Over the past year, despite the war and the many challenges facing the economy, the Tel Aviv Stock Exchange (TASE) has managed to demonstrate impressive resilience. This has been reflected in new records and unprecedented returns in the flagship indices, the likes of which have not been seen in two decades.
The main leading the TASE to new peaks in recent years is Itai Ben-Zeev, who has served as its CEO since 2017. Speaking to Globes capital market editor Shai Shalev at the Globes Israel Business Conference, Ben Zeev discussed the ongoing improvement in the TASE performance and provided an optimistic forecast for the future.
“It’s not right to call it a renaissance,” Ben Ze’ev insited, when asked if he was surprised by the jump in the indices. “When you analyze the Israeli economy, you see good data on all levels, and when you look at our performance, there is no country that has been able to function the way Israel has and the way its citizens have behaved. Ultimately, the stock market is the home of the Israeli economy, and when the economy does well, it should also be reflected in the performance of the companies that are traded on the stock market.”
“We must remember that 2023 also opened with a bang with all the judicial issues and a lot of money fled Israel, partly encouraged by parts of the Israeli media. So, some of the gains we see today are part of the return of these funds. A second point is the issue of young people, who, like in the US, want to take responsibility for their lives, and we see this in the numbers.
“If 6 years ago the weight of private traders was about 5%, in 2024 it doubled to 11%. However, if we compare them to other markets, it is still a relatively low figure. Therefore, I think that together with the funds that are in the public’s hands, there is still room for a lot of money to enter the stock market.”
Ben-Zeev says that in addition to these figures, growth in the past 18 months has also been affected by the decline in Israel’s risk premium. “When examining a company, we always look at extreme situations, and we in Israel as a company, have gone through all the extreme scenarios and emerged from them strengthened. Israel’s geopolitical situation has improved and given a boost to the market, by local and foreign investors, who returned to invest in Israel because the picture began to clear up thanks to the military successes.”
Despite the historic highs, Ben-Zeev believes that companies on the TASE still have room to rise. “A market naturally has its ups and downs. Sharp declines usually come during a bubble period, and that’s not the case with us right now. In my eyes, we’re only scratching the surface of our potential to bring money from the world to invest in Israel. We, the country, and the capital market are in a good place for years to come. So I really don’t see any landslides ahead.”
Trading on Fridays: “Being part of the world”
Ben-Zeev also referred to the TASE decision to trading on Fridays instead of Sundays. “This is a very complex move, for which credit should be given to the Securities Authority and the Bank of Israel, who promoted it. We all understood that for the country to grow and prosper, it needs to be part of the world, which works Monday to Friday. There is a consensus that the move will lead to increased foreign investment. I don’t think we will see far-reaching changes, the cycles are very good today and we may even see a general decline. But from a long-term strategic perspective, I have no doubt that it will increase the attractiveness of TASE.
“I strongly see the interest of foreign investors in Israeli companies and the Israeli market. We must remember that there is a whole world outside the US, and many funds in the world that have a mandate to invest only outside the US, and we have a lot to sell in this context.”
Ben-Zeev also addressed the fact that the TASE is biased towards stocks in the real estate and finance sectors, while tech companies are relatively few on the TASE indices, despite the dominance of tech companies in the domestic economy. “Our indices reflect the Israeli economy and its strength. Israeli tech is not sufficiently represented because some companies do not want to come to us. The fact that Israel has a strong financial market is something that conveys a lot of power to foreign investors. The key will be how to bring more services and instruments to the local market.
“There have been quite a few discussions with tech companies, and a number of moves were made so that they would be listed for trading here as well. In the end, this did not happen, I have no good explanation why. We are doing everything we can so that the pensions of Israelis invested on the TASE do the best they can.”
In this context, Ben-Zeev also pointed to the jump in trading volumes, which also helped the TASE increase profits. “The daily turnover is over NIS 3 billion, three times what it was when we held our IPO. We have made a series of moves to increase turnover, together with new interesting companies and the entry of young people. But here too, there is a lot to grow.”
The growth in trading turnover has also affected the share price, which has jumped by about 340% in the last three years, and resulted in the funds that invested in it when it held its IPO choosing to sell their shares, while recording huge profits.
“The departure of the owners has an impact in that we have become a company with more stakeholders, which improves our liquidity. Because our market is not the largest, the most developed, or the deepest, the fact that they were in control has kept foreign investors away even though they thought the pricing was attractive.”
In conclusion, Ben-Zeev provides an optimistic forecast on the options facing the TASE due to geopolitical changes. “There is a good chance that our region will undergo significant change, and I am sure that new collaborations can be created as a result. If things do come to fruition, these are things that will be of great interest to us.”
Full disclosure: The conference was held in cooperation with Bank Hapoalim and phoenix Group and sponsored by, Bezeq, El Al, Tnuva, Electra, Armis, Haifa Group, Hamilton Lane Israel, Doral, Shikun & Binui, BlackRock, Bazan, Pagaya, KPMG, Nespresso, Egged, Zeekr, ICL and the Israel Medical association, and with the participation of Israel Ports. Co., Mekorot, Ashdod Port, and the Israel Innovation Authority.
Published by Globes, Israel business news – en.globes.co.il – on November 23, 2025.
© Copyright of Globes Publisher Itonut (1983) Ltd., 2025.
