Streaming-Driven, European Hip-Hop
Invest in this global catalog highlighted by popular Swedish hip-hop tracks.
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: | $55,000 |
| Bidding Increment: | $900 |
| Closing Price: | $90,100 |
| End Date: | Jan 15, 2021, 3:13 PM MST |
| Dollar Age: | 2.75 Years |
| Last 12 Months' Royalties: | $18,004 |
| Investment Term: | Life of author + 70 years |
| Distributors: | STIM |
| Rights Included: | Mechanical and Public Performance |
| Interests Included: | Songwriter (World) |
| Track List: | |
| First Distribution (paid 30 days from receipt): | February 16, 2021 |
| Distribution Frequency: | Quarterly |
| Buyer Fees: | 1% of closing price or $500 (whichever is greater)‡§ |
‡ Investors placing the opening bid on any listing pay no buyer fee if they win the resulting auction, a savings of 1% off the final price (minimum $500). All Access members who already receive this discount will be rewarded with a cash rebate equal to the buyer fee.
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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, Digital Downloads, TV/Film/Commercial Performances, etc. | Internet Streaming, Satellite Radio, Digital Downloads, CD Sales, TV/Film/Commercial Placements & Performances, Samples, etc. | ||||||
| Distributors: | STIM | — |
Description
Up for bid is a collection of hip-hop singles driven by streaming with global reach. The offering features songs from top Swedish hip-hop artists Adel, Dree Low, Macky, Imenella, and more.
FINANCIAL HIGHLIGHTS:
This asset features public performance and mechanical royalties distributed by Swedish PRO STIM. The “Financials” tab lists the organization’s unique payment schedule and slightly different terminology for royalty sources.
Streaming performance royalties are the leading source of earnings accounting for 46% of last year’s total. You’ll notice a significant increase in year-over-year streaming earnings as a result of the catalog’s new releases in 2019. Mechanical royalties come in second with 19% of earnings.
The catalog is also bolstered by a diverse mix of earnings — with no track accounting for more than 17% of last year’s royalties. This provides built-in diversification.
ABOUT THE CATALOG:
This offering’s top-producing song is “Narcos” from Swedish hip-hop artist Adel. Released in April 2019 on Fem Stjärnor, the track has over four million Spotify spins while the original video has 1.4 million views. Also included off Fem Stjärnor is “Tony & Elvira” featuring Dree Low. Combined, the two Adel tracks account for 29% of last year’s earnings.
The catalog also includes “Breathless” — which is a song featured in the American musical drama series Star on Fox— as well as “Fastnade” from Swedish rapper Macky.
Key Drivers
Diversity in Song Income. The single highest-earning song only accounts for 17% of last year’s earnings. This means the catalog’s earnings are not tied to the success of a single track and provides built-in diversification.
Streaming Growth Worldwide. According to IFPI’S Global Music Report 2019, streaming revenues were up 34% in 2018, accounting for nearly half (47%) of total recorded music revenues. By the end of 2018, there were 255 million users of paid subscription accounts globally.
NOTE ABOUT DISTRIBUTION FREQUENCY
STIM pays on a quarterly basis, with four regular payments each calendar year. In addition to these quarterly payments, STIM also distributes "out of cycle" payments for digital music services. These dates are estimated (not fixed) and can vary throughout the year. The winner of this auction will receive all future distributions for the included works in this offering paid by STIM. Read more about on STIM's payment schedule here.
About the Royalty Distributor
STIM is a Swedish collective management organization for music creators and publishers. On their behalf, STIM administers and licenses performing and mechanical rights to music and lyrics. STIM was founded in 1923 and is headquartered in Stockholm. STIM is a non-profit organization representing 85,000 songwriters, composers, text authors and music publishers worldwide.