TEL AVIV, Israel, Nov. 3, 2025 /PRNewswire/ — The Tel Aviv Stock Exchange (TASE) (TASE: TASE) announces the commencement of market making in Bank Leumi Equity options under the tailor-made market-making program launched in collaboration with Bank Leumi this September.
Two leading financial institutions have been selected to serve as the designated market makers for the Bank’s Equity options: Idan Financial Instruments of Barak Capital Group and Proxima Dynamics.
Market making in Bank Leumi Equity options commenced on November 2, 2025, and is scheduled to continue for a period of one year.
Bank Leumi, which holds the highest market capitalization on TASE, is the first bank in Israel to implement a tailor-made market making program specifically for its Equity options. This initiative further advances the development of the Israeli derivatives market and promotes the liquidity of financial instruments on the shares of TASE’s largest companies. Furthermore, by boosting trading in Bank Leumi shares, the program will significantly enhance TASE’s attractiveness to foreign capital, especially in anticipation of the upcoming shift to a Monday-to-Friday trading week in early January 2026.
Global Trends in Stock Options Trading
Globally, Equity options markets have experienced significant growth in recent years, measured both by trading volumes and retail participation. A prominent trend has been the entry of younger investors, who possess high digital and technological knowhow and operate through user-friendly trading applications. This generation increasingly views options as a flexible tool for risk management and expressing a market view, rather than solely as a speculative instrument. As a case in point, the United States saw the trading volume of single-share derivatives reach 16.4 billion contracts in 2024, representing an annual growth of 19.4% year-over-year.
The global retail trading phenomenon is clearly evident in Israel as well: in the first half of 2025, close to 87,000 new trading accounts were opened, and TASE is adding about 16,000 new accounts monthly.
The Advantages of Equity Options
Beyond individual private investors,
major institutional investors
utilize bank stock options to gain economic exposure to these shares without taking actual physical ownership, which allows them to comply with regulatory restrictions on bank share holdings. Furthermore, options trading serves as an efficient tool for
risk management and hedging
within institutional investment portfolios.
Equity options are also of great appeal to the mutual fund industry, which currently has NIS 36 billion invested in bank shares. Additionally, one out of every five shekels in the TA-125 index is currently invested in Israeli bank shares.
The Market-Making Program
TASE’s market-making program is managed in full coordination with Bank Leumi and is aligned with predefined objectives. This forms part of TASE’s broader policy to expand its product range and strengthen the standing of the Israeli capital market in the international arena.
The program’s principles are rooted in the successful share market-making model, relying on competition and rewarding market makers based on their performance. The successful application of this model to shares is expected to deliver similar positive results in options trading.
Contact:
Orna Goren
Head of Communication and Public Relations Unit
Tel: +972 76 8160405
[email protected]
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SOURCE The Tel Aviv Stock Exchange Ltd.
