Intangible Assets and IP Rights: Do They Matter for Valuation and Success?
Intangible assets, comprised mostly of IP, represent 85% or more of the value of S&P 500 companies. Still, IP typically escapes the balance sheet. How can IP be so valuable but business leaders and investors know so little? How can it still escape the balance sheet in 2021?
Developing better methods of understanding the role of IP and IP rights – whether the IP is patents, copyrights, trade secrets or trademarks – will enhance value and provide opportunity for large corporations, SMEs, investors and independent holders. But for those in the industry this can feel often feel like preaching to the choir.
This panel will discuss the role of intangible assets, particularly IP rights, as a driver of business value, as a vehicle for financing, and as informative for investor decision making. Among other things, the panel will discuss:
- Why does IP typically not show up on the corporate balance sheet and should it?
- What types of investments are available to companies that own valuable IP, and is litigation finance the only option?
- Why does the traditional investment community often have difficulty understanding the value proposition of IP?
- Will IP play a more important role in corporate valuations in the post-pandemic world?
- Does IP make a difference in the valuation and success of SMEs? Large corporations?
- Do investors who invest in companies with solid IP portfolios see better returns on investment?
- Does investing in companies with strong portfolios represent a good hedge on risk?