Core Insights - Thematic ETFs, particularly the MUSQ Global Music Industry Index ETF, are gaining attention as a potential growth component for investors' portfolios, allowing them to incorporate personal interests like music into their investment strategies [1][2] Industry Overview - The music industry is projected to grow significantly, with Goldman Sachs forecasting it could reach $200 billion in 10 years, nearly doubling from its 2024 valuation of $105 billion [3] - Despite challenges in 2024, analysts believe the industry has substantial potential for value increase, driven by both legacy revenue sources and new revenue streams from streaming and evolving monetization models [4] Revenue Drivers - Music streaming is expected to be a primary revenue driver, with average monthly spending on music subscriptions at $14, significantly lower than the $69 for streaming video services [5] - Emerging markets are anticipated to show the strongest subscription growth, with their share of subscribers projected to increase from 8% to 14% over the next decade [6] AI Impact - The music industry is currently experiencing a muted response to AI, which has raised concerns about its potential to disrupt traditional music creation and distribution [7][8] - Collaboration between music publishers and platforms is being observed to protect artists' interests amid AI developments [9] Fund Performance - The MUSQ ETF has outperformed both the S&P 500 and Nasdaq 100 this year, demonstrating that passion-driven investments can yield significant returns [9][10] - The fund provides access to major players in the music industry, including Live Nation Entertainment, Spotify, Universal Music Group, and Tencent Music, through the MUSQ Global Music Industry Index [10]