Everyone Wants a Bite of the Trillion-Shekel Market: The New Player Entering the Pension Savings Market
Hachshara Insurance, controlled by Eli Elazar, is expected to request a permit from the Capital Market Authority to enter the pension savings sector. The assets under management in the industry have surged by 70% to 1.1 trillion shekels. The company aims to reach 50 billion shekels within 3-4 years.
Hachshara Insurance, controlled by Eli Elazar and managed by Shimon Miron, is expected to submit a request in the coming days for a permit from the Capital Market Authority to begin operations in the management of pension savings funds. In doing so, it joins Ayalon, which entered last August, and the agent house Profit, which is planning a similar move. The volume of assets managed in the pension savings industry has surged by 70% over the past three years to 1.1 trillion shekels. Hachshara aims to reach an asset volume of 50 billion shekels within 3-4 years and will need to bring about 500 million shekels from its own resources for agent commissions. The major players in the market are Meitav, More, Altshuler Shaham, Analyst, Yelin Lapidot, Phoenix, Harel, Clal, Menora Mivtachim, and Migdal. Management fees range from 0.6% to 0.8%. Hachshara currently manages savings policies worth approximately 31 billion shekels. The article notes that the entry also stems from the recommendations of the Arbitration Committee for a unified investment account.