Hollywood Stock Exchange wants to play with REAL money!

I’m sure many of you have indulged yourselves in a little of the faux-market trading of your favorite movies and stars available at the popular website known as the Hollywood Stock Exchange, racking up huge make-believe stock portfolios (I’m guilty!). However, I’m sure there’s even fewer people out there that have even heard of this entertainment site… that, surprisingly, is at least a tad informative or even educational, because it works just like the REAL stock market.

As it turns out, the executive parent to HSX.com, Cantor Entertainment, is ready to initiate the very first “actual” financial market for trading domestic box office offerings. Now, I’m no financial expert of market guru, so in order to get my facts to you straight, here’s the skinny on what’s going on…

Cantor has filed for federal regulatory approval for a new commodities venue called the Cantor Exchange. It would allow people or institutions — including the very industry figures making and releasing films — to buy contracts pegged to the first four weeks of a film’s gross.

In an interview with former Nielson executive Andy Wing and current head of Cantor, he had this to say:

“This is a seminal moment for the value placed on box office,” Wing said. “If you’re a film fund and you’re in the middle of your slate, you could bet on your own movie. There’s also a marketing play here for a studio. All of the participants in the film business have to consider all alternatives when it comes to keeping funds flowing.”

Pretty fascinating stuff, in my opinion. Imagine, the power that movie geeks could have in letting the studios know what films we think rule and which ones are just down right cruel. Hmm…

To read the full article, just click the source link at the bottom of this post.

By the way, the Hollywood Stock Exchange at HSX.com is free to register and play. I invite you to join, if you haven’t, but I warn you… it’s addictive! My portfolio is currently worth a whopping imaginary $16 million. (pocket change compared to some) Feel free to add me on as a buddy in the My League section if you’d like. My handle is Cinetrav.

[source: Variety.com]