Senior investment manager is particularly pessimistic: "The Tel Aviv Stock Exchange is not attractive. Real estate is dead"

Uri Ben-Dov, CEO of IBI Mutual Funds, says in an interview that the Tel Aviv Stock Exchange is not attractive even after the declines, with a P/E ratio of 17 compared to a historical average of 12-13. He states that the real estate market has been "dead" for two years, with 85,000 unsold apartments and excess supply, and that election results are irrelevant to investment decisions.

Uri Ben-Dov, CEO of IBI Mutual Funds, which manages 90 billion shekels, says in an interview with Globes that the Tel Aviv Stock Exchange is not attractive even after the recent declines, and that Israeli real estate faces more difficult years ahead. According to him, the current P/E ratio on the local exchange stands at 17, compared to a historical average of 12-13, so there is still room for declines. Ben-Dov argues that election results are irrelevant to investment decisions, and that one should focus on multiples and geographic allocation between Israel and abroad. He calls the real estate market "dead" for two years, noting that Israel is flooded with 85,000 unsold apartments, with excess supply and interest rates of 3%-4% that will continue to weigh on the sector. As an example of the market situation, he cites a deal where the Abu Family fund purchased 50 apartments in Netanya at a 20% discount from a developer who could not sell them. Ben-Dov adds that he finds no attractive sector on the Tel Aviv Stock Exchange, neither relative to historical performance nor relative to the US market.

Senior investment manager is particularly pessimistic: "The Tel Aviv Stock Exchange is not attractive. Real estate is dead"