Swedish Hip-Hop From Yasin + Others

Up for bid are songwriter royalties generated by popular Swedish rappers.

$32,000

closing price

Auction Closed

Top Bid: Ida V

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: $20,000
Bidding Increment: $250
Closing Price: $32,000
End Date: May 13, 2021, 1:00 PM MDT
Dollar Age: 4.09 Years
Last 12 Months' Royalties: $5,112
Investment Term: Life of author + 70 years
Distributors: STIM
Rights Included:

Mechanical and Public Performance

Interests Included:

Songwriter (World)

Track List:

Track List

First Distribution (paid 30 days from receipt): May 19, 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.

§ Become a Royalty Exchange All Access Investor to waive auction fees and enjoy additional exclusive benefits.

What rights are included?

  Musical Composition Sound Recording
Copyrights included? No
Rights:
Mechanical
Public Performance
Sync
Sales
Streaming
Sync
Sources: Internet Streaming, AM/FM & Satellite Radio, Digital Downloads, CD Sales, TV/Film/Commercial Performances, etc. Internet Streaming, Satellite Radio, Digital Downloads, CD Sales, TV/Film/Commercial Placements & Performances, Samples, etc.
Distributors: STIM

Description

Invest in a catalog of Swedish hip-hop singles driven by streaming. The offering is unique in that it includes both public performance and mechanical royalties for the tracks for the lifetime of the copyrights. 

FINANCIAL HIGHLIGHTS:

This collection generates public performance and mechanical earnings distributed by the Swedish performing rights society STIM. The “Financials” tab lists the organization’s unique payment schedule. 

Domestic streaming royalties are the leading source of earnings accounting for 90% of last year’s total. 

You’ll notice a significant spike in earnings in February 2021. This is a result of STIM processing a one-time adjustment for Spotify from H2-2017. Although this is not expected to occur again, the winning bidder will be entitled to all future royalty payments regardless of when earned. 

ABOUT THE CATALOG: 

The catalog’s top song with 70% of earnings is “Trakten Min” from one of Sweden’s biggest hip-hop artists Yasin. Released in 2016 on the album Allstars, the track has 25+ million spins on Spotify — making it Yasin’s most popular song on the platform. 

It’s important to note that although “Trakten Min” was released in 2016, the songwriter was not affiliated with a performing rights organization until 2018. As a result, earnings for “Trakten Min” only date back to December 2018. 

The next highest-earnings track is “Sanningen” — a 2020 release from Swedish hip-hop artist Nineb Youk. Also from Nineb Youk are “Kontant” and “Rain” both from 2019.  

Key Drivers

Streaming Growth Worldwide. According to IFPI’S Global Music Report 2021, subscription streaming revenues for recorded music increased 18.5% over the previous year. That’s the sixth consecutive year of growth, totaling 443 million paid subscription accounts worldwide. Total streaming (including both paid subscription and advertising-supported) grew 19.9% and reached $13.4 billion, or 62.1% of total global recorded music revenues.

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.

EXCHANGE RATES AND FOREIGN TAX WITHHOLDING

Please note: Royalties for this asset are reported in Swedish Krona. To calculate the payments in U.S. Dollars, Royalty Exchange applied the average historical foreign exchange rate for the distribution month (via X-rates.com).

The future royalties will be paid to Royalty Exchange in Swedish Krona, converted to U.S. Dollars upon receipt, and then paid in U.S. Dollars to the winning investor. Assets paid in foreign currency entail additional risk as foreign exchange rate changes will cause fluctuations in future cash flows. 

Additionally, because the royalty payments originate in Sweden, the purchaser may be subject to withholding taxes, depending on their domicile. You can learn more about foreign tax withholding here. Since all investors’ tax situations are different, please consult your tax advisor if you have questions on foreign withholding.

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.

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