The Tel Aviv Stock Exchange (TASE) announced today (March 26, 2026) new measures aimed at deepening liquidity in the futures market. Beginning tomorrow, two new market makers will join the futures market‑making program: Migdal Capital Markets Futures and Meitav Market Making. They will join Idan Financial Instruments, which has been active since the launch of the futures market. This marks a substantial enhancement of the market making program, as each contract will now benefit from 2–3 market makers who will significantly contribute to liquidity across all contracts. Based on experience accumulated by TASE in other programs, increased market‑making activity has a positive impact on overall market performance.
The addition of market makers coincides with the launch of a new futures contract on the flagship TA‑125 Index and represents a continued step in TASE’s strategic plan to further develop and enhance the local capital market in general, and the futures market in particular. These measures are aligned with the transition to trading Monday through Friday, which has significantly increased the participation of foreign investors in the Israeli capital market. The objective is to align with global practices in the futures markets, where foreign investor activity is substantial. This alignment strengthens the local market’s adherence to international standards and broadens the range of financial instruments available to investors.
Consistent Growth in Futures Market Activity
Since the launch of futures trading in September 2024, the use of this instrument has steadily increased. TASE data indicate that monthly trading volume (in units) rose from approximately 7,500 units in December 2024 to approximately 46,000 units in February 2026 — an increase of more than 500%, demonstrating the market’s substantial need for hedging and exposure tools.
Improved Parameters and Increased Liquidity
Beginning March 27, 2026, significant improvements will take effect in the market‑making parameters, which will further enhance liquidity in the futures market. The aggregate parameters for all market makers are as follows:
TA‑35 Index
- Aggregate Quantity: 20 units (estimated notional value: approx. NIS 4 million per series per side).
- Spread: 0.08% in the front series (improved from 0.1%).
TA‑90 Index
- Aggregate Quantity: 24 units (estimated notional value: approx. NIS 5 million per series per side).
- Spread: 0.18% in the front series (improved from 0.25%).
TA‑125 Index (New!)
- Aggregate Quantity: 39 units (estimated notional value: approx. NIS 8 million per series per side).
- Spread: 0.16% in the front series.
TA‑Banks‑5 Index
- Aggregate Quantity: 30 units (estimated notional value: approx. NIS 2.5 million per series per side).
- Spread: 0.20% in the front series (improved from 0.25%).
Alon Dangot, Head of the Derivatives Market at TASE: "Increasing the liquidity of futures is a critical pillar in refining the local capital market. Beyond that, it is a cornerstone in making the market accessible to foreign investors and creating a competitive and attractive environment on an international level. The addition of leading market makers, along with the launch of the new TA-125 future and the activation of a fee rebate program for TA-35 futures—all these are designed to make it easier for foreign investors to enter the Israeli market, operate in large volumes, and at tight spreads."
