Investing Philosophy

We want your investments in Israel's capital market to succeed, and therefore have a clear and defined investment philosophy.
The following reflects the investment philosophy and beliefs of Wise Money Israel and its senior executives.

Medium-Long Term Investing

At Wise Money Israel we believe that wealth is most securely grown over time. Wise Money Israel operates with a medium to long term investment strategy in mind, that being defined as a 3-10 year (or more) investment period. This strategy minimizes the affects of market volatility and periodic market conditions, allowing clients to enjoy the overall growth in their portfolios without thinking about day to day profits or losses.

Buy & Hold Strategy

In general, Wise Money Israel buys securities with the intention to hold the security to maturity (bonds) or until conditions change that would warrant a sale (bonds, stocks, mutual funds, ETFs). We've found this approach beneficial to client's overall yield, as market-timing techniques often leave clients out of the market during good days and encourages selling for purely technical reasons.

But, there are times in which a security, whether stock or bond, has appreciated in value enough, appreciated too rapidly or reached a target price or yield that warrant selling or reducing the allocation. There are also times when Wise Money Israel determines that client funds would have a better possibility of appreciation in different securities. Whether this is due to sector rotation over time, changing market conditions, company news, macro/micro-economic or regulator forces, Wise Money Israel is watching client portfolios closely to determine suitable exit points for such securities.

We do not "churn" client portfolios, and keep brokerage-charged transaction commissions to a minimum.

Transparency

Wise Money Israel give client's maximum transparency into their account to understand exactly what is occurring in their investment portfolio over time.

The client is furnished an online website where they may monitor the account, and the client receives monthly printed statements as well as quarterly portfolio statements via email to keep the client abreast of his/her account progress. These reports are provided in English, and are very readable and understandable. We're here to answer any questions you may have about your portfolio reports.

Clients are also welcome to request ad hoc portfolio reports or performance reports during any business day.

Maximum Diversification

When your funds are invested in Israel, you have already diversified your portfolio over geographical location and markets. Once we convert your funds to Israeli currency (the Shekel), you have now gained global currency diversification.

But that's not enough diversification. Wise Money Israel takes that one step further to diversify each client’s portfolio over multiple assets classes, sectors and industries, yields and durations, and risk and liquidity levels within the Israeli capital market. Client portfolios often are comprised of many individual securities as well as ETFs/mutual funds to increase diversification. We do this in order to better manage risk for the clients yet at the same time maintain solid returns year over year.

Personalized Portfolio Tailoring

Wise Money Israel works individually with each client, giving the utmost personal attention and communication. In compliance with the Israel Securities Authority’s regulations, Wise Money Israel seeks to fully understand each client's current and future financial situation and needs. Based on this information, Wise Money Israel creates a tailored investment portfolio to suit the client’s personal requirements and desires.

Over the year, WMI is continually researching to find new stock/bond opportunities to better utilize our client's available cash and to capitalize on market opportunities.

Combining Fundamental and Technical Analysis

WMI utilized both types of analysis to determine both what to buy and sell, as well as when to buy or sell a security. Fundamental analysis looks at the companies financial status, income, expenses, market, challenges, opportunities, etc. to determine which securities to buy, which to continue to hold, and which to sell.

Once we've determined to buy or sell a stock, we use technical analysis to determine good entry and exit points to increase client yields.

WMI has found that a combination of both types of analysis is critical to increasing client yields.

Ethical Investing

Wise Money Israel has strong ethical and moral values rooted in the Bible. As such, Wise Money Israel does its utmost to avoid investing clients funds in any investment that contradicts biblical values and moral code. This includes, but is not limited to, companies that engage in activities such as gambling, pornography, tobacco, animal abuse, abortion, etc.