The Tel-Aviv Stock Exchange (TASE) launched this morning (16 July 2017), a new index: the Tel Bond-Global, which is based on shekel bonds of foreign companies traded on TASE. Bonds included in this index are traded at a higher yield than bonds included in the Tel Bond-Shekel index, the credit rating of which is identical to that of the Tel-Bond-Global index.
The index focuses on fixed-interest shekel bonds of foreign companies with no Israeli orientation and offers an added value that does not exist in other Tel-Bond Indices. It is therefore expected to create demand for index products whose base asset is the Tel-Bond Global Index. The new index will join the Tel-Bond Index family alongside the Tel-Bond-Yields and Tel-Bond-Yields-Shekel indices.
The index will consist of 25 bond series with a total market value of NIS 14.5 billion, and will mainly include corporate bonds from the real estate sector. The index will include fixed-rate bonds rated at least (A-) in the Maalot (S&P) rating, or (A3) in the Midroog rating. The weight limit for each bond series included in the index will be 6%.
The number of issuers is 18 and the weight of the largest issuer (THE ZARASAI) is 11.1% (the maximum weight for each issuer will be 20%).