Tel Aviv Stock Exchange Surges in Hebrew Year 5786

The Tel Aviv Stock Exchange (TASE) concluded the Hebrew year 5786 with significant growth, investor confidence, and record market capitalization, according to the exchange's research unit. The year was characterized by a notable increase in investor activity and a surge in major stock indices. The TA-35 index rose by approximately 40.5%, the TA-125 by about 36.8%, and the TA-90 by roughly 25.5%, outperforming many global indices. Sector-specific indices also saw strong gains, with the TA-Insurance index leading at a jump of about 94.5%, followed by significant increases in cleantech, finance, industry, and technology.

Daily trading volume averaged around 4.9 billion shekels, a substantial increase from the previous year's 3.1 billion shekels. Foreign investor participation in stock trading rose to about 31%. Mutual funds were net buyers of stocks totaling approximately 10.8 billion shekels, while pension funds, provident funds, and insurance companies purchased a net of 9.6 billion shekels. Foreign residents also made net purchases of about 2.1 billion shekels, indicating robust support from both domestic and international capital.

The primary market also expanded significantly, with 33 new companies joining the stock exchange, including 26 through initial public offerings. The total market capitalization of stocks on the TASE grew from approximately 1.7 trillion shekels at the beginning of the year to about 3.1 trillion shekels by its end. Additionally, the exchange launched 26 new stock and bond indices and broadened its range of investment products.

Notable events included the addition of Palo Alto Networks to trading on the TASE and its inclusion in the TA-35 and TA-125 indices, strengthening the presence of leading global companies in the local market. The exchange also enhanced its trading infrastructure, expanding market-making programs to cover 287 stocks and launching new initiatives for corporate bonds and global government bonds. The futures market also continued its rapid growth, contributing to a more liquid and diverse Israeli capital market.