The music industry is increasingly merging with finance as artists and investors tap into the lucrative market of securitized music catalogs. Following David Bowie’s groundbreaking “Bowie Bonds” in 1997, which allowed him to raise $55 million by turning his song royalties into tradable bonds, this market has grown exponentially. In 2025, it is valued at $4.4 billion, a historic high, according to Music Business Worldwide.
The model offers immediate monetization for artists, who can convert their catalogs into bonds, while investors collect revenues from streaming, radio, advertising and commercial placements. Goldman Sachs reports that these financial products can yield up to 10% annual returns, outperforming many traditional bonds.
High-profile artists have embraced the trend. In 2023, Justin Bieber sold part of his catalog to Hipgnosis Songs Capital for $200 million, followed by Shakira and Lady Gaga, freeing them from financial pressures and providing capital for new projects.
Investors are drawn to music because of its predictable revenue streams and legal protections. Streaming platforms like Spotify and Apple Music ensure a global audience, while copyright laws secure long-term income. PwC projects global music revenues to reach $70 billion by 2030, fueled largely by streaming and secondary rights.
Funds such as Primary Wave, Concord Music Group and Hipgnosis treat music catalogs like real estate, betting on the enduring value of hit songs. With music generating steady returns, the industry has become a structured investment product that grows portfolios while keeping its cultural influence alive.
Music has evolved from an art form into a powerful financial asset, and the market shows no signs of slowing down.
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