Wanted: CEO for Tel Aviv Stock Exchange Fighting for Survival

  • Plunging volumes and dearth of IPOs threaten bourse’s future
  • Departing CEO Beinart was unable to reverse market’s decline

Visitors stand in front of a stock market ticker screen in the lobby of the Tel Aviv Stock Exchange.

Photographer: Rina Castelnuovo/Bloomberg

Israel’s bourse is seeking a new chief executive officer after Yossi Beinart resigned for health reasons.

The Tel Aviv Stock Exchange announced his departure in a statement on Wednesday, the same day a senior Nasdaq OMX executive said it needed to reform quickly or it might cease to exist. The TASE board will meet on Thursday to appoint a search committee to find a replacement for Beinart.

Israel’s only exchange has been battling a collapse in trading volumes and dearth of initial public offerings after an MSCI Inc. upgrade to developed-market status in 2010 forced it to compete for investor attention with much larger markets. The bourse, which is reforming its indexes and privatizing in a bid lure more investment, is poised to report its first loss in 30 years, local newspaper Calcalist reported Tuesday, citing a presentation sent to members of the board.

“Processes for significant change, which include demutualization, need to move forward quickly and successfully or Israel won’t have a stock exchange,” Sandy Frucher, Nasdaq vice chairman, said at a conference in Kiryat Ono, Israel. “The bourse suffers from bad branding and a perception of over-regulation.”

Beinart went on leave for health reasons in June. The former CEO of IG Group Holdings Plc’s Nadex market joined the bourse in 2014.

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