The Israeli stock market review

In 2005, the Israeli stock market went up by more than 35% and reached its highest point ever (850 points) - it was a great place to invest.
One of the main events that contributed to the Israeli stock success was Ariel Sharon's disengagement plan, the Gaza strip pullout.
The Israeli military's unilateral withdrawal from the Gaza strip, along with the pullout of the Jewish settlements, gave the market a boost and created an optimistic atmosphere amongst investers.

In 2005 there was a major reform in the Israeli economy. The government reduced the tax on foreign shares and reduced the interest (two things that made investors look for other alternatives rather than put their money in the bank). There was a huge reform in the pension funds. Stanley Fisher, who has a big reputation amongst foreign investors, was nominated as Governor of the Bank of Israel.
These economic reforms helped the stock market to go up for the third year in a row.
Lets hope that 2006 will be the fourth...