Industry Metal Derivatives - Japan

Japan

Highlights

The nominal value in the Industry Metal Derivatives market is projected to reach US$6.56bn in 2024.
It is expected to show an annual growth rate (CAGR 2024-2029) of 4.00% resulting in a projected total amount of US$7.98bn by 2029.
The average price per contract in the Industry Metal Derivatives market amounts to US$0.01 in 2024.
From a global comparison perspective it is shown that the highest nominal value is reached China (US$2.83tn in 2024).
In the Industry Metal Derivatives market, the number of contracts is expected to amount to 989.40k by 2029.

Market definitionIn-Scope/Out-of-scopeMarket structureReportsMethodology

In Japan, the Metal Derivatives market is experiencing a significant uptrend in recent years. Customer preferences in the Metal Derivatives market in Japan are shifting towards more diversified investment portfolios, with a growing interest in alternative investment options like metal derivatives.

Investors are increasingly looking for ways to hedge against market volatility and diversify their risk exposure, driving the demand for metal derivatives in the country. Trends in the market show a notable increase in the trading volume of metal derivatives in Japan, indicating a growing interest from both institutional and retail investors. This trend is further fueled by the development of advanced trading platforms and increased accessibility to global metal derivative markets.

Local special circumstances in Japan, such as the country's strong manufacturing sector and technological advancements, play a crucial role in shaping the Metal Derivatives market. The demand for metals in various industries like automotive, electronics, and construction drives the need for effective risk management tools like metal derivatives, creating a conducive environment for market growth. Underlying macroeconomic factors, such as Japan's position as a major global exporter of manufactured goods and its stable economic growth, provide a solid foundation for the development of the Metal Derivatives market.

The country's robust regulatory framework and focus on investor protection also contribute to the overall confidence in the market, attracting both domestic and international investors to participate in metal derivative trading activities.

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.