a very big opportunity for business, whether import or export, whether to produce or for Canadian or American companies to come to the Mexican market to to sell their products.
I would say to clients that there are big opportunities here – in Mexico and across the border, but I can’t guarantee the bill will become law any time soon. I don’t think it will happen this year to be honest. But as Tim said, it’s going to happen at some point. We’re expecting the law to be very open, similar to Canada. People who would like to start a business will have plenty of flexibility to choose to enter the market.