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12 handpicked stocks

Intellectual Property Royalties

Invest in companies that own the rights to valuable ideas, not just physical products. This collection features businesses earning high-margin income from patents, music catalogs, and character franchises — carefully selected by our analysts to give you exposure to the economics of innovation itself.

Author avatar

Han Tan | Market Analyst

Published on June 17

Your Basket's Financial Footprint

Summary of total market capitalisation and constituent breakdown for the Intellectual Property Royalties basket.

Key Takeaways for Investors:
  • Large-cap dominance generally implies lower volatility and closer tracking of broad market performance, reducing idiosyncratic risk.
  • Suitable as a core, long-term holding to anchor allocation rather than a speculative, short-term growth position.
  • Expect steady, long-term value accretion rather than rapid, explosive gains; returns are not guaranteed.
Total Market Cap
  • RPRX: $21.86B

  • DIS: $205.50B

  • QCOM: $181.96B

  • Other

About This Group of Stocks

1

Our Expert Thinking

These companies profit from owning intellectual assets like drug patents, music catalogs, and character rights. They generate income by licensing these valuable intangibles to others—collecting royalties without the complexity of manufacturing or delivering services themselves.

2

What You Need to Know

This collection focuses purely on intellectual property royalty generators, excluding commodity-based assets. These stocks can provide portfolio diversification through high-margin revenue streams that may be more resilient than traditional business models during economic fluctuations.

3

Why These Stocks

We've carefully selected pure-play royalty companies and firms with significant IP licensing divisions. The expanding digital economy and biotech advancements create continuous opportunities for these businesses to monetize valuable patents and copyrights in innovative ways.

Why You'll Want to Watch These Stocks

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Ideas Are The New Gold

In today's digital economy, owning the rights to ideas can be more profitable than owning physical assets. These companies collect recurring payments simply for owning valuable IP.

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Profit Without Production

These companies earn high-margin income without dealing with manufacturing costs or supply chain headaches. They simply collect checks when others use their intellectual property.

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Streaming's Hidden Winners

As digital content consumption grows, the owners of music catalogs, characters, and technology patents quietly collect more royalties. It's like owning a toll bridge on the digital highway.

Get the full story on this Basket. Read our detailed article on its risks and potential.

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