Further to the client updates published on November 9, 2017, June 18, 2018, and on January 1, 2019, we would like to remind you that the Israel Securities Authority (the "ISA") has published its policy with regard to the grant of permits to foreign exchanges and brokers who wish to actively approach the Israeli public.

According to the Securities Law, offering of securities-trading services if the trading takes place on an exchange not licensed in Israel must be permitted by the Chairman of the ISA.

On December 30, 2018, the ISA published the conditions under which it will examine applications for a permit. The publication makes a distinction between entities that meet the conditions set out in the publication, and entities that do not. The publication states that, as a general rule, entities that meet the conditions set out therein will be granted a permit. In this regard, exchanges (and anyone on their behalf) are subject to different conditions from brokers that act "independently". However, it should be noted that entities that do not meet the conditions set out in the publication are still entitled to apply for a permit. Applications filed by these entities are expected to be examined on a case-by-case basis.

It is important to note that the application for a permit must be submitted by April 27, 2019.

To view the full wording of the policy (in Hebrew) - click here.