This research asks whether the Bituach Menahalim (manager’s insurance) policies sold in Israel today have the potential to destabilize the Israeli financial and economic system, either in the short or long term.

Bituach Menahalim policies comprise about 1/4 of the pension market in Israel today, and have qualities which are unusual in the pension market in Israel and around the world. Given the particular terms offered to those who own these policies, the question of unintended instability is a relevant one.