The Theoretical IRR is a formulaic guideline based on an extrapolation of the normalized, historical earnings trend of the catalog. The Theoretical IRR is not a guarantee of future performance. It should be used for comparison purposes only. Each catalog has its own risk factors and the Theoretical IRR is not based upon a specific analysis of this catalog. Click here to view the basis for all Theoretical IRR calculations.
Historic royalty income is no indication of future royalty income. Future royalty income is dependent upon future sales and licensing revenue generated by the sound recordings or compositions associated with this listing.
|End Date:||Jul 30, 2019, 1:11 PM MDT|
|Last 12 Months' Royalties:||$23,081|
|Investment Term:||Life of author + 70 years|
|First Distribution: (paid 30 days from receipt):||
September 20, 2019
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What rights are included?
|Musical Composition||Sound Recording|
|Sources:||Internet Streaming, AM/FM & Satellite Radio, TV/Film/Commercial Performances, etc.||Internet Streaming, Satellite Radio, Digital Downloads, CD Sales, TV/Film/Commercial Placements & Performances, Samples, etc.|
This exciting catalog offers income growth, diversity in song age, and music from multi-Platinum, Grammy-winning hip-hop artists.
The foundation of this offering is “M.A.A.D. City” from Kendrick Lamar, accounting for 40% of last year’s income. Released in 2012, “M.A.A.D. City” was successful on Billboard hip-hop charts, as well as the mainstream Hot 100. The Platinum-certified track has stable year-over-year earnings for an older release, which can be attributed to consistent streaming and international income.
This catalog also features two noteworthy 2018 releases. The first is “King's Dead” featuring Jay Rock, Kendrick Lamar, and Future with British singer James Blake. “King’s Dead” recently won Best Rap Performance at the 61st Annual Grammy Awards. The song has an impressive 309+ million spins on Spotify and has only generated one-quarter of earnings thus far.
The second new release is “Double Up” from the late hip-hop artist Nipsey Hussle. “Double Up” is a bonus track included on Nipsey Hussle’s only studio album Victory Lap (2018). The album debuted at No. 4 on the Billboard 200 in February 2018, and it reached a No. 2 in April 2019, following Hussle's death.
It will come as no surprise that streaming in this collection’s leading income source, with 56% of last year’s income. Impressively, streaming royalties grew 48% year-over-year, thanks to increased revenue from Spotify, Apple Music, and YouTube. This catalog’s international earnings also grew 47% compared to the prior year.
Other top-earning releases include Schoolboy Q’s double-Platinum hit “Collard Greens,” 2015’s “Clubhouse” from Mac Miller, and “Fine Whine” from A$AP Rocky featuring Joe Fox, M.I.A., and Future, and “U With Me?” from megastar Drake, among others.
Dollar Age. This collection of songs has a Dollar Age of 4.75. In this case specifically, the Dollar Age demonstrates a diverse income mix between new(er) releases and more mature works.
The two highest-earning tracks — “M.A.D.D. City” and “Collard Greens” — were released in 2012 and 2013 respectively. And royalties are rather stable for these works year-over-year. These songs can also balance the volatility of a newer releases’ earnings, such as the two 2018 track's “King’s Dead” and “Double Up.”
A catalog containing mature works with consistency is something worth noting as an investor. This can help sustain a catalog's earnings moving forward.
Hip-Hop/Streaming. This catalog is a perfect example of two trends: hip-hop and streaming's growth worldwide. According to BuzzAngle's 2018 Year End Report, hip-hop is the most popular genre of music in the U.S. The driver for the increase is streaming. Hip-hop/rap tracks accounted for more than a quarter of all on-demand plays on music streaming services in the US in 2018.
Streaming accounts for 56% of this catalog’s earnings over the last 12 months and these earnings are up 47% in the same period.
Featured Artists. The star power within this offering is quite an attractive feature. From Kendrick Lamar, to the late Nipsey Hussle, to Schoolboy Q, to Future, to Mac Miller — these are all well-respected and critically-acclaimed hip-hop artists with proven track records of hits and loyal fan bases.
This seller's publisher holds a matching right on any sale of the income generated by this catalog. The publisher will have the opportunity to match the winning bid after this auction closes. If you are the winning bidder, the publisher must first decline their matching right before you will be able to complete your purchase. For more information on how the matching right works, please email: firstname.lastname@example.org.
About the Royalty Distributor
Broadcast Music, Inc. (BMI) is one of four United States performing rights organizations, along with ASCAP, SESAC & Global Music Rights. It collects license fees from music users on behalf of songwriters, composers, and music publishers and distributes them as royalties to those members whose works have been performed. For more information on BMI’s distribution schedule, click here.