Weeks after the credit rating of the United States was downgraded, Midroog, the Israeli affiliate of ratings agency Moody's upgraded the long-term investments of Israel's Bank Hapoalim, praising the bank for its intelligent, yet conservative, investment policies.
Bestowing a AAA rating on Hapoalim's long-term investment funds, as well as on several other investment vehicles provided by the bank, Midroog said that “the bank has displayed efficient management of investments that supports its profitability, which is higher than similar groups in Israel.”
AAA investments are considered the safest possible.
According to Midroog, Hapoalim's investment strategy is relatively conservative and centers on traditional banking investments, achieving a balance between riskier and safer investments. The bank's stock holdings are balanced by Hapoalim's investments in stable Bank of Israel bonds.
Until recently, Hapoalim was being rated by the Standard and Poors ratings agency, and only recently switched to Midroog. Midroog was established in 2003, and almost immediately signed an agreement with Moody's to provide the international ratings service with ratings on Israeli investment vehicles.