Profound

What Profound does

Profound is a privately held Israeli investment house founded circa 2008 and headquartered in Tel Aviv, specializing in global wealth management for high net worth individuals with liquid assets of $1 million or more. The firm operates a 'Think Global, Work Local' philosophy, combining Israeli capital market expertise with international market access through relationships with leading foreign banks in Europe and the United States. Approximately ILS 3 billion in assets are managed across global investment portfolios, foreign securities portfolios, mutual funds, hedge funds (PROFOUND Industries and Technology LP, PROFOUND Long LP), a debt fund (Aliud Capital), and a real estate joint venture with Inter Israel.

Profound's product suite spans the full risk spectrum — from pure bond funds to equity-focused mutual funds distributed through Israeli banks (via Ayalon as fund manager), to alternative investments offered via three wholly-owned LPs for qualified investors. Co-founded by CEO Oded Shtrnbrg and CIO Shai Engel, both with over 20-25 years of capital markets experience, the firm relies on a senior, relationship-driven team and has no proprietary technology platform, operating instead through open-architecture investment management and established banking infrastructure.

The business model is recurring asset-based: management fees on managed portfolios, mutual funds, hedge funds, and debt fund vehicles, plus performance fees on alternative investments. Distribution is exclusively direct — through dedicated senior licensed account managers for HNWIs, through the Israeli banking system for mutual funds, and through US partners (First Trust, BB&T Securities) for three UIT products providing American investors exposure to Israeli equities. Marketing is built on personal networks, financial media editorial presence (Globes, The Marker, Calcalist, Funder), participation in industry surveys, and proprietary client conferences with global banking partners (Morgan Stanley 2016, UBP 2018).

Name

Profound

Legal name

פרופאונד ניהול הון (סי.אם) בע"מ

Website

https://profound-ih.com

Company type

Private

Founded year

2008

Operating status

Operating

Headcount range

11–50 employees

Short description

Profound is a privately held Israeli investment house founded circa 2008, managing approximately ILS 3 billion for high net worth individuals with $1M+ in liquid assets. It offers global portfolio management, mutual funds, hedge funds, and debt funds through direct senior-advisor relationships and Israeli bank distribution.

Ownership category

akta.pro rank

Product category

Wealth Management

NAICS

Portfolio Management and Investment Advice (523940), Open-End Investment Funds (525910), Other Investment Pools and Funds (5259)

SIC

Investment Advice (6282)

akta.pro primary industry

Private Banking & UHNW Wealth Advisory (FSAEABAC)

Keywords

• Wealth management services
• Investment portfolio management
• Mutual fund management
• Hedge fund management
• Retirement account management

Headquarters

HQ city

Tel Aviv

HQ country

Israel

HQ region

Middle East

Offices1 record

Markets served

GTM type

B2C

Offering type

Services

Cost components

Personnel, Operations, Marketing or Sales, Others, Technology or R&D

Revenue model

1. Wealth Management / Portfolio Management: Management of private client portfolios (portfolios managed within the client's Israeli bank account or foreign banks in Europe and the US) for high net worth individuals. Fees are charged on assets under management.
2. Mutual Funds Management: Managing and distributing mutual funds (mutual funds managed externally by Profound as the external investment manager, with Ayalon Mutual Funds as the fund manager). Revenue derived from management fees on mutual fund assets.
3. Hedge Funds and Alternative Investments: Operating alternative investment vehicles — multi-strategy hedge funds (PROFOUND Industries and Technology LP, PROFOUND Long LP) and a debt fund (Aliud Capital) — for qualified investors. Revenue from management fees and performance fees / carried interest.
4. Foreign Securities Portfolio Management: Managing foreign securities portfolios within Israeli bank accounts, offering Israeli investors exposure to international markets with Israeli tax treatment. Revenue from management fees.

Go-to-market motion1 record

Distribution channels2 records

Marketing channels3 records

Core offering

Profound Investment House is an Israeli wealth management firm that provides global investment portfolio management for high net worth private clients (minimum liquid assets of USD 1 million), managing assets through both Israeli bank accounts and foreign banks in Europe and the US. It also manages a suite of mutual funds across the risk spectrum and runs alternative investment vehicles including multi-strategy hedge funds (PROFOUND Industries and Technology LP, PROFOUND Long LP) and a debt fund (Aliud Capital) for qualified investors. Services encompass comprehensive wealth management including financial planning, ongoing monitoring, tax and intergenerational transfer planning, and personal provident fund / IRA management.

Product overview

Profound is an investment house offering a comprehensive suite of wealth management and investment products for high net worth individuals (HNWI). The core offering includes global portfolio management combining Israeli and international market exposure, alongside specialized alternative investment funds. Key products include PROFOUND Industries and Technology LP (Multi-Strategy hedge fund), PROFOUND Long LP (SME-focused hedge fund), and Aliud Capital (senior debt fund) for qualified investors. For retail-accessible investments, Profound manages multiple mutual funds across the risk spectrum: equity funds (Profound 4B equity), balanced funds (30/70 and 20/80 allocations), bond funds (rated and non-rated corporate bonds), and flexible allocation funds. All products are distributed through Israeli and international banking platforms with Hebrew-language client service. Wealth Management services provide holistic planning including global asset allocation, retirement accounts, tax optimization, and intergenerational wealth transfer.

