Before that, no one insured the dangerous activities of movies. Risks are everywhere, such as box office fiasco; Or the shooting can't be completed because of an accident. Last year, the number of American movies dropped 12%. To some extent, it is due to lack of funds. Swagger, CEO of Media Derivatives, said, "Hedge risks through futures contracts. Film financing institutions are more willing to provide financial support for filmmakers. "
This "game", which was originally mainly used in the fields of commodities such as oil and copper, crops such as soybeans and financial derivatives, is played in the film field as follows: if a company invests in a movie, it will buy put futures if it is worried about box office failure, so that if the box office really fails, the profit can hedge the loss of investment.
Another company called Cantor Fitzgerald has already targeted it. 200 1 company acquired a virtual trading website hsx. com- Hollywood Stock Exchange, and players used virtual currency to invest in movie box office. The company is also said to have been approved. Its chairman, Edin Zhe Ke Ekobu, hopes to attract these 200,000 netizens who are keen on this investment game to show their talents in the real world. It sounds like opening the market to retail investors.
Some people think that the soybean harvest depends on the weather, and the weather can't be manipulated, but it is not impossible to depress the box office for profit, and it is also possible to create the illusion that a movie will sell well. Therefore, the interests of retail investors are not guaranteed.
However, Trend Exchange is not ready to open to retail investors. Relevant persons said: "By targeting institutional investors, the commercial value of contracts can be enhanced and the inherent speculation of products mainly occupied by retail investors can be suppressed." Mainly for film financing institutions such as banks.