Industry Metal Derivatives - Netherlands

Netherlands

Highlights

The nominal value in the Industry Metal Derivatives market is projected to reach US$363.90bn in 2024.
It is expected to show an annual growth rate (CAGR 2024-2029) of 5.45% resulting in a projected total amount of US$474.50bn by 2029.
The average price per contract in the Industry Metal Derivatives market amounts to US$0.88 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 432.90k by 2029.

Market definitionIn-Scope/Out-of-scopeMarket structureReportsMethodology

The Industry Metal Derivatives market in Netherlands is experiencing a significant growth trajectory driven by various factors.

Customer preferences: Investors in the Netherlands are increasingly turning to metal derivatives as a way to diversify their portfolios and hedge against market volatility. The ease of trading these financial instruments and the potential for high returns are attracting both institutional and retail investors.

Trends in the market: One of the key trends in the metal derivatives market in the Netherlands is the growing demand for precious metals such as gold and silver. These commodities are seen as safe-haven assets during times of economic uncertainty, prompting investors to flock to them. Additionally, there is a rising interest in industrial metals like copper, driven by the country's focus on sustainable energy solutions and infrastructure development.

Local special circumstances: The Netherlands, being a major player in the global trade and logistics industry, has a strong demand for metal derivatives for hedging purposes. The country's strategic location and well-developed financial infrastructure make it an attractive hub for trading these instruments. Moreover, the Dutch government's initiatives to promote sustainable practices are influencing the preferences of investors towards environmentally friendly metals.

Underlying macroeconomic factors: The stable economic growth and low-interest rates in the Netherlands are fueling the demand for metal derivatives as investors seek higher returns in the financial markets. Additionally, the country's strong regulatory framework and transparent market practices provide a sense of security for market participants, further boosting the growth of the metal derivatives market.

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.