Israel is a nuclear-capable small country with almost $500bn GDP. Surrounded by adversaries, Israel successfully maintains robust military power and presence in Western Asia. Called a Start-up nation, Israel tries to use innovations as a diplomatic resource. The Israeli government focuses on innovations and startups. Israeli startups had a great year in 2022, despite pandemics and other recent economic troubles. The Fintech sector in Israel seems the most popular and worthy of checking. Since technologies are advancing very fast, fintech is becoming more and more important in every country’s economic success. Below, we will discuss the most notable and famous Israeli-founded financial companies you don’t want to miss.
Israeli-founded financial companies you need to know
In today's world of information and advanced technology, developed countries are focusing on aiding fintech and other innovative companies to support their economic stability in the long term. Israel started to follow this trend by implementing several efforts to promote innovations in the financial services sector. Below are three notable Israeli financial companies worthy of checking.
eToro
One of Israel's most successful FIntechs is eToro, founded in 2007. The company is private and is mainly a social trading and investment network designed for traders and investors from all over the world. The company offers online trading services for currencies, stocks, cryptos, CFDs, and more. eToro is regulated by six regulatory bodies, including FinCen US. there are not many brokers that are regulated in the US, and this is a huge plus for the broker. Since 2007, the company has developed many novel software applications for traders to make their work easier. Traders can trade over 3000 assets on eToro’s platforms. Investment and copying successful traders are two keys when speaking about this company. Besides eToro, there are many other popular brokers offering trading services worldwide. To see full stats and ranks of other popular firms, these reviews will provide comprehensive data for various brokers.
Viola-group
Let’s continue our search for top Israeli financial companies. Viola-group provides technology startups with an initial investment. The company is an investment group with billions of dollars under management. Viola-group conducts comprehensive research in a sector before investing in it. Their recent research on the Israeli fintech sector is a must-read for anyone who is interested in the Israeli business sector. It shows the fintech funding was highest during 2021 which is very logical as pandemics forced developed countries to focus more on technologies that can provide financial services using modern methods.
Phoenix Holdings
This financial services company has total assets valued at $45.2 billion dollars. With a revenue of 8.7 billion dollars, the company offers asset management and insurance services to Israeli clients. Phoenix also provides retirement planning services and manages more than $100bn in assets. In general, insurance companies are among the top valued in Israel, this is caused by many funds raised by the Insurtech sector as Israel is constantly under a threat of missile attacks from Palestine. Because of this, Israeli people are understandably more focused on ensuring their properties.
Israeli Fintech overview - important statistics
There is a reason Israel is called a “Start-up nation” as there are many innovative tech start-ups in Israel. 17% of Israeli unicorns are fintech or Insurtech companies, raising more than $4.5 billion dollars in 2021, definitely a big jump from the 2020s $1.9bn. Mega rounds had a lion's share in raising funds, with a 190% increase when compared to previous years. 2021 was the most successful year in this matter. In 2022 the picture slightly changed with startups raising less money than in 2021. It dropped by 15% according to fintech global. If we take into account current global events of war and inflation, this is not a big decline and fintech is going to raise more money in 2023 as A.I. and other emergent technologies are starting to reshape the global picture.