  We propose a risk neutral approach to forecast the cashflows of music
catalogs, based on historical revenue data. We use a discounted cashflows
formula to produce reasonable ranges of multipliers for these assets, based on
the age of the catalog, the last-twelve-months revenue and the duration of the
contract. We compare the multipliers implied by the cashflows of top, median
and bottom performing songs on the Royalty Exchange platform. We find that ask
prices are close to the multipliers justified by median song cashflows. The
best bids are near the multipliers justified by the bottom decile of song
cashflows.
