Alternative Investments Explained: Film & media

Alternative Investments Explained: from green energy to carbon credits, breaks down the alternative products vying for your cash and assesses which assets are worth taking the risk.


This week, Alternative Marketplace assesses the pros and cons of film & media . Are they too costly or bona fide crowd-pleasers?


The film and media sector covers a wide range of assets. And thanks to the internet, and the growing potential of digital technology, that range is getting wider.


For film enthusiasts, the chance to invest in a movie production can hold a lot of appeal. With big studios enjoying growing audience numbers off the back of blockbuster successes such as Skyfall, the potential to reap strong profits is tangible. Independent productions, though, are increasingly struggling. Thanks to a rising number of affordable ways to digitally distribute and produce films, private investors can back independent products, either directly or as part of a collective. Indeed, one fund raised £13 million to back films from the studio Pathe, which will follow in the footsteps of such British hits as Slumdog Millionaire for a three-year period until investors are offered an exit.


These kind of schemes are increasingly commonplace. For bigger scale investment, buyers can consider buying shares in major studios or even exhibitors: cinema chains investing in their own technological growth, such as 3D and 4D screenings, are seeing profit margins rise considerably, boosted by higher ticket prices.


Similar principles apply to the music industry, where record labels and independent artists allow for a variety of entry points into a thriving sector.


Indeed, the sector is thriving: constantly evolving technology consistently expands the possibilities for new ventures. Media companies can cover everything from social networks and digital content to communication groups. And with technology now at the point where knowledge is accessible on even the most basic mobile phone, making an informed investment has never been easier.