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You may soon be able to bet on the success (or failure) of new films
No really, you may be able to bet on the success or failure of big studio releases. Will Iron Man II flop or set box office records? You be the judge but be prepared to throw down some cash. The Commodities Futures Trading Commission just gave the “green light” to two companies, including Cantor Fitzgerald, that are seeking to establish futures trading on box-office performance. But hold on a minute says some in the industry, this may help reduce the financial risk associated with marketing and releasing these films but what about the obvious potential for conflicts of interest and insider trading? That has some lawmakers and industry heavyweights concerned including the MPAA (representing 20th Century Fox, Paramount Pictures, Sony Pictures Entertainment, Universal Studios and Disney Studios), the DGA, the International Alliance of Theatrical State Employees and the Independent Film and Television Alliance. So, what’s the likelihood of this moving forward? Want to bet?
Bob Pisano, president and interim CEO, MPAA