Market Overview:
The global derivatives market is expected to grow from USD 5.06 trillion in 2018 to USD 10.53 trillion by 2030, at a CAGR of 9.5% from 2018 to 2030. The growth of the global derivatives market can be attributed to the increase in the use of derivatives for hedging and speculative arbitrage purposes across regions. In addition, the growth of the global derivatives market is also propelled by the increasing demand for risk management solutions and technological advancements in derivative products.
Product Definition:
Derivatives are a type of financial contract that derives its value from the performance of an underlying asset or group of assets. The most common type of derivative is a futures contract, which specifies the terms by which two parties agree to buy or sell an asset at a future date.
The use of derivatives can be incredibly important in managing risk exposure for businesses and investors. For example, if a business has concerns about how movements in commodity prices could impact its profits, it may purchase derivatives that will protect it from large price swings. Similarly, investors who are worried about stock market volatility may use derivatives to limit their losses if the markets take a turn for the worse.
Financial:
Financial derivatives are instruments whose value is derived from the performance of an underlying asset. They can be categorized into two types depending on whether or not they are traded: those that are actively traded and those that are not actively traded. The most common financial derivative is a forward contract, which involves two parties - a buyer (borrower) and a seller ( lender).
Commodity:
Commodity is an asset or a good that is considered to be owned by an individual or a company. It can be any tangible or intangible item of economic value that serves as a unit of account and can be traded in the market. The main function of commodity in derivatives trading is to provide stability during volatile times by reducing the impact on prices caused due to factors such as news, expectations, and supply & demand.
Application Insights:
Hedging accounted for the largest market share in terms of application and generated a revenue of USD 1,176.5 million in 2017. The growth can be attributed to the increasing use of derivatives to manage exposure to fluctuations in exchange rates, interest rates, equity prices and commodity prices among other risks. Derivatives are widely used by companies and organizations that have significant foreign currency risk on their balance sheets or require protection against inflation.
The growing use of derivatives by companies & organizations for speculative purposes such as arbitrage trading is expected to drive the product demand over the forecast period. Speculative derivative products such as futures contracts or options provide leverage with lower capital requirements than traditional forms of investing due to short-term nature of these instruments which makes them ideal for high-risk/high-reward investments particularly those involving political risks or environmental hazards associated with global markets including volatility, interest rate changes etc.
Regional Analysis:
Europe accounted for the largest market share in 2017 and is expected to continue its dominance over the forecast period. The European derivatives market has been regulated by several regulatory bodies, such as MiFID, CFTC, ESMA and others. Derivatives are widely used across various asset classes including equities, fixed income instruments and commodities to manage risk efficiently. MiFID stands for Markets in Financial Instruments Directive which was introduced in Europe with a view to ensure transparency of financial instruments and protect investors from undisclosed risks associated with derivatives transactions.
The Asia Pacific is anticipated to be one of the fastest-growing regions during the forecast period owing to increasing demand from retail investors coupled with growing awareness about derivative products among retail customers.
Growth Factors:
- Increasing demand from investors for risk management and hedging products
- Rising popularity of exchange-traded derivatives products
- Greater use of derivatives by corporations to manage their business risks
- Development of new derivative products in response to changing market conditions
- Expansion of the global derivatives market into new geographic regions
Scope Of The Report
Report Attributes
Report Details
Report Title
Derivatives Market Research Report
By Type
Financial, Commodity
By Application
Hedging, Speculative Arbitrage
By Companies
Goldman Sachs, Deutsche Bank, Citi, J.P. Morgan, Morgan Stanley, Bank of America, Credit Suisse, Nomura, ANZ, BNP Paribas, Wells Fargo, Truist, Societe Generale, Yongan Futures, CITIC Securities, GTJA, Haitong Futures, Ruida Futures
Regions Covered
North America, Europe, APAC, Latin America, MEA
Base Year
2021
Historical Year
2019 to 2020 (Data from 2010 can be provided as per availability)
Forecast Year
2030
Number of Pages
160
Number of Tables & Figures
112
Customization Available
Yes, the report can be customized as per your need.
