Migdal Expands Wealth Management by Acquiring 70% of HS Family Office

Migdal Insurance is expanding its wealth management operations by acquiring a 70% stake in HS Family Office, a firm managing investments for numerous high-net-worth individuals. The acquisition was made through Migdal's largest insurance agency, Mivtach Simon, aiming to enhance its family wealth management services and broaden its financial division. The deal values HS Family Office between 20 and 30 million shekels. Founded a decade ago by Hazi Schwartz, who continues to manage the firm, HS specializes in family wealth and asset management and will now serve some of Mivtach Simon's clients.

This move reflects a broader trend among major Israeli insurance companies acquiring control over wealth management firms; for example, less than a year ago, Phoenix acquired Fidelity Partners for an estimated 120 million shekels. Schwartz brings 25 years of experience in capital markets, savings, and insurance, having previously led the investments and finance division at Mivtach Simon and being one of its founders. He described the acquisition as a natural step amid rapid changes in finance, including complex regulation, growing information loads, and advances in technology and AI. He emphasized that joining Migdal provides broad support, infrastructure, and resources to better serve clients with transparency, long-term thinking, and professional independence.

Mivtach Simon's CEO highlighted that the acquisition aligns with their growth strategy to deliver sustained value to clients. He called Schwartz's return to the company where he helped build the finance division "exciting" and a significant milestone. The transaction is pending regulatory approvals.