Saturday, April 17, 2010

Box-office Futures Market Approved

The U.S. Commodity Futures Trading Commission approved the idea of creating a futures market for the purpose of trading in forecast box-office receipts.

Dubbed the Trend Exchange, it would empower traders and those in the industry to make bets on whether the projected revenue of a movie would reach its estimates.

Veriana Ventures, which has been behind the push to approve of Trend Exchange, says it would be a valuable tool to allow those financing films to hedge their bets and protect themselves; they pointed out it would particularly help smaller studios who struggle to obtain financing.

There is another proposal out there from Cantor Fitzgerald LP for a similar exchange which would be named Cantor Exchange if approved. This would target those wanting to invest from the general public, as there would be lower investment requirements accompanying it. A ruling on that should come next week.

Hollywood is opposing the exchanges, saying they could easily be manipulated.

1 comment:

Anonymous said...

There are already commodity funds and investor information sites that focus exclusively on these movie futures markets. For the fund, see: and for investor info, see