Global Derivatives Market Report Segments:
The global Derivatives market is segmented on the basis of:
Types
Financial, Commodity
The product segment provides information about the market share of each product and the respective CAGR during the forecast period. It lays out information about the product pricing parameters, trends, and profits that provides in-depth insights of the market. Furthermore, it discusses latest product developments & innovation in the market.
Applications
Hedging, Speculative Arbitrage
The application segment fragments various applications of the product and provides information on the market share and growth rate of each application segment. It discusses the potential future applications of the products and driving and restraining factors of each application segment.
Some of the companies that are profiled in this report are:
- Goldman Sachs
- Deutsche Bank
- Citi
- J.P. Morgan
- Morgan Stanley
- Bank of America
- Credit Suisse
- Nomura
- ANZ
- BNP Paribas
- Wells Fargo
- Truist
- Societe Generale
- Yongan Futures
- CITIC Securities
- GTJA
- Haitong Futures
- Ruida Futures
Highlights of The Derivatives Market Report:
- The market structure and projections for the coming years.
- Drivers, restraints, opportunities, and current trends of market.
- Historical data and forecast.
- Estimations for the forecast period 2030.
- Developments and trends in the market.
- By Type:
- Financial
- Commodity
- By Application:
- Hedging
- Speculative Arbitrage
- Market scenario by region, sub-region, and country.
- Market share of the market players, company profiles, product specifications, SWOT analysis, and competitive landscape.
- Analysis regarding upstream raw materials, downstream demand, and current market dynamics.
- Government Policies, Macro & Micro economic factors are also included in the report.
We have studied the Derivatives Market in 360 degrees via. both primary & secondary research methodologies. This helped us in building an understanding of the current market dynamics, supply-demand gap, pricing trends, product preferences, consumer patterns & so on. The findings were further validated through primary research with industry experts & opinion leaders across countries. The data is further compiled & validated through various market estimation & data validation methodologies. Further, we also have our in-house data forecasting model to predict market growth up to 2030.
Regional Analysis
- North America
- Europe
- Asia Pacific
- Middle East & Africa
- Latin America
Note: A country of choice can be added in the report at no extra cost. If more than one country needs to be added, the research quote will vary accordingly.
The geographical analysis part of the report provides information about the product sales in terms of volume and revenue in regions. It lays out potential opportunities for the new entrants, emerging players, and major players in the region. The regional analysis is done after considering the socio-economic factors and government regulations of the countries in the regions.
How you may use our products:
- Correctly Positioning New Products
- Market Entry Strategies
- Business Expansion Strategies
- Consumer Insights
- Understanding Competition Scenario
- Product & Brand Management
- Channel & Customer Management
- Identifying Appropriate Advertising Appeals
8 Reasons to Buy This Report
- Includes a Chapter on the Impact of COVID-19 Pandemic On the Market
- Report Prepared After Conducting Interviews with Industry Experts & Top Designates of the Companies in the Market
- Implemented Robust Methodology to Prepare the Report
- Includes Graphs, Statistics, Flowcharts, and Infographics to Save Time
- Industry Growth Insights Provides 24/5 Assistance Regarding the Doubts in the Report
- Provides Information About the Top-winning Strategies Implemented by Industry Players.
- In-depth Insights On the Market Drivers, Restraints, Opportunities, and Threats
- Customization of the Report Available
Frequently Asked Questions?
Derivatives are financial contracts that derive their value from an underlying security or commodity. They can be traded on exchanges and provide investors with a way to speculate on the price of the underlying asset.
Some of the key players operating in the derivatives market are Goldman Sachs, Deutsche Bank, Citi, J.P. Morgan, Morgan Stanley, Bank of America, Credit Suisse, Nomura, ANZ, BNP Paribas, Wells Fargo, Truist, Societe Generale, Yongan Futures, CITIC Securities, GTJA, Haitong Futures, Ruida Futures.
The derivatives market is expected to grow at a compound annual growth rate of 9.5%.
