Energy Product Derivatives - Equatorial Guinea

Equatorial Guinea

The nominal value in the Energy Product Derivatives market is projected to reach US$8.38bn in 2024.
It is expected to show an annual growth rate (CAGR 2024-2029) of 5.76% resulting in a projected total amount of US$11.09bn by 2029.
The average price per contract in the Energy Product Derivatives market amounts to US$0.26 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 35.78k by 2029.

Market

Region

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Analyst Opinion

The Energy Product Derivatives market in Equatorial Guinea reflects the country's growing interest in financial instruments related to energy products. Customer preferences in Equatorial Guinea are shifting towards Energy Product Derivatives as investors seek to diversify their portfolios and hedge against market volatility.

This trend is in line with global market behavior where investors are increasingly turning to derivatives for risk management and speculative purposes. In the Equatorial Guinea market, there is a noticeable trend towards increased trading volumes and liquidity in Energy Product Derivatives. This can be attributed to a growing awareness among investors about the benefits of derivatives, such as leverage and the ability to profit from both rising and falling prices in the energy sector.

Local special circumstances in Equatorial Guinea, such as the country's heavy reliance on oil and gas exports, play a significant role in driving the demand for Energy Product Derivatives. As a major oil producer in the region, Equatorial Guinea's economy is closely tied to the fluctuations in global energy prices. Therefore, market participants in the country are keen on using derivatives to manage their exposure to price movements in the energy market.

Underlying macroeconomic factors, such as regulatory developments and geopolitical risks, also influence the Energy Product Derivatives market in Equatorial Guinea. Regulatory changes aimed at increasing transparency and stability in the financial markets can boost investor confidence in derivatives trading. Moreover, geopolitical tensions or supply disruptions in the energy sector can lead to increased demand for derivatives as market participants seek to protect their portfolios from unforeseen events.

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.