Invest
Tom, Jerry and Scooby-Doo: A new recipe for long-tail returns?
As the likes of Netflix and Apple disrupt the entertainment industry, investing in children’s entertainment could be a new alternative.
Tom, Jerry and Scooby-Doo: A new recipe for long-tail returns?
As the likes of Netflix and Apple disrupt the entertainment industry, investing in children’s entertainment could be a new alternative.
That’s according to investment manager Global Merces, which is launching a Media Ventures Fund investing in children’s animation assets, gaming companies and developers of virtual reality content.
Speaking at a media roundtable in Sydney on Thursday, former president of Warner Bros Animation and Global Merces advisory committee member Sander Schwartz said, “In the US a decade or so ago, there were 40 or 50 new drama shows that were produced every year. This year, I read a figure that it was 263.”
He continued, arguing that the value of content lies in its quality and this comes from good storylines, scripts, actors and production values.
“What attracts me to the kids business is that kids’ properties can become evergreen. They can carry on for generations,” Mr Schwartz said.
“I've produced seven seasons of Scooby-Doo and five seasons of Batman and four seasons of Tom and Jerry.
“And … those intellectual properties will continue to play for the next 100 years or more, now that it's digital and it can be accessed on your phone or television or movie screen or on a plane.”
Global Merces chief investment officer Adam Schoff reiterated the perpetual value of quality content, adding that the fund will be focusing on a broader spectrum than just Apple and Amazon, pointing to Crunchyroll, a streaming app dedicated to Japanese anime with more than 2 million followers.
“For us it's about investing in those businesses that are beginning to understand what the new revenue models might be and how you could capture that revenue,” he said.
The fund will be open to both wholesale and retail investors, with retail investors able to invest through the Global Merces Access Fund.
Managing director and CEO Holly Grofski said the decision to open the fund to retail investors was the result of a post-GFC landscape in which ‘mum and dad’ investors were constantly searching for alternatives and ways to boost their yield, while also pulling away from financial planners.
“What this has created is a lot of genuine attempts to look for alternative investments,” she said.
Property
Aussies swap housemates for home ownership
The number of younger Australians looking to enter the property market in the next five years has doubled, as COVID-19 restrictions sees home ownership goals increase, according to research released ...Read more
Property
Falling loan deferrals prove market recovery: REIA
The reduction in loan deferral defies doom and gloom forecasts in the property market, the Real Estate Industry of Australia has said. ...Read more
Property
Why are expats returning to property market?
Expats are returning to Australia in droves, eager to put their money into safe investments. ...Read more
Property
Stamp duty to be phased out under new proposal
The NSW government has stated that it could phase out inefficient taxes such as stamp duty as it looks to recover from the COVID-19 pandemic. ...Read more
Property
Melbourne rents continue to decline
While most capital cities recorded increases in asking rents, Melbourne continued to see declines in both houses and units, according to latest data from SQM Research. ...Read more
Property
Why investors should focus on the next 1-5 years
Investors are being urged to look beyond their own backyards into opportunities over the next one to five years. ...Read more
Property
Distressed sales fall to pre-pandemic levels
Urgent property sales have dropped back to pre-pandemic levels in most cities – proof of Australia’s continuous recovery from the effects of the COVID-19 outbreak. ...Read more
Property
Top tips for managing your own property portfolio
Managing investment properties can feel very much like rolling a dice, you can never be quite sure what you’re going to encounter and, in most cases, you possess minimal control over what happens ne...Read more
Property
Aussies swap housemates for home ownership
The number of younger Australians looking to enter the property market in the next five years has doubled, as COVID-19 restrictions sees home ownership goals increase, according to research released ...Read more
Property
Falling loan deferrals prove market recovery: REIA
The reduction in loan deferral defies doom and gloom forecasts in the property market, the Real Estate Industry of Australia has said. ...Read more
Property
Why are expats returning to property market?
Expats are returning to Australia in droves, eager to put their money into safe investments. ...Read more
Property
Stamp duty to be phased out under new proposal
The NSW government has stated that it could phase out inefficient taxes such as stamp duty as it looks to recover from the COVID-19 pandemic. ...Read more
Property
Melbourne rents continue to decline
While most capital cities recorded increases in asking rents, Melbourne continued to see declines in both houses and units, according to latest data from SQM Research. ...Read more
Property
Why investors should focus on the next 1-5 years
Investors are being urged to look beyond their own backyards into opportunities over the next one to five years. ...Read more
Property
Distressed sales fall to pre-pandemic levels
Urgent property sales have dropped back to pre-pandemic levels in most cities – proof of Australia’s continuous recovery from the effects of the COVID-19 outbreak. ...Read more
Property
Top tips for managing your own property portfolio
Managing investment properties can feel very much like rolling a dice, you can never be quite sure what you’re going to encounter and, in most cases, you possess minimal control over what happens ne...Read more
More articles
Website Notifications
Get notifications in real-time for staying up to date with content that matters to you.
