The Tel Aviv Stock Exchange (the "TASE") has published a proposed amendment to the TASE's Rules and Regulations for the listing of global traded funds (such as ETFs) (the "Proposed Amendment") for public comment.
We are pleased to announce that the TASE is to allow global-traded funds to be listed. The registration for trade of global funds is a dual listing, i.e. the fund's units are listed for trade on an "authorised" stock exchange outside Israel.
Amendment 23 to the Joint Investment Trust Law, 1994, (and the regulations promulgated therein) regulates the offering of units of global funds in Israel. Pursuant to these regulations, a global fund manager is exempt from publishing a prospectus in Hebrew when offering units to the public in Israel. However, a global fund manager is obligated to publish certain details of the prospectus in Hebrew and to appoint a representative as local contact. The representative may be either a Hebrew-speaking employee of the global fund manager, a local fund manager, or a licensee under the Regulation of Investment Advice, Investment Marketing and Portfolio Management Law, 1995.
The Proposed Amendment represents a unique business opportunity for global fund managers and local representatives.
Our firm accompanied the drafting process of the Proposed Amendment, and represents international players examining this new option.
We invite our clients to discuss the main points of the amendment and determine the possibility of listing for trade in Israel in accordance with the Proposed Amendment. Comments to the Proposed Amendment may be submitted to us until February 3, 2019.
Click here to view the full wording of the Proposed Amendment (in Hebrew).
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