Are you interested in investing in the movies? Find out more about how films and TV series are funded and how you can profit from them with spread betting.
Although the demand for TV shows and movies is high, audiences are discerning. They won’t warmly welcome every release, even when released by a blockbuster studio. Even genres such as the ever-popular period drama need to learn to read the room; there are lots that can go wrong with a production which will hamper its ultimate success.
Before plunging ahead with any investment, it’s essential to check the track record of the studio and the director, their intended cast, how much investment it has already attracted and the quality of the script being written.
Choosing a film or TV series with a broad appeal is far preferable as it’s much harder to get the required financial success with a niche product.
Crowdfunding has become a hugely popular way to raise cash for all types of projects, and movie-making is no exception. A crowdfunder which has mass appeal and reaches a broad audience could potentially draw in a significant amount of capital. When there are a lot of investors, projects don’t need a large sum from everyone to reach their goal.
This puts crowdfunding within reach for the ordinary investor, but you should still do the same level of due diligence before pledging your cash. It’s also essential to see what’s being offered in return; you might find that you’ll only receive some snazzy merchandise rather than the profits you were hoping for.
No matter what is happening with the economy, there remains an untainted appetite for movies, TV shows and series for streaming.
There is an alternative to traditional shares, with experts who can help you to learn trading by spread betting. This ensures that you can secure a return, regardless of which way the market moves.
Of course, to be successful with spread betting, you’ll need to be able to actively predict whether prices will rise or fall. To do this, an understanding of how movies and series are funded will be invaluable.
If you want to pursue a traditional investment to back a movie or TV show, a private equity or hedge fund may be the best route. This offers a means of directly investing in a production, but the risks can be substantial.
Due to the complexity, these investment options are best reserved for very experienced investors only.
If you’re attracted by the idea of speculating on the movie and TV industry, spread betting is an alternative. It allows you to profit even if the result turns out to be a turkey. By predicting whether a show is going to bomb or succeed, you can go short or long and collect your profits when your forecast is proved to be correct.