Global Intangible Finance Tracker (GIFT™) 2018
Brand Finance Global Intangible Finance Tracker (GIFT™) 2018
Global intangible value has surpassed US$50 trillion for the first time in history, reaching US$57.3 trillion at the beginning of the current financial year, according to the latest Brand Finance Global Intangible Finance Tracker (GIFT™). This constitutes 52% of the overall enterprise value of all publicly traded companies worldwide, which now amounts to an equally record-breaking US$109.3 trillion, exceeding the US$100 trillion mark also for the first time.
Insufficient reporting of intangible assets leads to a host of problems for analysts, investors, boards, and stakeholders. With little information on particular assets, analysts’ assessments are not as accurate, forcing investors to act with one eye closed. This, in turn, has negative effects on share price volatility, affecting the stability and sustainability of finance. Equally, the lack of granular information on the true value of assets leaves boards and shareholders prone to hostile takeovers or selling and licencing individual assets below competitive prices.
David Haigh, CEO of Brand Finance