Differentiator

Problem solved

Functional benefit

Brands

• פרופאונד (4B) מנייתית: Equity-focused mutual fund investing in Israeli equities (fund ID: 5119854)
• פרופאונד (4B) מניות Large & Mid Cap ישראל
• פרופאונד גמישה (4D)
• פרופאונד (2B) 30/70
• פרופאונד 20/80 (2B)
• פרופאונד (1A) 10/90
• פרופאונד (1B) תיק אג"ח + 10%
• פרופאונד אג"ח מדורגות (0A)
• אג"ח ללא מניות (0B)
• תיק אג"ח ללא מניות (0B)

Products and services

• Wealth Management Services Comprehensive personal wealth management service including global asset allocation, comprehensive financial planning, long-term goal setting, ongoing monitoring and rebalancing, tax planning, and intergenerational wealth transfer. Provided to high net worth individuals via dedicated senior licensed account managers.
• Global Investment Portfolio Management Management of clients' global investment portfolios through Israeli bank accounts (in Israeli shekels) and through foreign bank accounts in Europe and the US. Combines Israeli capital-market expertise with international market access.
• Foreign Securities Portfolio (תיק ניירות ערך זרים) International securities portfolio managed within Israeli bank accounts, offering Israeli investors exposure to global markets under Israeli regulatory framework with Hebrew-language service.
• Individual Retirement Account (IRA) Management Personal provident fund and Individual Retirement Account (IRA) management under Israel's Income Tax Ordinance Amendment 190, for clients aged 60 and above with reduced tax benefits. Managed within the client's Israeli bank account or through foreign banks in Europe and the US.
• PROFOUND Industries and Technology LP Multi-strategy hedge fund combining long, short, and opportunistic investment dimensions focused on industrial and technology companies and derivatives using a Bottom-Up value investing approach. Available to qualified investors.
• PROFOUND Long LP Hedge fund aiming to outperform the Tel Aviv 150 SME index through fundamental research on Small-Mid Cap Israeli public companies using a Bottom-Up approach combined with hedging strategies. For qualified investors.
• Aliud Capital Debt fund investing primarily in senior secured loans / senior debt instruments for qualified investors.
• Profound 4B Equity (פרופאונד 4B מנייתית) Equity-focused mutual fund investing in Israeli equities, with Profound acting as external investment manager and Ayalon Mutual Funds as the fund manager. Distributed through the Israeli banking system.
• Profound 4B Large & Mid Cap Israel (פרופאונד 4B מניות Large & Mid Cap ישראל) Large and Mid Cap Israeli equities mutual fund. Distributed through the Israeli banking system.
• Profound 4D Flexible (פרופאונד גמישה 4D) Flexible allocation mutual fund. Distributed through the Israeli banking system.
• Profound 2B 30/70 (פרופאונד 2B 30/70) Balanced mutual fund with 30% equity and 70% fixed income allocation. Distributed through the Israeli banking system.
• Profound 20/80 (2B) (פרופאונד 20/80 2B) Conservative balanced mutual fund with 20% equity and 80% fixed income allocation. Distributed through the Israeli banking system.
• Profound 10/90 (1A) (פרופאונד 1A 10/90) Very conservative mutual fund with 10% equity and 90% fixed income allocation. Distributed through the Israeli banking system.
• Profound 1B Bond +10% Equity (פרופאונד 1B תיק אג"ח + 10%) Bond-focused mutual fund with up to 10% equity allocation. Distributed through the Israeli banking system.
• Profound 0A Rated Corporate Bonds (פרופאונד 0A אג"ח מדורגות) Rated corporate bond mutual fund. Distributed through the Israeli banking system.
• Profound 0B Pure Bonds (פרופאונד 0B אג"ח ללא מניות) Pure bond mutual fund with no equity exposure. Distributed through the Israeli banking system.
• Profound Israeli Equity 1 (UIT) Unit Investment Trust (UIT) launched by First Trust in March 2014 for US investors, with Profound serving as the exclusive investment advisor responsible for portfolio construction. Provides exposure to Israeli-listed companies for the American market.
• Profound Israeli Equity 2 (UIT) Second series Unit Investment Trust launched by First Trust in June 2015 for US investors, with Profound as investment advisor. Provides continued exposure to Israeli listed companies.

Quantifiable outcome

• Managed assets of approximately 3 billion shekels across managed portfolios, mutual funds, and hedge funds
• +1 more outcomes

Named customers1 record

Segments1 record

Ideal customer profiles2 records

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Partnerships

Five partnerships are on record, tiered core and minor.

