ISRAEL: WE NEED TO APPRECIATE ALL THAT WE HAVE
As originally appeared in The Jerusalem Post on August 1st, 2019.
Israel was not created in order to disappear – Israel will endure and flourish. It is the child of hope and the home of the brave. It can neither be broken by adversity nor demoralized by success. It carries the shield of democracy and it honors the sword of freedom. John F. Kennedy
Many Olim from western countries like to bellyache about how backward Israel is. While the very same people may trumpet Israeli ingenuity and hi-tech, they will go on and on about how bad the sidewalks are, the below-average level of customer service and the fact that a handful of individuals control a huge chunk of the economy. Well let me tell you; Israel is in a much better position than many countries in the world. Just think back 20-25 years when anytime you took a trip to the old country you came back with toilet paper! No longer any reason to do that.
I know that I write about investing in Israel all the time, but sometimes the daily grind of life makes one a tad bit cynical, and there is nothing like an eye-opening experience to bring you back to reality. I just returned from a family vacation in Georgia. No, not the US State known for its warm hospitality, rather, the country known for nature and pouri bread. While the nature was truly stunning, I think I speak for the rest of my family, everything else was right out of the 3rd world. A country which sports an average monthly salary of $400 for men, much less for women, has managed to exit communism trying to build an economy based on tourism, but in many ways has yet to succeed. Lack of infrastructure, an inability to really capitalize on an abundance of natural resources, oh and non-existent public restrooms, unless you count a hole in the ground, make it hard to really be a draw for tourists. I am well aware that Israeli’s flock there but there is very little tourism coming from the west. One evening we were sitting around and speaking with some other Israeli’s and one man said, “if we have what they have, we would have built an empire!”
I am not using this space to rag on Georgia. In fact, if any of the very nice people we met are reading this, I want you to know that we sincerely had a great time. It’s just getting back home makes one really appreciate all the good that we have. We tend to complain because we want to make things even better, but at the same time, we all need to take a step back and be thankful for all the goodness that we have received.
Huge news
A big economic event just took place that didn’t receive much fanfare but is a huge feather in the cap of the robust Israeli economy. The Tel-Aviv Stock Exchange (TASE) went public, and the offering was hugely successful with the stock surging 30% in its first day of trading. Globes quotes TASE CEO Ittai Ben-Zeev, who promoted and carried out the successful offering, “The TASE is today joining the leading companies in Israel and many stock exchanges around the world operating as public companies, with transparency, responsibility, and sharing their performance with the general public. This, the first time that a global offering is taking place on the TASE, is a great success. We hope that we have paved the way for other Israeli companies to hold IPOs, including large international investment concerns and local investors.”
Anytime we get more transparency and a platform for other firms to raise capital that’s reason to celebrate. Israel really is a young, vibrant country with a strong economy. In fact, the continued strength in the Shekel against the dollar just proves it. A strong currency is the sign of a strong and prosperous country.
Georgia, thank you so much for providing us with a fun trip and a great way for the family to bond. Thank you as well for reminding us that we really have it great here in Israel!
The information contained in this article reflects the opinion of the author and not necessarily the opinion of Portfolio Resources Group, Inc. or its affiliates.
Aaron Katsman is author of the book Retirement GPS: How to Navigate Your Way to A Secure Financial Future with Global Investing (McGraw-Hill), and is a licensed financial professional both in the United States and Israel, and helps people who open investment accounts in the United States. Securities are offered through Portfolio Resources Group, Inc. (www.prginc.net). Member FINRA, SIPC, MSRB, FSI. For more information, call (02) 624-0995 visit www.aaronkatsman.com or email aaron@lighthousecapital.co.il.
