This month's Investor Office Hours session began with an overview of marketplace returns analyzed for the first half of the year.
This analysis was focused on assets with the following criteria:
Taken together, overall returns on a six-month annualized basis averaged 10.26%. That's a cash return ROI based on assets purchased.
We also examined the average returns by type of asset: Life of Rights assets vs 10-Year Term assets. As you can see, Life of Rights (LOR) assets deliver a notably higher average return. The takeaway here is that there remains space to bid higher for competitive LOR assets and still enjoy double-digit returns.
Finally, we looked at returns by investing strategy. Most investors buy assets through manual bids and offers. But it's clear that assets acquired using our automated Standing Orders feature deliver higher returns on average, at least for 10-Year Term assets. (There have not yet been enough LOR assets acquired through Standing Orders to provide a statistically relevant analysis.)
The remainder of the webinar briefly touched on the formats that contribute to public performance royalties, and of course an open Q&A where all investor questions were answered.
Enjoy!