Mizrahi Tefahot Bank Records 56% Jump in Trading Volume
The bank is renewing its market-making agreement on the Tel Aviv Stock Exchange for another year following an unprecedented improvement in stock liquidity and trading volume, alongside increased interest from new investors.
Mizrahi Tefahot Bank is renewing for another year its Tailor Made market-making agreement on the Tel Aviv Stock Exchange. The decision comes after a first year that saw an improvement in the liquidity, volume, and trading quality metrics of the bank's stock.
As part of the agreement, Meitav Market Making and Idan Financial Instruments will continue to serve as market makers for Mizrahi Tefahot stock during the second year. The goal of the move is to support the stock's liquidity through ongoing buy and sell order activity, thereby deepening trading and allowing investors to execute transactions under more favorable conditions.
One of the most prominent figures in the year-end summary is the increase in trading volumes. The average daily trading volume for the stock in the continuous phase, excluding negotiated deals and block trades, rose by approximately 56%. In the first half of 2025, the average daily volume stood at about 48 million shekels, while in the first half of 2026, it reached about 76 million shekels per day.
The depth of the order book also improved significantly. The visible quantity in the order book increased by approximately 53%, a figure that reflects an increase in the volume of orders available for trading. Greater depth may allow investors to execute transactions of more significant sizes without sharply impacting the stock price.
At the same time, there was an increase in foreign investor activity in the bank's stock. During the period, their activity grew by approximately 12%. For public companies, high liquidity is one of the considerations that may influence the ability of large investors, including international ones, to enter and exit an investment as needed.
The market makers themselves also constituted a significant part of the activity. Their activity in the stock accounted for about 15% of the average daily trading volume. This figure points to the scale of activity of the entities intended to provide ongoing liquidity to the stock and increase the amount of orders available in the market.
The Tailor Made agreement is a mechanism of the Tel Aviv Stock Exchange that allows public companies to adapt market-making activity to pre-defined needs. Within this framework, companies contract with financial entities specializing in market making, with the goal of supporting liquidity and trading depth in the security.
In the case of Mizrahi Tefahot, the first year of the agreement provides data that can be measured through trading volumes and order book depth. The increase in average daily volume from 48 million shekels to 76 million shekels, alongside the 53% growth in order book depth, reflects a significant change in the stock's trading conditions.
The move may be particularly significant for investors executing large-volume transactions. When there are more buy and sell orders in the market, it is possible to execute transactions without causing sharp fluctuations in the stock price. At the same time, higher liquidity may make the stock more accessible to various types of investors.
The data from the first year explains the bank's decision to continue the program for another year. Instead of treating market making as a tool intended only for companies struggling to generate trading volumes, Mizrahi Tefahot's move presents it as a tool intended to preserve and strengthen liquidity even in the stock of a large and liquid company.
