Energy Product Derivatives - G7

The nominal value in the Energy Product Derivatives market is projected to reach US$32.49tn in 2024.
It is expected to show an annual growth rate (CAGR 2024-2029) of 2.00% resulting in a projected total amount of US$35.87tn by 2029.
The average price per contract in the Energy Product Derivatives market amounts to US$0.07 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 440.50m by 2029.

Market

Region

Region comparison

Currency

Analyst Opinion

The Energy Product Derivatives market in G7 countries is experiencing significant growth and evolution. Customer preferences are shifting towards more diverse investment options, driving the demand for Energy Product Derivatives.

Investors are increasingly looking for ways to hedge against volatility in energy prices and diversify their portfolios, making these derivatives an attractive choice. Trends in the market show a growing interest in renewable energy derivatives, reflecting the global push towards sustainable and clean energy sources. G7 countries are leading the way in renewable energy adoption, influencing the demand for related derivatives in the market.

Local special circumstances, such as government regulations and policies promoting energy transition and sustainability, are shaping the Energy Product Derivatives market in G7 countries. These circumstances create opportunities for investors to participate in the energy transition through derivative products. Underlying macroeconomic factors, including geopolitical tensions impacting energy markets and technological advancements in the energy sector, are driving the development of the Energy Product Derivatives market in G7 countries.

These factors contribute to the overall growth and dynamism of the market, attracting both institutional and retail investors looking to capitalize on these 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.