Chapter 1 Executive Summary
Chapter 2 Assumptions and Acronyms Used
Chapter 3 Research Methodology
Chapter 4 Derivatives Market Overview
4.1 Introduction
4.1.1 Market Taxonomy
4.1.2 Market Definition
4.1.3 Macro-Economic Factors Impacting the Market Growth
4.2 Derivatives Market Dynamics
4.2.1 Market Drivers
4.2.2 Market Restraints
4.2.3 Market Opportunity
4.3 Derivatives Market - Supply Chain Analysis
4.3.1 List of Key Suppliers
4.3.2 List of Key Distributors
4.3.3 List of Key Consumers
4.4 Key Forces Shaping the Derivatives Market
4.4.1 Bargaining Power of Suppliers
4.4.2 Bargaining Power of Buyers
4.4.3 Threat of Substitution
4.4.4 Threat of New Entrants
4.4.5 Competitive Rivalry
4.5 Global Derivatives Market Size & Forecast, 2020-2028
4.5.1 Derivatives Market Size and Y-o-Y Growth
4.5.2 Derivatives Market Absolute $ Opportunity
Chapter 5 Global Market Analysis and Forecast by Type
5.1 Introduction
5.1.1 Key Market Trends & Growth Opportunities by Type
5.1.2 Basis Point Share (BPS) Analysis by Type
5.1.3 Absolute $ Opportunity Assessment by Type
5.2 Market Size Forecast by Type
5.2.1 Financial
5.2.2 Commodity
5.3 Market Attractiveness Analysis by Type
Chapter 6 Global Market Analysis and Forecast by Applications
6.1 Introduction
6.1.1 Key Market Trends & Growth Opportunities by Applications
6.1.2 Basis Point Share (BPS) Analysis by Applications
6.1.3 Absolute $ Opportunity Assessment by Applications
6.2 Market Size Forecast by Applications
6.2.1 Hedging
6.2.2 Speculative Arbitrage
6.3 Market Attractiveness Analysis by Applications
Chapter 7 Global Derivatives Market Analysis and Forecast by Region
7.1 Introduction
7.1.1 Key Market Trends & Growth Opportunities by Region
7.1.2 Basis Point Share (BPS) Analysis by Region
7.1.3 Absolute $ Opportunity Assessment by Region
7.2 Derivatives Market Size Forecast by Region
7.2.1 North America
7.2.2 Europe
7.2.3 Asia Pacific
7.2.4 Latin America
7.2.5 Middle East & Africa (MEA)
7.3 Market Attractiveness Analysis by Region
Chapter 8 Coronavirus Disease (COVID-19) Impact
8.1 Introduction
8.2 Current & Future Impact Analysis
8.3 Economic Impact Analysis
8.4 Government Policies
8.5 Investment Scenario
Chapter 9 North America Analysis and Forecast
9.1 Introduction
9.2 North America Market Size Forecast by Country
9.2.1 U.S.
9.2.2 Canada
9.3 Basis Point Share (BPS) Analysis by Country
9.4 Absolute $ Opportunity Assessment by Country
9.5 Market Attractiveness Analysis by Country
9.6 North America Market Size Forecast by Type
9.6.1 Financial
9.6.2 Commodity
9.7 Basis Point Share (BPS) Analysis by Type
9.8 Absolute $ Opportunity Assessment by Type
9.9 Market Attractiveness Analysis by Type
9.10 North America Market Size Forecast by Applications
9.10.1 Hedging
9.10.2 Speculative Arbitrage
9.11 Basis Point Share (BPS) Analysis by Applications
9.12 Absolute $ Opportunity Assessment by Applications
9.13 Market Attractiveness Analysis by Applications
Chapter 10 Europe Analysis and Forecast
10.1 Introduction
10.2 Europe Market Size Forecast by Country
10.2.1 Germany
10.2.2 France
10.2.3 Italy
10.2.4 U.K.
10.2.5 Spain
10.2.6 Russia
10.2.7 Rest of Europe
10.3 Basis Point Share (BPS) Analysis by Country
10.4 Absolute $ Opportunity Assessment by Country
10.5 Market Attractiveness Analysis by Country
10.6 Europe Market Size Forecast by Type
10.6.1 Financial
10.6.2 Commodity
10.7 Basis Point Share (BPS) Analysis by Type
10.8 Absolute $ Opportunity Assessment by Type
