Trading fee ranking in Israel: The entity that took first place
A new player has entered the stock exchange's fee comparison, and upon its first entry, it has changed the entire picture. While investment houses fight over every fraction of a percent, the veteran banks are still charging much more. Where are you on the map, and are you paying too much?
The Tel Aviv Stock Exchange has updated the average fee data for trading in Israeli securities and bonds. A new player has entered the picture: ONE ZERO, the digital bank, appears for the first time in the comparison and immediately jumps to the top of the list with an average fee of only 0.06% per transaction. This is the cheapest in the market right now, pushing down the two previous leaders: Psagot (0.0666%) and Altshuler Shaham (0.073%).
This entry is significant. Until recently, ONE ZERO allowed trading on a limited scale, but now, having accumulated sufficient transaction volume, it has set a low price bar that puts pressure on competitors.
This comparison is crucial: in the last three years, a wave of new investors has flowed to the stock exchange against the backdrop of surging indices. The TA-35 index alone has risen by about 120%, and many manage independent portfolios via apps without noticing the costs of every click.
Below the leaders, other investment houses are crowded in a narrow range: Meitav Trade (0.0824%), Excellence (0.0845%), and IBI (0.0851%). From here begins the banking sector, opened by First International Bank (0.1356%) and Discount (0.15%), followed by Leumi (0.23%), Mizrahi-Tefahot (0.25%), and Bank Hapoalim (0.26%). The list is concluded by Massad at 0.3515%, the most expensive on the list.
We focused on a portfolio of 100,000 to 200,000 shekels, as this is the threshold where many investors move to independent management, and every tenth of a percent becomes noticeable:
Buying stocks or bonds in the amount of 10,000 shekels will cost about 6 shekels at ONE ZERO, and about 35 shekels at Massad. A difference of almost six times for the exact same operation.
An active investor performing 20 transactions a month will pay about 120 shekels at the cheapest provider versus over 700 shekels at the most expensive, a difference that accumulates to about 7,000 shekels a year. Even for a solid investor, a purchase of 150,000 shekels costs about 90 shekels at the low fee versus about 527 shekels at the high one, excluding separate sales fees.
It is important to note that these figures are average fees published by the stock exchange, reflecting what customers actually paid after discounts and bargaining, rather than official price lists. In banks, the gap between the price list and the average can reach 2 to 3 times. The larger the portfolio, the stronger your bargaining power; therefore, the average is the number that truly matters for comparison.
Blink is currently excluded from the table as it does not offer broad trading in Israeli securities, but only a limited number of dollar-denominated index-tracking funds.
