The Tel Aviv Stock Exchange (TASE) Board of Directors approved the launch of a new index – Tel Bond Non-linked, the eleventh Tel Bond index calculated by TASE. The new index will be launched on January 20th, 2015. It is anticipated that the index will include 74 bond series with a 2% weight cap limit, issued by 45 issuers with a market capitalization of approx NIS 50 billion.
The quality of the new index is grounded, among other things, in the diversity of its constituent bonds. The current ratio between floating interest rate and fixed rate bonds in the new index (60% fixed and 40% floating) is more balanced than the "parallel" Israelgovernment bond index (85% fixed/15% floating).
The base price of the new index will be the reference index price of the Tel Bond –Composite index set on the trading day preceding the index launch date.
Instruments tracking the non-linked government bond index have grown by approximately 130% over the past year, reaching NIS 300 million. Considering the fact that the volume of instruments tracking Tel Bond indices is four times larger than that of instruments tracking government bonds, the expectation is that the new index will be quite successful. The launch of the new index is part of TASE's policy of offering a wide array of Tel Bond indices. The launch will likely create demand that will contribute to the development of this sector of corporate bonds, which is characterized by investment grade issues with short duration.
|
Simulation of Tel Bond Non-linked Constituency |
|||
|
Series |
Bond |
Market Cap (NIS million) |
Weight |
|
1 |
Leumi Finance B13 |
2,467 |
2.00% |
|
2 |
Poalim Hanpakot 11 |
2,074 |
2.00% |
|
3 |
Poalim Hanpakot 29 |
1,900 |
2.00% |
|
4 |
Delek Group B15 |
1,747 |
2.00% |
|
5 |
Bezeq B8 |
1,456 |
2.00% |
|
6 |
Elbit Systems B1 |
1,414 |
2.00% |
|
7 |
Israel Aerospace Industry B3 |
1,332 |
2.00% |
|
8 |
Mizrahi Tefahot Issuing B34 |
1,213 |
2.00% |
|
9 |
ADAMA Agriculture B4 |
842 |
2.00% |
|
10 |
Clalbit B1 |
837 |
2.00% |
|
11 |
B Communications B3 |
791 |
2.00% |
|
12 |
Israel Corporation B9 |
725 |
1.89% |
|
13 |
Shikun & Binui B7 |
697 |
1.81% |
|
14 |
Discount Manpikim B5 |
688 |
1.79% |
|
15 |
Cellcom B5 |
664 |
1.73% |
|
16 |
Gazit Globe B1 |
646 |
1.68% |
|
17 |
Partner Communications B5 |
609 |
1.59% |
|
18 |
Hot B2 |
574 |
1.49% |
|
19 |
Delek Group B14 |
523 |
1.36% |
|
20 |
Strauss Group B4 |
520 |
1.35% |
|
21 |
Israel Aerospace Industry B2 |
488 |
1.27% |
|
22 |
Industrial Building B16 |
479 |
1.25% |
|
23 |
Hadera Paper B6 |
458 |
1.19% |
|
24 |
Shufersal B5 |
453 |
1.18% |
|
25 |
Avgol Industries B2 |
424 |
1.10% |
|
26 |
Israel Discount Bank B11 |
402 |
1.05% |
|
27 |
Discount Manpikim B7 |
392 |
1.02% |
|
28 |
Phoenix Capital Raising B3 |
388 |
1.01% |
|
29 |
S. Shlomo Holdings B15 |
383 |
1.00% |
|
30 |
The Zarasai Group B2 |
382 |
0.99% |
|
31 |
Bayside Land B7 |
356 |
0.93% |
|
32 |
Elco B11 |
356 |
0.93% |
|
33 |
Isras Investment B11 |
339 |
0.88% |
|
34 |
Cellcom B7 |
337 |
0.88% |
|
35 |
Hadera Paper B5 |
333 |
0.87% |
|
36 |
Poalim Hanpakot B16 |
299 |
0.78% |
|
37 |
Union Issuances B7 |
270 |
0.70% |
|
38 |
Azorim Investment B10 |
264 |
0.69% |
|
39 |
Shufersal B3 |
248 |
0.64% |
|
40 |
Dor Alon Energy B4 |
232 |
0.60% |
|
41 |
Y.H. Dimri Building B4 |
230 |
0.60% |
|
42 |
Clal Industries B15 |
225 |
0.59% |
|
43 |
Mediterranean Towers B1 |
215 |
0.56% |
|
44 |
Delta-Galil Industries B5 |
205 |
0.53% |
|
45 |
Paz Oil B3 |
3,223 |
2.00% |
|
46 |
Mizrahi Tefahot Issuing B37 |
1,301 |
2.00% |
|
47 |
Leumi Finance B301 |
1,062 |
2.00% |
|
48 |
Extell B1 |
1,061 |
2.00% |
|
49 |
Poalim Hanpakot B13 |
1,012 |
2.00% |
|
50 |
Bank Leumi LeIsrael B201 |
975 |
2.00% |
|
51 |
Ashtrom Group B2 |
807 |
2.00% |
|
52 |
Poalim Hanpakot B26 |
796 |
2.00% |
|
53 |
Discount Manpikim B9 |
791 |
2.00% |
|
54 |
Paz Oil B4 |
758 |
1.97% |
|
55 |
Bezeq B7 |
755 |
1.96% |
|
56 |
Poalim Hanpakot B30 |
656 |
1.71% |
|
57 |
Gazit Globe B5 |
552 |
1.44% |
|
58 |
Partner Communications B4 |
545 |
1.42% |
|
59 |
Property & Building B7 |
535 |
1.39% |
|
60 |
Union Issuances B18 |
526 |
1.37% |
|
61 |
Avgol Industries B3 |
520 |
1.35% |
|
62 |
Israel Aerospace Industry B4 |
472 |
1.23% |
|
63 |
Delta-Galil B1 |
436 |
1.13% |
|
64 |
Union Issuances B8 |
432 |
1.12% |
|
65 |
Norstar Holdings B8 |
400 |
1.04% |
|
66 |
Clalbit Finance B8 |
371 |
0.96% |
|
67 |
Jerusalem Finance & Issuance B8 |
363 |
0.95% |
|
68 |
Albar Mimunit Services B14 |
351 |
0.91% |
|
69 |
Phoenix Capital Raising B4 |
348 |
0.91% |
|
70 |
Jerusalem Economy B13 |
314 |
0.82% |
|
71 |
Electra B4 |
252 |
0.66% |
|
72 |
Cellcom Israel B9 |
238 |
0.62% |
|
73 |
Global Knafaim Leasing B1 |
221 |
0.58% |
|
74 |
Jerusalem Finance & Issuance B7 |
210 |
0.55% |
|
50,160 |
100% |
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