Artificial Intelligence Finance Institute - AIFI | Founder at Artificial Intelligence Finance Institute
What's the connection between music and finance? The cashflows earned in the early years after a song is released are helpful in predicting the long term streaming revenues. This has opened the possibility for financial instruments that provide artists with advances, while investors participate in the future cashflows of music. This activity has grown to an estimated US$5bn in music rights transactions in 2021. Ivan Kosyuk and I wrote a short paper about the valuation of music from a financial engineering perspective to justify the multipliers quoted on a music rights trading platform called Royalty Exchange.