Israel securities regulator eyes rule changes for digital platforms


RISHON LEZION, Israel (Reuters) – Israel’s markets watchdog said on Monday the authority would make regulatory changes to adapt to technological innovations such as digital markets.

“The implication is that these platforms will provide a complete digital value chain for investors, from the underwriting stage to settlement and custodial services,” Anat Guetta, chairwoman of Israel Securities Authority (ISA), said at the ISA’s annual conference.

One benefit of digital markets, Guetta said, would be that anyone could open a digital account for remote trading based on technologies such as facial recognition.

“Users can access digital investment advice for any investment amount, investment vehicle, or market, at any time and from anywhere,” she said, adding the ISA is already working with financial technology firms on this initiative.

The ISA is also taking steps to establish retail brokers in Israel based on a digital platform that will make it simple and inexpensive to trade in securities and invest in mutual funds.

“Today, the brokerage market in Israel is highly concentrated and entails high costs for retail consumers,” she said. “This move will expose the stock exchange to new players, and we will be working to remove any barriers necessary to drive competitiveness.”

Reporting by Steven Scheer; Editing by Tova Cohen