10.9 Market Attractiveness Analysis by Type
10.10 Europe Market Size Forecast by Applications
10.10.1 Hedging
10.10.2 Speculative Arbitrage
10.11 Basis Point Share (BPS) Analysis by Applications
10.12 Absolute $ Opportunity Assessment by Applications
10.13 Market Attractiveness Analysis by Applications
Chapter 11 Asia Pacific Analysis and Forecast
11.1 Introduction
11.2 Asia Pacific Market Size Forecast by Country
11.2.1 China
11.2.2 Japan
11.2.3 South Korea
11.2.4 India
11.2.5 Australia
11.2.6 South East Asia (SEA)
11.2.7 Rest of Asia Pacific (APAC)
11.3 Basis Point Share (BPS) Analysis by Country
11.4 Absolute $ Opportunity Assessment by Country
11.5 Market Attractiveness Analysis by Country
11.6 Asia Pacific Market Size Forecast by Type
11.6.1 Financial
11.6.2 Commodity
11.7 Basis Point Share (BPS) Analysis by Type
11.8 Absolute $ Opportunity Assessment by Type
11.9 Market Attractiveness Analysis by Type
11.10 Asia Pacific Market Size Forecast by Applications
11.10.1 Hedging
11.10.2 Speculative Arbitrage
11.11 Basis Point Share (BPS) Analysis by Applications
11.12 Absolute $ Opportunity Assessment by Applications
11.13 Market Attractiveness Analysis by Applications
Chapter 12 Latin America Analysis and Forecast
12.1 Introduction
12.2 Latin America Market Size Forecast by Country
12.2.1 Brazil
12.2.2 Mexico
12.2.3 Rest of Latin America (LATAM)
12.3 Basis Point Share (BPS) Analysis by Country
12.4 Absolute $ Opportunity Assessment by Country
12.5 Market Attractiveness Analysis by Country
12.6 Latin America Market Size Forecast by Type
12.6.1 Financial
12.6.2 Commodity
12.7 Basis Point Share (BPS) Analysis by Type
12.8 Absolute $ Opportunity Assessment by Type
12.9 Market Attractiveness Analysis by Type
12.10 Latin America Market Size Forecast by Applications
12.10.1 Hedging
12.10.2 Speculative Arbitrage
12.11 Basis Point Share (BPS) Analysis by Applications
12.12 Absolute $ Opportunity Assessment by Applications
12.13 Market Attractiveness Analysis by Applications
Chapter 13 Middle East & Africa (MEA) Analysis and Forecast
13.1 Introduction
13.2 Middle East & Africa (MEA) Market Size Forecast by Country
13.2.1 Saudi Arabia
13.2.2 South Africa
13.2.3 UAE
13.2.4 Rest of Middle East & Africa (MEA)
13.3 Basis Point Share (BPS) Analysis by Country
13.4 Absolute $ Opportunity Assessment by Country
13.5 Market Attractiveness Analysis by Country
13.6 Middle East & Africa (MEA) Market Size Forecast by Type
13.6.1 Financial
13.6.2 Commodity
13.7 Basis Point Share (BPS) Analysis by Type
13.8 Absolute $ Opportunity Assessment by Type
13.9 Market Attractiveness Analysis by Type
13.10 Middle East & Africa (MEA) Market Size Forecast by Applications
13.10.1 Hedging
13.10.2 Speculative Arbitrage
13.11 Basis Point Share (BPS) Analysis by Applications
13.12 Absolute $ Opportunity Assessment by Applications
13.13 Market Attractiveness Analysis by Applications
Chapter 14 Competition Landscape
14.1 Derivatives Market: Competitive Dashboard
14.2 Global Derivatives Market: Market Share Analysis, 2019
14.3 Company Profiles (Details – Overview, Financials, Developments, Strategy)
14.3.1 Goldman Sachs
14.3.2 Deutsche Bank
14.3.3 Citi
14.3.4 J.P. Morgan
14.3.5 Morgan Stanley
14.3.6 Bank of America
14.3.7 Credit Suisse
14.3.8 Nomura
14.3.9 ANZ
14.3.10 BNP Paribas
14.3.11 Wells Fargo
14.3.12 Truist
14.3.13 Societe Generale
14.3.14 Yongan Futures
14.3.15 CITIC Securities
14.3.16 GTJA
14.3.17 Haitong Futures
14.3.18 Ruida Futures
