Multi-Family Office and Wealth Management firm Lucid Investments is the newest player in Israel’s finance industry. The firm’s mission is to assist high-tech entrepreneurs, families and trustees in developing strategies for long-term investment success and asset management within a dynamic economy.
Israel’s continuous growth is mainly due to the rapid influx of wealth in the high-tech sector, which have led man to call it the “startup nation.” In keeping with that name, Israel hosts the DLD Tel Aviv Innovation Festival from September 4 through 7, an internationally known gathering of corporations, venture capitalists and intriguing startups.
Located on Rothschild Boulevard in Tel Aviv’s bustling finance district, Lucid Investments was founded by Karen Schwok, a highly regarded management professional in Israel who has won numerous awards for her accomplishments. Previously, she established and served for six years as CEO of Pictet Wealth Management Israel, a subsidiary of Pictet & Cie SA, the third largest bank in Switzerland. Karen helped lay the groundwork for the bank’s expansion into Israel; Pictet gained 5% of the market share within only a few years. Prior to that, she established the first Institutional Desk in Israel at Bank Leumi, the second largest bank in Israel. As a testament to her widely recognised expertise with successful Israeli Tech entrepreneurs, Karen was recent published in TheMarker, Israel’s leading economic journal.
A unique financial ecosystem has evolved in Israel since the Bachar Committee in 2007, which prohibited local banks from providing wealth management services. For the 10,000-plus Israeli families with more than $1 million USD in equity (according to a 2016 Merrill Lynch survey), this left them in limbo. Consequently, many international banks saw an opportunity to fill this void and provide comprehensive wealth management services for high net worth individuals in Israel.
Traditional international banking services are not ideal for leading high-tech entrepreneurs and startups; these young visionaries dedicate all their time and energy to pursuing their products and services, leaving little time for fund management. With 15 years’ experience working with entrepreneurial clients, Lucid Investments understands what they need and expect from their family office team, and are entirely capable of meeting and exceeding those expectations.
Another factor leading to increased demand for the kind of services offered by Lucid Investments is the Immigration of Jewish people back to Israel (called “Aliya” in the Jewish community). A flexible tax regime encouraged over 30,000 new immigrants to settle in 2016, a 12-year high. Nearly half of those immigrants originated from Western Europe or North America, and many of those have brought substantial wealth into the country.
These immigrants have complex asset management needs, and they naturally expect knowledgeable, reliable and professional help in achieving their financial goals. Regardless of the client’s circumstances, however, Lucid Investments sees itself as a partner in the process of choosing and implementing a comprehensive investment and asset management strategy.