Iconic Hip-Hop From Jay-Z
Collect royalties from Jay-Z's Grammy-winning album Vol. 2: Hard Knock Life, plus other songs performed by Puff Daddy, Beyoncé, GZA, and more.
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.
| Starting Price: | $6,000 |
| Bidding Increment: | $150 |
| Closing Price: | $18,900 |
| End Date: | Feb 21, 2019, 3:27 PM MST |
| Last 12 Months' Royalties: | $1,225 |
| Investment Term: | Life of author + 70 years |
| Distributors: | ASCAP |
| Rights Included: | Public Performance |
| Interests Included: | Songwriter (World) |
| Track List: | |
| First Distribution: | April 8, 2019 |
| Distribution Frequency: | Quarterly |
| Buyer Fees: | $500‡ |
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What rights are included?
| Musical Composition | Sound Recording | |||||||
|---|---|---|---|---|---|---|---|---|
| Copyrights included? | No | — | ||||||
| Rights: |
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| 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. | ||||||
| Distributors: | ASCAP | — |
Description
Here's an exciting opportunity to earn royalties from one of hip-hop's most iconic artists — Jay-Z. This catalog includes six Jay-Z tracks, as well as songs from Beyoncé, Puff Daddy, and GZA (founding member of the Wu-Tang Clan).
What’s exciting here is that not only have the tracks been generating royalties for nearly 20 years, but the catalog is actually seeing recent growth thanks to streaming and strong international income. According to the Lindy Effect, the longer a song has been producing royalties, the more likely it is to continue earning into the future.
The star of the catalog and its largest earner is the title “Ni**a What Ni**a Who,” performed by Jay-Z. The track was released in 1999 off Jay-Z's third album Vol. 2: Hard Knock Life, which won a Grammy for Best Rap Album and eventually reached 5x Platinum certification. “Ni**a What Ni**a Who” accounts for 44% of the catalog's historic earnings and is enjoying significant growth.
Other Jay-Z works include “Bring It On,” “Hawaiian Sophie,” “In My Lifetime,” and “Rap Game/Crack Game.” As an added bonus, this catalog includes the Jay-Z and Linkin Park mashup “Jigga What/Faint.” Further works that contribute to the catalog's income include “Fighting Temptation” performed by Beyoncé featuring Missy Elliott, “I Got The Power” from Puff Daddy, and GZA's “Legend of the Sword.”
Key Drivers
Song Age. Based on the recent BuzzAngle Music report, “Deep Catalog” (music released more than 3 years ago) represents 50% of music streamed today.
This catalog aligns with this industry trend. The highest-earning track — “Ni**a What Ni**a Who” — was released in 1999. And over 20 years after its release, the song is seeing growth thanks to streaming platforms YouTube, Tidal, and international sources. A catalog containing mature works with consistent (and even growing earnings) is something worth noting as an investor. This can help sustain a catalog's earnings moving forward.
Hip-Hop and Streaming. 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. This hip-hop catalog follows this macro-trend with 30% of last year’s income from streaming platforms and those earnings are seeing significant growth — up 60% over the previous year. You can benefit from this rise in hip-hop as a genre on streaming platforms with this hip-hop offering.
POST AUCTION PROCESS
Please note, because ASCAP does not allow direct irrevocable assignments of royalties for songwriters that earn less than $25,000/year, this asset must be taken via a trust.
The trust is already established, so to transfer the asset, the seller will resign as trustee and transfer its beneficial interest in the trust to the winning bidder. Review the "Post Auction Process" tab for further information on the transfer process, as this is a unique and required setup for this purchase.
About the Royalty Distributor
American Society of Composers, Authors and Publishers (ASCAP) is one of four United States performing rights organizations, along with BMI, 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 ASCAP’s distribution schedule, click here.