When you think of the Stock Market, you think of buying shares in public companies like Apple, Nike, etc. With music streaming currently taking ownership as the dominate trend in music, now here comes a bit different. You can now invest in songs and earn a share of the royalties.
MusicStockExchange is a platform that enables equity investing in music. It has recently launched two distinct types of investments – (1) ownership shares in the copyrights of individual songs and (2) a fund investment tied to multiple revenue sources of a portfolio of emerging artist projects.
With respect to the first option, investors can purchase fractional shares in royalty-generating copyrights of hit songs. This gives the investor the right to receive all royalties earned by the song on a going forward basis, pro rata. As a full service music publishing company, MusicStockExchange® collects the songs’ royalties on behalf of investors and distributes them on a quarterly basis. Most of the songs featured on the platform have well established royalty histories, which helps the company and investors evaluate and project future earnings and opportunities. In addition, the company’s publishing staff, which is led by music industry veteran Jeff Tweel, actively markets and promotes investors’ songs in order to obtain new usages and licensing opportunities for the songs. The goal is to boost the existing yield curves of portfolio songs so that all stakeholders in the intellectual property rights are better off. Current song offerings include Grammy-nominated and chart-topping hits recorded by artists such as George Strait, Conway Twitty, Kenny Rogers, Reba McEntire, Billy Ray Cyrus, Martina McBride, Restless Heart, LeeAnn Rimes, and Lee Greenwood. The company expects to add more titles this year while diversifying its offerings by genre, age and earnings profile.
With respect to the fund investment option, MusicStockExchange® has launched Multi-Genre Emerging Artist Fund (“MGEAF”). MGEAF is an equity crowdfunding solution for exceptionally talented musicians who have demonstrated an unwavering commitment to their careers. Units in the Fund are available through a private offering as well as through an online subscription. MGEAF is structured so that investors will receive a profits interest derived from multiple revenue sources of portfolio artists. Ranbill Music Inc., an affiliate of MusicStockExchange® serves as manager of MGEAF and is responsible for allocating capital towards the creative development of portfolio artists as well as for outsourcing key functions necessary for artist-growth such as production, distribution, touring, merchandising, and PR.