Read on Twitter
Why are so many music stars (of all ages) selling their songwriting catalogs?
Four factors, in order of obvious-ness:
• In the streaming boom, prices of music assets have soared https://on.wsj.com/3lSZ3HM 1/3
Four factors, in order of obvious-ness:
• In the streaming boom, prices of music assets have soared https://on.wsj.com/3lSZ3HM 1/3
• Music catalogs are uncorrelated assets that are more attractive in an environment of low yields and interest rates 2/3
• Approach of year-end
• Fear of a tax hike, i.e., income from catalog sales is treated as a capital gain; in a Biden administration, capital-gains (and personal) taxes could rise significantly 3/3 https://bit.ly/2VOm6sD
• Fear of a tax hike, i.e., income from catalog sales is treated as a capital gain; in a Biden administration, capital-gains (and personal) taxes could rise significantly 3/3 https://bit.ly/2VOm6sD
• One more factor is artists needing income because they can’t tour in a pandemic—but that probably doesn’t apply as much to huge names like Dylan who can ride it out. https://on.wsj.com/3oyC4DF
+ @RichardRubinDC & @Saunderswsj with more on the songwriting-catalog sales/tax benefits front https://on.wsj.com/3oI2NNZ
