WASHINGTON (JTA) — The state of Illinois has purchased $10 million worth of Israel Bonds.
The Israel Bonds will mature in three years with a 2.43 percent rate of return, compared to U.S. government bonds yielding a 1.51 percent return during the same period, according to Illinois state treasurer Alexi Giannoulias.
"This is a good way to safely diversity our portfolio, especially during a time when some of our other investment options aren’t generating as much revenue because of the market fluctuations here in the United States," Giannoulias said in a statement.
"Israel’s economic resilience has been praised by international credit agencies, and we are proud that the state has also expressed confidence through this significant investment," said Joshua Matza, the president and CEO of Israel Bonds.
This is not the first purchase of Israel Bonds by Illinois, which started buying foreign government bonds in 2003.