On Jan. 6, 2025, ISR TASE announced the first stage of the market-making reform was completed, with the selection of 7 companies as market-making candidates.
Document dated Jan. 6, 2025, was received on Mar. 4, 2025 due to a fixed feed.
The candidates will compete among themselves for every security in which they are interested to act as a market maker, thereby maximizing the parameters set for them.
ISR TASE will rank each market maker based on its proposed parameters for the security, whereby the top-ranking market maker will be awarded market making in the security and the market-making parameters will be those of the winning market maker.
ISR TASE is currently furthering the next stage of the program, in which new securities will be signed up to the new program; there has been a solid demand for the program/
The program is scheduled to be launched on May 4, 2025.
On Aug. 20, ISR TASE issued its new market making model overview.
ISR TASE issued details of new market making model, and sought broker involvement.
Model Overview
ISR TASE considers it very important to encourage marketability and liquidity in the securities and thus it now intends to reform the conduct of the market in securities.
The basic principles of the reform are that ISR TASE will manage the market making program, which will make it easier for the potential market makers who will not have to invest their resources in marketing efforts for the purpose of recruiting companies.
ISR TASE will participate in paying market makers, and as part of process, the market making parameters, of quantity and margin, will be determined by the market makers.
In the first stage, ISR TASE seeks entities with potential to make a market to submit their candidacy as a market maker in the program, by completing a form in appendix.
Effectiveness
All submissions for involvement as a market maker are required by Sep. 15, 2024.
Oct. 2024 Public Consultation
On Oct. 29, 2024, ISR TASE published new consultation document, seeking responses on its proposals to reform the market making rules that currently exist in securities.
Today, the rules of the stock exchange on market making are anchored in third part of regulations and in guidelines according to it, as well as in the decisions of the Board.
In accordance with the rules of the exchange, the exchange functions in several hats.
It determines parameters of market making, minimum quantity, maximum margin and monitors and supervises market maker activity via a dedicated control system.
The exchange also publishes to public, general information about market making and produces monthly report for companies contracted with a market maker on activity.
ISR TASE has been working for over a year to formulate a reform in market making and intends to launch it during the first Rabbi Aon of 2025, based on new proposals.
In preparation for reform to be submitted for approval by ISR TASE's Board, a proposal to amend various sections of the stock exchange's bylaws and guidelines is included.
All of the proposed changes are highlighted within the text, for ease of identification.
Public comments on these final proposals can therefore be made until Nov. 19, 2024.
Jan. 2025 Reform Kicks Off
On Jan. 6, 2025, ISR TASE announced the first stage of the market-making reform was completed, with the selection of 7 companies as market-making candidates.
Document dated Jan. 6, 2025, was received on Mar. 4, 2025 due to a fixed feed.
The candidates will compete among themselves for every security in which they are interested to act as a market maker, thereby maximizing the parameters set for them.
ISR TASE will rank each market maker based on its proposed parameters for the security, whereby the top-ranking market maker will be awarded market making in the security and the market-making parameters will be those of the winning market maker.
ISR TASE is currently furthering the next stage of the program, in which new securities will be signed up to the new program; there has been a solid demand for the program/
The program is scheduled to be launched on May 4, 2025.
