Tour cancellations due to the global pandemic have been a gut punch to the music industry this year. Recording artists who depend on income from live shows are hurting. At the same time, however, record high valuations are being reported in the sale of song catalogs.
Songwriting catalogs, especially those with established hits and tracks with a history of generating royalty revenue, are becoming increasingly coveted by specialty investors looking for new categories of income-producing assets in lieu of broader public markets such as stocks and other securities.