Let’s unpack a clever way to invest in emerging technologies — ones that are privately held yet are perfectly within your reach.
The ingenious path to “startup riches” is through GSV Capital Corp. (Nasdaq: GSVC) — a publicly traded venture capital firm.
When you buy shares of GSV, you’re actually buying a diversified basket of startups. Positions range from companies ready to IPO to ones just getting started. As of the latest data, GSV’s portfolio touts 39 private companies worth roughly $270 million.
A handful of these tiny companies have valuations ready to rocket higher, which demands your immediate attention.
Leading the Paradigm Shift in Music
To say that a lot has changed in the music industry in the last 30 years would be a massive understatement.
Remember purchasing albums of your favorite artist on CD, cassette tape — or even vinyl — at the music store? Now you’d be lucky to find a CD at Walmart, let alone a music store. Since the arrival of the peer-to-peer music downloading service Napster in 1999, the trend in music has shifted away from “physical” media to digital distribution.
Founded in 2006, Spotify is currently the most popular music-streaming app on the market. They offer a free, ad-supported, shuffle-only subscription, as well as a paid subscription with no restrictions.
And its app is available on iPhones and Android devices.
In the last two years, Spotify’s paid subscriber base has exploded from 10 million worldwide users to 60 million. Not even the mighty Apple (AAPL) — which launched its own music streaming service in June 2015 — could steal Spotify’s thunder. Since it launched, Apple Music has only mustered 27 million users — less than half of Spotify’s base.
But here’s the catch…
Spotify’s revenue soared to $3.3 billion last year (up 52% from the previous period), but the company has yet to turn a profit since its launch. Why? Its music licensing fees are enormous.
