Israeli Advanced Training Funds Post October Losses Amid Market Slump
October brought negative returns for most Israeli training funds amid stock market declines. More led the general track with 0.35%, while equity funds faced universal losses. Currency depreciation slightly cushioned the downturn.
October ended in negative territory for most Israeli advanced training funds (keren hishtalmut), as local and international stock markets slumped. According to preliminary estimates, only one of the ten largest investment houses is expected to finish the general track in positive territory, with an average yield of minus 0.25%. In the equity track, all institutions posted losses, averaging minus 1.15%.
On the Tel Aviv Stock Exchange, the Tel Aviv 35 Index dropped by 1.4%, the Tel Aviv 125 Index fell by 1.6%, and the Yeter 60 Index of small-cap stocks plunged by 7.5%. Wall Street experienced mixed results, with the S&P 500 gaining 0.9% while the Nasdaq Composite fell by 2.5%. Meanwhile, the depreciation of the shekel against the US dollar provided a buffer of about 0.3%, cushioning overall losses for the funds.
General Track Leaders and Laggards
In the general track, where the vast majority of capital is managed, More Investment House led the market with a positive return of 0.35%, standing alone as the only major institution in the black for October. Phoenix Holdings followed in second place with minus 0.10%, Yelin Lapidot posted minus 0.15%, and Meitav Investment House registered minus 0.20%.
Clal Insurance and Analyst each recorded minus 0.25%, Migdal reported minus 0.35%, and Harel Insurance & Finance saw minus 0.40%. At the bottom of the general track were Menora Mivtachim with minus 0.50% and Altshuler Shaham with minus 0.55%. The gap of 0.9 percentage points between the top and bottom performers was significantly wider than the spread recorded in September.
Equity Track and Long-Term Performance
In the dedicated equity track, all ten institutional managers finished October in the red. More led this category as well with minus 0.45%, ahead of Yelin Lapidot at minus 0.70% and Phoenix at minus 0.85%. Conversely, Harel dropped to the bottom of the equity track with minus 1.85%, preceded by Altshuler Shaham at minus 1.65% and Menora Mivtachim at minus 1.45%.
Looking at year-to-date figures, Clal maintains the lead in the general track with 8.4%, followed by More with 8.0% and Migdal with 6.8%. Over a twelve-month horizon, Clal leads with 11.2%, trailed by More at 9.7%, and Migdal and Menora Mivtachim tied at 9.3%. Final audited returns for October are scheduled for official publication in mid-November.
