Chapter
How markets work
A market is simply a place where buyers and sellers agree on a price. Prices move because of company results, interest rates, news and plain human mood, and they move down as well as up.
The main local exchange is the Tel Aviv Stock Exchange (TASE). The TA-35 index tracks 35 of the largest listed companies, and an index fund buys those companies for you in one product. Through a broker you can also reach foreign exchanges, which adds currency and tax questions.
Two ideas to keep in mind from day one: no one can reliably predict short-term moves, and every investment can lose value.