Tel Aviv Stock Exchange to add Friday to trading week, aligning with global bourses

The Tel Aviv Stock Exchange, December 25, 2018. (Adam Shuldman/Flash90)
The Tel Aviv Stock Exchange, December 25, 2018. (Adam Shuldman/Flash90)

The Tel Aviv Stock Exchange (TASE) is planning to alter its schedule and add Friday to the trading week in a bid to strengthen the Israeli bourse’s global profile, it says.

The exchange hopes a decision to shift away from Israel’s Sunday to Thursday workweek to one that overlaps more with Wall Street and European bourses will win inclusion in global index provider MSCI’s Europe category.

Reassigning Israel to a new region like Europe could open the door to more passive inflows for the Israeli capital markets, but MSCI in 2022 rejected shifting the country to a new region, citing differing market trading days as a key reason.

MSCI, which provides equity, fixed income and hedge fund indexes, upgraded Israel to a developed market from an emerging one in 2010.

Under the TASE’s proposal, in collaboration with the Israel Securities Authority and Bank of Israel, trading would move to either Monday through Friday or Sunday through Friday in which trading on Sundays would begin at 12 p.m. local time.

Trading volume on Sundays is usually far lower than the rest of the week and trading ends 90 minutes earlier on that day.

It is yet to be decided how extended trading will fit around the start of Shabbat — the Jewish sabbath — on Friday afternoon, when most Israeli businesses close.

The shekel currency, however, is already traded on Fridays and more services keep running during Shabbat in Tel Aviv than in most other Israeli cities.

The TASE asks that public comments on the plans be submitted by June 30.

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