The Zur and Sion provident funds of Prisma Investment House Ltd. lead the "Globes" returns rankings of large funds for January 2009. Psagot Investment House Ltd. will take over both these - and other - Prisma provident funds in a few weeks. A large provident is defined as a fund with more than NIS 1 billion in assets under management.
The Zur Provident Fund achieved a return of 8.65% in January and Sion Provident Fund had a return of 8.08%. However, the three-year results for 2006-08 are less rosy: Zur had an average negative return of 7.13% and Sion had an average negative return of 8.37%. Zur has NIS 1.41 billion assets under management and Sion has NIS 2.16 billion.
The Tagmulim Provident Fund of Excellence Investments Ltd. (TASE: EXCE) is in third place, with a return of 7.6% in January. During 2008, the fund saw its assets under management plummet 55% from NIS 3.2 billion to NIS 1.46 billion.
Two more Prisma funds take fourth and fifth place: the Keren Or Provident Fund had a return of 7.03% in January, and the Katzir Provident Fund had a return of 6.91%. Keren Or has NIS 1.85 billion in assets under management and Katzir has NIS 1 billion.
Psagot, which will acquire Prisma's provident funds in exchange for shares, is the main winner of the recovery of Prisma's provident funds. Prisma's funds increased their aggregate assets under management by NIS 700 million in January to NIS 19.6 billion, but it is Psagot that will reap the profits.
Of the 34 small provident funds (with NIS 300 million to NIS 1 billion in assets under management) tracked by "Globes", 31 have been in business from before January 2006. However, only eight funds achieved a positive return in 2006-08, with the other only able to maintain their assets under management at best.
Two provident funds of Analyst IMS Investment Management Services Ltd. (TASE:ANLT) led the return rankings for January: Gemel Clali Gimmel with a return of 19.35%, and Gemel Clali, with a return of 11.74%. 51% of Gemel Clali Gimmel's investments are classified as risky, i.e. stocks and bonds with a BBB or lower rating, and 32.5% of Gemel Clali's investments are risky.
Published by Globes [online], Israel business news - www.globes-online.com - on February 19, 2009
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