Q&A with Ittai Ben-Zeev, CEO, Tel Aviv Stock Exchange (TASE)

In 2024, Israel experienced a war on multiple fronts. How did TASE navigate the challenge? 

TASE has demonstrated remarkable resilience, maintaining its vital role in the Israeli economy following the 7th October attack and throughout the most difficult period ever experienced by the State of Israel. Our readiness to act in an emergency enabled us to carry on trading in a full and normal manner from day one and to continue to do so. As the war evolved, TASE has served as a crucial hub for raising equity and debt for public companies and for the Israeli Government. The resilience of Israel's civil society and its economy, backed by strong fundamentals, has enabled us to manage these challenges effectively and emerge stronger. 

How did the current challenges affect the performance of TASE in the past year?  

After stuttering during the first half of 2024, TASE's performance strengthened significantly in the second half. Our leading indices rose significantly in 2024 relative to all global benchmarks, including the US indices. We also saw a 10 percent increase in equity-trading volumes, with the market cap of TASE-listed companies growing to NIS 1.2 trillion. Bond trading volumes grew by 13 percent, with daily turnover averaging NIS 4.4 billion. The Government of Israel successfully raised over NIS 180 billion, demonstrating market confidence despite the downgrading of Israel's credit rating.  

According to recent reports, TASE is planning a significant shift to a Monday through Friday trading week, in place of the current Sunday through Thursday. What can you tell us about this move? 

Indeed. This initiative by TASE, the Israel Securities Authority (ISA) and the Bank of Israel is a strategic move that reflects our commitment to aligning our capital market with global trading standards. Bringing the trading days of the Tel Aviv Stock Exchange into line with most of the world's stock exchanges will remove barriers for international investors. I believe that the move will make TASE more accessible to global investors, thereby benefiting the Israeli economy and Israeli companies. We plan to make the shift to a Monday through Friday trading week at the beginning of January 2026.  

Do global investors view Israel as an investment opportunity? 

International investors have responded positively to the resilience demonstrated by Israel's civil society and business community. This has been reflected in the rise in TASE’s indices over the past year and the strength of the shekel, despite the ongoing military actions in the region. We've seen renewed foreign investor interest, with significant net equity purchases on TASE of NIS 4 billion since July 2024. Also, the new administration in the US is expected to lead to additional diplomatic arrangements, which I believe will attract significant investments to Israel - in real assets and in financial assets. Israel’s current strategic position is much better than before the war, and I believe that global investors realise that and appreciate the growth potential of the Israeli capital market. In recent years, as part of our strategic plan, we have implemented measures to encourage the activity of new trading entities. As a result, several international traders, including international brokerage firms, liquidity providers and algo traders, have joined TASE as members and are now active participants on the exchange. I expect this trend to continue.  

Your strategic plan addressed, among others, the enhancement of liquidity and the development of TASE’s data products. What can you tell us about that?  

Our plan in recent years has been aimed at strengthening our business activity. In the trading segment, in 2024, we launched a Block Trade Facility for the pre-arranged and protected execution of large-scale transactions, which will be published instantaneously in a transparent and accessible manner on our systems - in line with global standards. We have also developed an advanced over-the-counter (OTC) trading platform designed to meet international investors' needs and to conform with international standards. To enhance market liquidity, we've implemented comprehensive market-making reform across all TASE-traded securities, complementing our previous initiatives such as the TASE indices reform. 

We have also achieved significant continuous growth in connectivity products designed with international investors in mind. In this sphere, we have expanded our operations to Frankfurt, supplementing our connectivity centre in London, which has been active for several years. We are also developing our data products, particularly those designed for the B2B market and we have recently developed "TASE Insight", a specialised analytical product for listed companies. Our index development efforts are growing. Over the past year we have developed tailor-made indices for ETF issuers under exclusivity contracts, thereby providing investors with a broader range of investment opportunities. 

One of our most exciting initiatives has been the launch of TASE+, a mock-portfolio system developed in partnership with leading fintech companies. This platform, for the first time, offers public, comprehensive data and extensive information in Hebrew on locally and internationally listed securities. We're particularly pleased with its reception, as nearly 30,000 retail users have established investment portfolios on the platform. 

What is your outlook for 2025? 

The Israeli economy will continue to strengthen and the stock market will maintain its important role as a platform for raising debt to finance the continued development of the State of Israel. We will continue to develop new and diverse products for the benefit of investors, and to invest in technology and innovation. At the end of a difficult and challenging year for the State of Israel and for Israeli society, we look to the future with hope. 

We see foreign investors returning to the market and we will continue to encourage foreign investment in the Israeli economy. Our hope is that all the hostages will return home safely soon. When this happens and when diplomatic arrangements are reached, it will mark a significant milestone in the national recovery and may increase international investment in the Israeli economy. 

(Photographer: Nicky Westphal)