A New Path To Wealth: Navigating The Psychedelic Investment Landscape

Once taboo, the world of psychedelics has now transcended to the NASDAQ. Psychedelic companies, although relatively new investment opportunities have been recognized by most major financial news outlets as stocks to watch for huge growth potential. The psychedelic drug market currently forecasts earnings of $6.85 billion by 2027. Investors, whether familiar or not with the burgeoning industry, are keen to capitalize on the massive potential profits the psychedelic market could propose for shareholders.

The spectrum of opportunities to invest in healthcare and life sciences continues to evolve. From next-generation therapies to digital health solutions, innovation is everywhere–but growth needs capital.

Emerging psychedelic companies like Field Trip, are pioneering the medical use of substances like psilocybin to treat depression, anxiety, and opioid withdrawal (among an array of other psychiatric conditions). The active ingredient found in psychedelic mushrooms has long been revered by users as a root source of euphoria, well-being, and healing.

With the opioid crisis crippling America, a new generation of patients is turning to alternative medicines. This new advent within the medical world, promises big returns for investors who are wise enough to get in early.

On February 11th, MindMed announced its partnership with Swiss Psychedelic Drug Discovery Startup MindShift Compounds AG. The goal of the partnership between these two companies is to “develop and patent next-gen psychedelic compounds with psychedelic or empathogenic properties.”

In 52 weeks MindMed’s stock (MMEDF) went from a fraction of a dollar ($0.40) to remaining steady at just under $4 a share. Mindshift’s CEO confirmed his excitement about bringing synthetic and controlled psychedelic therapies to the mass market.

“The compounds we are working on are typically derivatives or analogs of known substances with psychedelic properties.” – Dr. Felix Lustenberger, MindShift, CEO

In 2000 Johns Hopkins’ Center for Psychedelic Research was the first to obtain regulatory approval in the United States to reinitiate research with psychedelics in healthy, psychedelic-naive volunteers. 21 years later, companies like MindMed (NEO:MMED), Numinus (TSXV:NUMI), and Compass Pathways (NASDAQ:CMPS) are recognized by major trading authorities, as some of the best ways to “invest in the future of medicine.”
Field Trip Health Ltd., a leader in the development and delivery of psychedelic therapies, has announced the official opening of their Field Trip Natural Products Limited Research and Development Laboratory for Psychedelic Fungi in Jamaica. Following Field Trip’s partnership with the University of West Indies, the research facility is the world’s first experimental and cultivation laboratory focused primarily on psilocybin-producing mushrooms and other plant-based psychedelics.

Similar to when many investors did not take Colorado’s legalization of cannabis as a serious opportunity to cash-in; large psychedelic investment rewards will be primarily reserved only for proactive and forward-thinking investors.

The following developments, in the industry of psychedelics, spell good news for investors:

• The U.S. Food and Drug Administration (FDA) authorized Breakthrough Therapy Designation to both Compass Pathways’ and Usona Institute’s psilocybin therapy for depression in 2018.
• Johnson & Johnson’s (NYSE: JNJ) ketamine-derived medicine, Spravato, gained FDA approval in March 2019 for treatment-resistant depression.
• In September 2019, private donors gave $17 million to start the Center for Psychedelic and Consciousness Research at Johns Hopkins Medicine
• U.K.-based Compass Pathways raised $146 million with its initial public offering on Sept. 18, 2020
  In September of 2020, Mindleap Health, a subsidiary of the Mydecine Innovations Group, launched the world’s first telehealth platform for psychedelic integration.
• The team at Field Trip Health launched the first psychedelics app, in September of 2020, that allows users to access tools that support self-exploration and consciousness expansion through meditation, breathwork, and more.
• In February of 2021, Field Trip announced the official opening of the Field Trip Natural Products Limited Research and Development Laboratory for Psychedelic Fungi in Mona, Jamaica.

Not only have psychedelic stocks harnessed global attention, but this new field of medical treatments has already caught the wandering eyes of large investors. MindMed is backed by Shark Tank’s own “Mr. Wonderful” Kevin O’Leary. Before going public, Compass Pathways was backed by billionaire PayPal pioneer Peter Thiel, and Christian Angermayer, the founder of Apeiron Investment Group.

Since the industry is so new to the market, investments can often feel risky and convoluted. Even if you’re just recently hearing about the investment potential in psychedelics, or you’re a seasoned investor looking to raise the momentum of the coming wave, Microdose can help guide you through the business of psychedelics.

At Microdose, we host a monthly conference series to help guide investors, both large and small and simplify the nuances of this novel field of investments. Psychedelic Capital is a virtual investment conference, and a platform to showcase the top companies, latest IPOs, newest opportunities, and deepest industry insights.

As a reader of our blog, you can get free tickets to the next Psychedelic Capital by clicking here.