EIS ETF: What Kind of Product Is It? Returns, Expense Ratio, Holdings, and Alternative ETFs Explained
A leading ETF for broad exposure to the Israeli market. It offers efficient diversification across high-quality companies in technology, financials, defense, and more.
SubscribeWhat Is This ETF?
It tracks the MSCI Israel Capped Investable Market Index and holds more than 100 Israeli companies. A cap is applied so that no single stock's weight grows excessively, which helps manage risk, and the fund concentrates on Israel's technological strengths.
It suits investors who want direct exposure to the technology sectors where Israel excels, such as cybersecurity, semiconductors, and defense, as well as to its stable financial market.
It is a passively managed (index-tracking) ETF launched by BlackRock (iShares) in 2008.
How Does It Invest?
| Item | Details |
|---|---|
| Tracked Index | MSCI Israel Capped Investable Market Index |
| Management Style | Passive (index tracking) |
| Rebalancing Frequency | Once per quarter |
| Dividend Frequency | Semiannual |
| Total Expense Ratio | 0.59% |
The fund includes companies listed on the Israeli stock market that meet liquidity and market capitalization requirements. It follows a market-cap-weighted approach but sets a limit on any single holding to preserve the index's diversification, capturing the core drivers of the Israeli economy.
- Provides broad exposure to the Israeli market
- Maintains portfolio balance through the application of sector caps
Size and Costs
Assets under management (AUM) stand at $824.7M, and the total expense ratio is 0.59% per year.
Unlike the other country ETFs shown in the table, Israel has a highly technology-intensive economic structure. Compared with similar products such as ISRA or ITEQ, it is regarded as the standard vehicle for investing in Israel in terms of liquidity and portfolio composition.
Performance and Trends
1-Year Price Performance
Dividend & Yield
52-Week Price RangeReturns have shown volatility depending on the geopolitical situation and conditions in the global technology sector. Recently, solid earnings from security and defense related companies and the stable dividend payouts of financial stocks have been supporting the fund's performance.
Inflows have come from capital drawn to Israel's technological innovation and from global investors seeking regional diversification. Even during periods of heightened market volatility, the fund's focus on core blue-chip stocks has sustained interest in it as an alternative asset.
Pros and Cons
Comprehensive exposure to Israel's high-quality technology and financial companies is a strength, but geopolitical uncertainty and market concentration are risk factors.
💪 Key Strengths
⚠️ Points to Watch
Alternative ETFs and Related Products
A comparable product, ISRA, covers a broader range that includes small and mid-cap stocks, while ITEQ invests exclusively in Israel's technology sector. If you want to focus on Israel's innovative companies, IZRL is also worth considering. For more conservative country diversification, major developed-market country ETFs shown in the table, such as Canada's EWC, the UK's EWU, and Switzerland's EWL, can also serve as alternatives for regional allocation.
Peer Comparison ETFs| Ticker | Name | Price | Change | AUM | Total Expense Ratio | Dividend Yield | 1Y |
|---|---|---|---|---|---|---|---|
 EWC | iShares MSCI Canada ETF | $60.29 | -1.1% | $7.7B | 0.50% | 1.25% | +18.5% |
 EWU | iShares MSCI United Kingdom ETF | $47.96 | -0.8% | $3.8B | 0.50% | 3.12% | +10.4% |
 EWL | iShares MSCI Switzerland ETF | $65.61 | -0.2% | $3.2B | 0.50% | 1.66% | +16.4% |
 EWP | iShares MSCI Spain ETF | $60.33 | +0.2% | $2.1B | 0.50% | 2.76% | +17.7% |
 EWG | iShares MSCI Germany ETF | $42.95 | -0.1% | $1.6B | 0.49% | 1.94% | +4.9% |
Top Holdings| Ticker | Name | Weight | Price | Change | Market Cap | P/E | Dividend Yield |
|---|---|---|---|---|---|---|---|
| TEVA | Teva- Pharmaceutical Industries Ltd | 0.29% | $42.40 | -1.3% | $49.5B | 99.8 | - |
 TSEM | Tower Semiconductor Ltd | 0.16% | $147.60 | -3.1% | $16.8B | 47.4 | - |
| ESLT | Elbit Systems Ltd | 0.16% | $740.17 | +2.5% | $34.7B | 55.8 | 0.54% |
 NVMI | Nova Ltd | 0.03% | $325.70 | -2.3% | $10.4B | 37.3 | - |
Investor Checkpoints
These are the key checkpoints worth reviewing before investing in EIS. You should adjust your position size by taking into account Israel's distinctive economic structure and external environment.
| Checkpoint | What to Check | Current Status |
|---|---|---|
| ⚔️ Geopolitical Situation | Review political and military tensions in the Middle East | Keep monitoring |
| 💻 Tech Sector Conditions | Growth trends in the global IT and cybersecurity sectors | Needs checking |
| 🏦 Financial Sector Soundness | Profitability and dividend payout of major Israeli banks | Holding steady |
Geopolitical risk can arise at unpredictable times and cause sharp losses of principal. Investors should also be aware that the fund is highly concentrated in specific sectors.
This product suits investors who want exposure to both Israel's technological innovation and its stable domestic financial market. It works well for strategic asset allocation that takes country risk into account.
SubscribeDisclaimer: This content is for informational purposes only and does not constitute investment advice. All investment responsibility lies with the investor.
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