Precious Metal Derivatives - Russia

Russia

The nominal value in the Precious Metal Derivatives market is projected to reach US$185.60bn in 2024.
It is expected to show an annual growth rate (CAGR 2024-2029) of 0.85% resulting in a projected total amount of US$193.60bn by 2029.
The average price per contract in the Precious Metal Derivatives market amounts to US$0.06 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 4.44m by 2029.

Market

Region

Region comparison

Currency

Analyst Opinion

The Precious Metal Derivatives market in Russia is experiencing a notable surge in activity and interest.

Customer preferences: Investors in Russia are increasingly turning to Precious Metal Derivatives as a way to diversify their portfolios and hedge against market volatility. The allure of potential high returns coupled with the ability to trade these derivatives easily on various platforms is driving more customers to participate in this market.

Trends in the market: One prominent trend in the Precious Metal Derivatives market in Russia is the growing demand for gold and silver derivatives. These two metals have always been popular choices for investors seeking safe-haven assets, especially during times of economic uncertainty. As geopolitical tensions rise and inflation concerns persist, the appeal of gold and silver derivatives continues to strengthen in the Russian market.

Local special circumstances: Russia's rich history of mining and trading precious metals plays a significant role in shaping the Precious Metal Derivatives market in the country. The presence of major mining companies and the government's focus on developing the mining sector contribute to a deep-rooted interest in precious metal investments among Russian investors. Additionally, the cultural affinity towards gold as a symbol of wealth and prosperity further drives the demand for gold derivatives in the market.

Underlying macroeconomic factors: The performance of the Russian economy, global geopolitical events, and fluctuations in currency exchange rates all influence the Precious Metal Derivatives market in Russia. Economic indicators such as GDP growth, inflation rates, and interest rates play a crucial role in shaping investor sentiment and decision-making regarding precious metal investments. Moreover, government policies and regulations regarding the derivatives market also impact the overall dynamics of precious metal trading in Russia.

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.