“40% of Israel’s GDP growth is in high-tech,” confirms Leader Private Capital
“40% of Israel’s GDP growth is in high-tech,” confirms Leader Private Capital
CEO Itay Elnatan made the remarks at the opening of the Israel Private Markets Summit in Tel Aviv
“Following the events that took place on October 7, Israel is in a complex situation. Today, we have an opportunity to have a meaningful dialogue to address the complex reality,” said Leader Private Capital CEO and Managing Parter Itay Elnatan at the Israel Private Markets Summit. Speaking to a room of 500 guests, he outlined the state of the Israeli economy and offered predictions in private capital allocation across a variety of industries.
“About 40% of Israel’s GDP growth is in high-tech,” he added. “Israel is in the top 20 of the world and a third of its income tax is paid by high-tech employees.” According to Elnatan, Israel leads the world in the ratio of high-tech investments, and local regulations led by the mandatory pension plan mean that up to 30% of paychecks go to long-term savings. “A third of AUM is coming from that,” he said.
Elnatan is the founder of Leader Private Capital and has 15 years of experience in capital raising for private investment funds and investment banking. Over the years, he represented Israel and raised capital for some of the world's leading private investment funds. He served as a senior advisor to the Association of Investment Houses in Israel in the field of private capital.
The IPM Summit took place in the Peres Center for Peace and Innovation in Tel Aviv. It saw C-level and senior decision-makers of GPs and LPs discuss topics and market trends in private equity, venture capital, private debt, real estate, and infrastructure. The summit took place in the context of war in the Middle East and a presidential election taking place in the United States.
This year, it emphasized LP professionals in fields including alternative investment managers, CIOs, and investment committee members from large institutional investors, insurance companies, pension funds, provident funds, sectorial funds, family offices, HNWI, bank nostro managers, endowments, universities, and kibbutzim. It included speakers from Brookfield, Apollo, Permira, and was co-sponsored by Jefferies and Clifford Chance.
“This was a year when investors were sitting on the sidelines seeing what would happen,” Elnatan said to the crowd. “We are cautious but optimistic.” He ended his talk by offering predictions for the year ahead: Private Equities would see less VC investment and more buyouts; direct Real Estate transactions would see a continued decline while an increase in investments would be see in real estate funds; and Infrastructure would continue moving to higher return strategies.
Leader Private Capital specializes in raising capital for private investment funds, direct transactions, and management of a range of investment partnerships for institutional and private wealth investors. It has led significant fundraising in Israel for private investment funds and is considered a market leader in its field in Israel.
