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Speaker 1: You're listening to Taking Stock with Kathleen Hayes and Pim

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Speaker 1: Fox on Bloomberg Radio. What does BMW have to do

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Speaker 1: with technology that comes from Israel, Well, almost anything. If

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Speaker 1: you're looking for any of the details of sensors that

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Speaker 1: tell you that you're going to collide with something or

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Speaker 1: hit something, chances are it has a lot to do

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Speaker 1: with the technology found in Mobile I just one of

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Speaker 1: the Israeli technology companies we're going to speak about with

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Speaker 1: Stephen Schoenfeld. He is the founder and the chief investment

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Speaker 1: officer for Blue Star Indexes and he can be followed

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Speaker 1: on Twitter at s A. Schoenfeld. Stephen, thanks for coming

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Speaker 1: in much appreciate it great to be here. Before we

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Speaker 1: get into Mobile I and some specific companies, tell me

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Speaker 1: a little bit about Blue Star Indexes and its relationship

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Speaker 1: with the Tel Aviv Stock Exchange. So, Blue Star Indexes

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Speaker 1: was founded five years ago to build the best and

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Speaker 1: most comprehensive benchmarks for Israeli equities. As you know, Israeli

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Speaker 1: stocks are listed in Tel Aviv, but also in London,

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Speaker 1: on the New York Stock Exchange NASDAC even Singapore. Are

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Speaker 1: indexes are global, so they're complete and they include Israeli

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Speaker 1: companies wherever they tend to be listed. We have E

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Speaker 1: t F s here in the United States trading our

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Speaker 1: two flagship indexes. The first is Istra. It's a broad

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Speaker 1: based in E t F for Israel. Think of it

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Speaker 1: as the S and P five hundred for Israel. That

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Speaker 1: includes not non technology exactly as well as technology. Correct.

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Speaker 1: It reflects the full economic sectors of Israel. So technology

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Speaker 1: is about thirty percent of the index. It's about contribution

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Speaker 1: to GDP, pharmaceuticals, banking, finance, hotels, the full gamut of

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Speaker 1: the economy. And then we have I Tech Israel Tech

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Speaker 1: and that tracks are t A Biggie Tech index sixty

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Speaker 1: seven stocks technology, but technology broadly defined not just I

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Speaker 1: T but also biotech, defense, tech, agritech, clean energy, all

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Speaker 1: the areas that Israel is at the cutting edge. That

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Speaker 1: et F was launched in November and it trades on

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Speaker 1: the NAS back. Our relationship with the stock Televis Stock

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Speaker 1: Exchange is unique, where the first index provided a formally

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Speaker 1: partner with them. The benchmark for I Tech is called

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Speaker 1: t A big Ee Tech as you know PIM. The

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Speaker 1: other benchmarks in Tel Aviv are the T A t

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Speaker 1: A S T A one. So we're in an associate

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Speaker 1: member of that family and they serve on our index committee.

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Speaker 1: And the index is calculated live from the Tel Aviv

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Speaker 1: open all the way to the New York close. So

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Speaker 1: it's creating price discovery around all these Israeli companies that

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Speaker 1: are listed around the world. All right, let's discover some

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Speaker 1: of those Israeli companies. And I mentioned the BMW and

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Speaker 1: Mobile I because I thought that would be a real

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Speaker 1: way to people understand that the technology under the hood

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Speaker 1: is really everywhere in a car right now, it's not

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Speaker 1: just the engine absolutely. And in fact, the news from

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Speaker 1: with BMW was with Mobile I, BMW and Intel first

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Speaker 1: ever partnership that is definitively saying we will have driverless cars.

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Speaker 1: We will build driverless cars by now. There's many stages

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Speaker 1: to that, but Mobile I is that is that every

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Speaker 1: element of it they are they have about market share,

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Speaker 1: whether it's to Tesla, BMW, Honda, etcetera. They have smart

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Speaker 1: cameras and sensors that help develop the tech. It's technology,

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Speaker 1: it's software and cameras that let the cars drive themselves.

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Speaker 1: And so it's it's appropriate that they're partnered with Intel,

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Speaker 1: Because if you want to know the Israel tech story,

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Speaker 1: think of that old Intel campaign of Intel inside you

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Speaker 1: look anywhere in the new and evolving tech areas, it's

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Speaker 1: Israel inside. So mobile I is inside the cars that

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Speaker 1: drive themselves. DSP is in the most advanced headsets and smartphones.

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Speaker 1: DSP tell people what DSPs are Digital signal process Yes,

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Speaker 1: but DSP group has some of the most Think of

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Speaker 1: the think of the speaker phones of five years ago

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Speaker 1: and think of them now where it sounds like you're

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Speaker 1: almost in the same room. The DSP chips are in

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Speaker 1: the Samsung's smartphone. There in the best desktop for people

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Speaker 1: who still use desktop phones, and they enable at very

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Speaker 1: low cost, incredible sound quality. And you just came back

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Speaker 1: from Israel. You spent some time there. I wonder if

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Speaker 1: you could give us a little bit of insight into

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Speaker 1: where what's the biggest trend, where's the money really going

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Speaker 1: right now? So, um, it was a great trip. I

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Speaker 1: was able to visit tech incubators North and Haifa South

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Speaker 1: and Beer Cheva in Jerusalem and as well as Tel Aviv.

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Speaker 1: Tel Aviv is at the center. But there's innovation all

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Speaker 1: over Israel. So as an example in beer Cheva. You

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Speaker 1: have a very unique partnership between Ben Gurion University of

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Speaker 1: the negative Um, major developers who built office parts, the

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Speaker 1: government who is being an incubator on this, and major

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Speaker 1: vcs that have attracted US companies like e M seeing,

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Speaker 1: Lockheed Martin, major Israeli cyber security companies like cyber Arc

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Speaker 1: and check I wanted to ask you about cyber cyber Arc.

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Speaker 1: Checkpoint Systems is a little bit of a veteran in

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Speaker 1: the in the industry. Just help it build quickly. About

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Speaker 1: cyber Arc, So let's give Checkpoint the credited it deserves.

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Speaker 1: And it's in our It's actually the second largest stock

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Speaker 1: in our index. Checkpoint invented the term firewall, so that

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Speaker 1: it is that shows it's a veteran. Checkpoint is still

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Speaker 1: a major player in cybersecurity, as is rad where as

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Speaker 1: his Elbot. But Cyberarc has come out of nowhere almost

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Speaker 1: did I p O's had incredible performance. And what they

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Speaker 1: do is they go deep inside companies networks and they

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Speaker 1: protect you not they protect companies not just from external

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Speaker 1: threats but threats within the systems. Thank you very much

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Speaker 1: for coming in and spending time. Looking forward to having

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Speaker 1: you one in the future. Stephen Schoenfeldt is the founder

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Speaker 1: and the chief investment officer for Blue Star Indexes. You

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Speaker 1: can be followed on Twitter are at s A. Schoenfeld

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Speaker 1: you're listening to taking Stock, I'm pim Fox and this

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Speaker 1: is Bloomberg. H