• Union Bancaire Privée (UBP, Switzerland)coreStrategic or Co-development Partner · 1 October 2018Profound hosted round-table meetings in October 2018 with Swiss investment bank UBP, covering alternative investment opportunities (DIG Direct Investment, UBP Hedge Funds), macro-economic trends, and UBP's new investment platform. Mr. Norman Villamin, CIO at UBP, presented on global macroeconomic trends and risks/opportunities in various asset classes. The partnership provides Profound clients with access to UBP's alternative investment products.
• Shalom Trust (distributed by First Trust and BB&T Securities, USA)minorStrategic or Co-development Partner · 1 June 2017In June 2017, Profound was selected as the trusted advisor for stock selection for the Shalom Trust, a UIT (Unit Investment Trust) distributed to investors throughout the US by First Trust and BB&T Securities. The Trust provides exposure to companies with strong ties to Israel, including Israeli, American, and global companies selected for their social responsibility, community contribution, and human capital diversity.
• Inter Israel (Real Estate Consultants)coreStrategic or Co-development Partner · 1 January 2017Profound and Inter Israel jointly established a real estate investment fund targeting income-producing properties in Israel. The fund raised 50-70 million shekels in its first phase for acquiring income-producing properties in demand areas with low leverage. The fund acquired land in Yehud for approximately 8 million shekels for development of a supermarket (approximately 4,000 sqm). Total investment in land and construction estimated at approximately 18 million shekels with an expected yield of approximately 8.5% per annum.
• Morgan StanleycoreStrategic or Co-development Partner · 1 March 2016Morgan Stanley's International Wealth Management division hosted a private conference for Profound clients in March 2016 at the Hilton Hotel, Tel Aviv. The event featured a keynote by Mr. David Martin Darst (former Managing Director and Chief Strategist of Morgan Stanley Wealth Management) on global asset allocation and investment strategy. The partnership reflects over a decade of collaboration between Morgan Stanley and Profound.
• First Trust (USA)coreStrategic or Co-development Partner · 24 June 2015First Trust, an American financial services company, launched two UIT (Unit Investment Trust) products — Profound Israeli Equity 1 (March 2014) and Profound Israeli Equity 2 (June 2015) — providing US investors exposure to Israeli-listed companies. Profound serves as the exclusive investment advisor responsible for constructing the portfolio. These products represent a co-branded strategic initiative to bring Israeli equities to the US market.

Scale indicators4 records

Recent moves4 records

Expansion highlights5 records

Direct peers

• KSM Mutual Funds (KSM): Israeli mutual fund manager specializing in equity and fixed income funds for retail and private clients. Profound's mutual fund division (currently led by Shahar Sinai, ex-KSM) is directly comparable in product type and Israeli distribution model.
• Altshuler Shaham: One of Israel's largest investment houses offering mutual funds, managed portfolios, and provident funds for retail and HNWI clients. Directly comparable to Profound in product suite (mutual funds, hedge funds, managed portfolios) and Israeli HNWI/retail customer base, though operating at materially larger scale.
• Meitav Dash Investments: Israeli investment management firm offering mutual funds, hedge funds, and portfolio management. Comparable to Profound across managed portfolios, mutual funds, and HNWI/private client services in the Israeli market.
• IBI Investment House: Israeli investment house providing mutual funds, managed portfolios, and brokerage services. Directly comparable in product mix (mutual funds across risk spectrum, portfolio management) and target customer (Israeli private and institutional clients).
• More Investment House: Israeli boutique investment house focused on managed portfolios and mutual funds for private clients. Similar profile to Profound: boutique scale, HNWI/private client focus, and multi-asset portfolio management with Israeli market access.
• Psagot Investment House: Israeli investment house managing mutual funds, hedge funds, and managed portfolios for institutional and private clients. Direct competitor to Profound in Israeli HNWI wealth management and mutual fund distribution, with overlapping open-architecture product offerings.

Broad incumbents

• Bank Leumi Private Banking: Major Israeli bank with extensive private banking division serving HNWI with portfolio management, mutual funds, and offshore banking. Overlaps with Profound in HNWI wealth management but as a full-service bank with much broader scale and product range.
• EFG Bank (Israel / International): Swiss-headquartered private bank with Israeli presence serving international HNWI clients. Comparable to Profound for cross-border HNWI wealth management and foreign securities portfolio services, with broader international footprint.
• Bank Hapoalim Private Banking: Israel's largest bank, offering comprehensive private banking, portfolio management, and mutual fund distribution to HNWI clients through its platinum/private banking centers. Competes with Profound for the same Israeli HNWI wallet but operates at much larger scale with proprietary custody infrastructure.

Regional players

• Clal Finance Online (Clal Insurance): Israeli financial group providing mutual funds, provident funds, and managed portfolios through banking and online channels. Comparable to Profound in product mix (mutual funds, provident/IRA management) but with broader retail distribution in Israel.

Market position

Strengths4 records

Weaknesses4 records

Competitive moat4 records

Key risks5 records

Key highlights7 records

Customer concentration

• YouTubeyoutu.be/3vdHbrHbg-w

Revenue estimate

Valuation estimate

Number of profiles

Profiles7 records

Subsidiaries3 records

Funding overview

Funding rounds

Investors

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about Profound