First Israel Fund (ISL) opened up over 4% and quickly rose to a 7% gain today in early trading on extremely high volume for that closed-ended fund. ISL now stands at a new all-time high. I first started buying ISL just over 4 years ago not only for its discount to NAV but because of the exposure that it gave me to the tech and bio-tech rich Israeli market and well as to companies which are not readily and publicly available to a US based investor. The stock traded at a 8% discount to NAV on Friday. I have not seen or heard any news for ISL today to explain the sudden price movement. The surge in ISL might indicate that some action may be taken by the ISL fund sponsors to close the discount through some rights offering or conversion. Even if that were to occur I would still hold onto my ISL as it still provides with that Israeli capital markets exposure.
At the time of this Blog entry Scott Rothbort, his family and or clients of LakeView Asset Management, LLC were long shares of ISL --- although positions can change at any time.