Precious Metal Derivatives - Finland

Finland

The nominal value in the Precious Metal Derivatives market is projected to reach US$38.30bn in 2024.
It is expected to show an annual growth rate (CAGR 2024-2029) of 1.91% resulting in a projected total amount of US$42.11bn by 2029.
The average price per contract in the Precious Metal Derivatives market amounts to US$0.16 in 2024.
From a global comparison perspective it is shown that the highest nominal value is reached in the United States (US$11,920.00bn in 2024).
In the Precious Metal Derivatives market, the number of contracts is expected to amount to 263.50k by 2029.

Market

Region

Region comparison

Currency

Analyst Opinion

The Precious Metal Derivatives market in Finland is experiencing a shift driven by changing customer preferences, market trends, local special circumstances, and underlying macroeconomic factors.

Customer preferences: Investors in Finland are increasingly turning to Precious Metal Derivatives as a way to diversify their portfolios and hedge against market volatility. The appeal of these derivatives lies in their ability to provide exposure to the price movements of precious metals without the need for physical ownership.

Trends in the market: One notable trend in the Finnish Precious Metal Derivatives market is the growing popularity of gold and silver derivatives. Investors view these metals as safe-haven assets during times of economic uncertainty, leading to an increased demand for related derivatives. Additionally, the rise of online trading platforms has made it easier for retail investors to access and trade these derivatives.

Local special circumstances: Finland's stable economic environment and strong regulatory framework make it an attractive market for investors looking to trade Precious Metal Derivatives. The country's well-developed financial infrastructure and high level of investor protection contribute to the growing interest in these instruments.

Underlying macroeconomic factors: The global economic landscape, including factors such as inflation rates, interest rates, and geopolitical tensions, plays a significant role in shaping the Precious Metal Derivatives market in Finland. As investors seek ways to protect their wealth and mitigate risks, the demand for these derivatives is expected to continue to grow in response to changing macroeconomic conditions.

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.