Energy Product Derivatives - Armenia

Armenia

The nominal value in the Energy Product Derivatives market is projected to reach US$11.26bn in 2024.
It is expected to show an annual growth rate (CAGR 2024-2029) of 7.00% resulting in a projected total amount of US$15.79bn by 2029.
The average price per contract in the Energy Product Derivatives market amounts to US$0.31 in 2024.
From a global comparison perspective it is shown that the highest nominal value is reached in the United States (US$26,910.00bn in 2024).
In the Energy Product Derivatives market, the number of contracts is expected to amount to 40.45k by 2029.

Market

Region

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Analyst Opinion

Armenia, a country known for its rich cultural heritage and stunning landscapes, is also witnessing interesting developments in the Energy Product Derivatives market.

Customer preferences: In Armenia, customers in the Energy Product Derivatives market are showing a growing interest in diversifying their investment portfolios. They are increasingly looking for alternative investment options that can provide higher returns compared to traditional financial instruments.

Trends in the market: One of the noticeable trends in the Energy Product Derivatives market in Armenia is the increasing adoption of risk management strategies by both individual and institutional investors. This trend is driven by the desire to hedge against potential losses and mitigate risks associated with price fluctuations in the energy market.

Local special circumstances: Armenia's energy sector plays a crucial role in the country's economy, with a significant focus on renewable energy sources. This emphasis on renewable energy is influencing the Energy Product Derivatives market in Armenia, with a growing demand for derivatives linked to green energy products.

Underlying macroeconomic factors: The macroeconomic landscape in Armenia, including factors such as inflation rates, interest rates, and overall economic growth, plays a pivotal role in shaping the Energy Product Derivatives market. As the country continues to navigate economic challenges and strive for stability, investors in Armenia are increasingly turning to derivatives as a way to manage risks and capitalize on market opportunities.

Methodology

Data coverage:

Figures are based on commodity derivatives, their notional value, the number of contracts traded, the open interest (outstanding contracts at the end of a year), and the average value of a contract.

Modeling approach / Market size:

Market sizes are determined by a Bottom-Up approach, based on a specific rationale for each market segment. As a basis for evaluating markets, we use market research & analysis, and data of World Bank, as well as the World Federation of Exchanges. Furthermore, we use relevant key market indicators and data from country-specific associations and national data bureaus such as GDP, wealth per capita, and the online banking penetration rate. This data helps us to estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the particular market. In this market, we use the HOLT-damped Trend method to forecast future development. The main drivers are GDP per capita an the online banking penetration rate.

Additional Notes:

The market is updated twice per year in case market dynamics change.