Growth January 26, 2021 Last updated January 26th, 2021 1,016 Reads share

Buying Shares in Songs Can Turn Out To Be a Great Investment

Image Credit: DepositPhotos

Studies have demonstrated that when we listen to music, our brains release dopamine, which creates feelings of happiness. Music doesn’t offer the same evolutionary advantages as eating, for example, but it does induce an intense, euphoric response. It creates deeply social experiences, so it shouldn’t come as a surprise that it’s perceived as an imagined or virtual presence. If you’re passionate about music, you must certainly know all the cool songs and their lyrics. Well, life is dull without passions and we wouldn’t accomplish anything without them. Invest to feed your passion and make real money. If you’ve got the necessary income and status to take part in private placements and venture capital opportunities, why not?

The Recorded Music Market Is Set To Grow Between 2021 and 2024

If we take a close look at the recorded music landscape, we’ll see that it has succeeded in reaching a global audience owing to online platforms and social media sites such as YouTube, which have allowed artists to showcase their work. Recording companies continue to make significant investments in music arts, which have ultimately contributed to market growth. According to the experts at MarketWatch, the main market driver is the increased preference for on-demand music services. the most popular names at present are Spotify, Amazon Prime, Google Play Music, Apple Music, Tidal, and Sound Cloud. Music is enjoying a streaming boost during the COVID-19 pandemic, people affirming that music helped them cope with stress and self-isolation.

Investing in music stocks can be a good way to earn life-changing wealth. The recorded music market is poised to grow between 2021 and 2024 at a CAGR of 5 percent, which is largely due to the rising adoption of subscription models and enhanced regulatory pressure to eliminate piracy and copyright infringement. Speaking of which, it’s necessary to make a few clarifications. The vast majority of countries protect the rights of authors of work. This translates into the fact that you can’t use a song without permission. You can’t use one of The Weeknd’s songs as on hold music. Even if the content is publicly available on social media and other platforms, that doesn’t mean that using it doesn’t generate consequences. Getting back on topic, the recorded music industry’s revenue continues to grow and it’s the best time to invest in songs.

Invest Your Money in Music Stocks Because They Offer High Potential Returns

Music has proven to be extremely resilient taking into account the tough times we’re living. With songs no longer selling physically, artists, labels, and everyone else in the industry have resorted to new and innovative ways to survive. Many have decided that it’s a good idea to sell shares in song catalogs on the stock market. Shares represent units of ownership interest in a company that exists as a financial asset. If you buy shares, you own a little part of that company. Some music companies are publicly traded, while others are part of media conglomerates. Depending on what the seller is offering, you bid for a percentage of the song or the entire song, and start receiving royalty payments based on how much money the song has generated.

You cash in money every time the song is used in an advertisement, film trailer, soundtrack, TV spot, and so on. Just think about it, you can earn rights to Jay-Z and Alicia Keys’ Empire State of Mind or Taylor Swift’s Folklore. New music and bands are bursting onto the scene all the time, so you must be careful about how you spend your money. You can either make a lucrative investment or lose your hard-earned money in an instant. Similar to trading on the stock market, you have to be a savvy investor. What you need to do is to buy at a lower price and take a chance on an artist that will provide a high payoff in the long run.

Some songs are timeless, which means that you can ensure profit maximization. If you manage to secure the rights to a catalog featuring oldies but goldies, you’re sure to come out successful. You can invest in music royalties as an alternative and earn a passive income stream, but keep in mind that royalty rights may increase due to the increased usage of songs. To make a profit, you can sell some of your royalty stream to private investors. The best part is that you don’t give up control of your earnings. There is some inherent risk, though, so caution and discretion are of the essence.

What Are Some Other Ways You Can Invest in Music?

If you’re not interested in buying shares in songs as an investment, don’t fret because there are other options available. For instance, you can trade stocks with binary options and obtain a significant profit. Stocks are the best asset derivatives that can be traded on the binary options market. It’s an opportunity to consider for long-term wealth. As a trader, you have access to countless stocks and, if you have some kind of knowledge on how they work, you stand to make a profit. Another thing you can do is invest your money in companies such as Baldwin pianos that are renowned for their touch, tone and durability. You can get a good ROI from your investment.

Last but certainly not least, you can acquire collectibles. Invest in a piece of musical instrument that will increase in value over time, such as a piano. An antique piano can be valued anywhere from a few hundred dollars to tens of thousands of dollars. The older the piano is, the more it’s worth. A beautiful looking piano that’s a couple of years old will attract many buyers. The point is that you can sell the musical instrument at a greater price than you paid for it. If you want to stick to buying stocks, focus your attention on Amazon, Sirius XM, and Tencent Music Entertainment Group. Any will continue to turn to music during challenging times.

Beautiful girl listening to music on headphones in the sky -DepositPhotos

Trevor Davis

Trevor Davis

Read Full Bio