When looking to invest overseas, many investors have turned to Israel in recent years. The Tel Aviv stock exchange has seen billions of shekels in Israel investments, and hundreds of thousands of new investors joined even during the middle of the COVID pandemic.
But how can you start investing in
Israel? Read on to learn how to invest in Israel wisely and make great
financial gains!
Tel
Aviv Stock Market
One of the best ways you can invest
in Israel is through the Israel stock market. The Tel Aviv Stock Exchange
(TASE) has hundreds of stocks and has been doing quite well in recent
years, seeing many blue-chip stocks and companies give good returns.
Israel was upgraded from an
emerging market to a developed market by MSCI in 2010, which came with its
own benefits and drawbacks. The fact that it's a developed market means it's
generally much more stable and has the features of more "developed"
economic countries. However, because it's no longer considered an emerging
market, the country faces stiffer competition, and some types of trading have
slowed.
If you want to invest some of your
portfolio into Israeli stocks, it's probably a good idea to go through an
investment brokerage like thejerusalemportfolio.com.
These companies are usually set up to work with foreign investors in the
Israeli stock market. They can help purchase and sell stocks, as well as
provide investment advice based on their knowledge of the country and its
economy.
Investing
in Israel With Bonds
Bonds are another good option for
investing in Israel. The Israeli government sells millions of shekels worth of
bonds, and they tend to be good investments over the long term. As Israel's
economy grows and the government gets more tax income, they pay this out as
interest on the bonds.
You can open a brokerage account in
Israel to start buying government bonds. Alternatively, you can also purchase
Israel bonds through the Development Corporation for Israel/Israel Bonds in New
York.
ETFs
and Shekel Trading
You can also invest by doing some
smart shekel trading. Foreign Exchange (or forex) trading is a type of
investment that lets savvy traders bet on the relative strengths of various
currencies. The shekel has been doing quite well and is actually one of the
strongest currencies in the world right now.
Unfortunately, forex trading is also
very risky and can be difficult to create gains for inexperienced traders. If
you're not very confident in your forex trading skills, the shekel is still a
good investment, but it may be best to work with other types of Israeli
investments.
ETFs tend to be great investments.
These diverse funds hold lots of stocks all at once. This lets you take
advantage of overall trends in the stock market rather than gambling on
individual stocks.
Unfortunately, there aren't many
ETFs in Israel right now, so your choices are quite limited. However, there may
be new ETFs added over the next few years!
Learn
More About Making Good Investments!
Investing in Israel can bring great
returns, although it helps to be wise with your investments. Consider talking
with an investment firm in the country to see what kinds of advice and benefits
they can provide you!
And if you'd like to learn more about investing and other smart money strategies, we'd love to help! Feel free to check out the rest of our blog for more great advice to help you succeed at money, business, and life.