Altshuler Shaham Pension Fund Acquired by Wishure GlobalTech

Wishure GlobalTech is acquiring a 45% stake in the Israeli pension and provident fund company Altshuler Shaham for approximately 800 million shekels. Additionally, CEO Yair Levinstein will purchase another 10% for about 180 million shekels. The deal affects roughly two million savers whose assets, totaling approximately 112 billion shekels, are managed by the company's pension and provident fund operations.

Emil Winschel, a founder of Wishure, stated that the acquisition aims to establish Wishure as a major player in the insurance and finance sectors, noting that negotiations for the deal spanned two years. A significant change for customers will be the company's name, which is expected to be rebranded within 18 months, marking the potential disappearance of the Altshuler Shaham brand from the pension and provident fund market. The private investment house of Gilad Altshuler and Kalman Shaham will continue to operate in other areas, such as mutual funds and investment management.

Crucially for savers, the ownership change does not affect their assets. Funds remain in their existing accounts and investment tracks, and existing terms, including management fees, are not automatically altered. Altshuler Shaham's average management fees on accumulated assets are around 0.59%. While immediate changes to fees are unlikely, savers are advised to monitor future communications regarding the new management's commercial policies.

Investment management will transition to a new team led by Leah Perminger, following a reduction in Gilad Altshuler's involvement. Winschel acknowledged past underperformance, attributed to significant investments in China and the US, and views the acquisition as an opportunity for management refreshment. Wishure also controls the insurance company Ayalon, which has a pension arm, though an immediate consolidation of pension activities is not planned; a merger is being considered within three to five years, pending regulatory approval.

The sale does not include Altshuler Shaham's mutual fund operations, which will remain with the original owners. Savers considering a move are advised to compare long-term returns, fees, risk levels, and investment tracks rather than focusing on short-term performance. The deal is subject to regulatory approvals and is expected to be finalized in the coming months.