Jared Kushner’s investment firm holds the largest stake in an Israeli financial group with hundreds of millions of dollars invested in companies supplying Israel’s military, raising questions about the overlap between his private financial interests and his role in US Middle East diplomacy, according to a CNN investigation. Kushner, US President Donald Trump’s son-in-law, does not hold a formal government position but has played a prominent role in the administration’s diplomatic efforts in the Middle East, including negotiations concerning Gaza. At the same time, his private equity firm, Affinity Partners, remains the largest shareholder in Phoenix Financial, one of Israel’s largest financial groups.
CNN found that Phoenix holds investments worth more than $456 million in at least nine companies supplying military equipment to Israel. The relationship is indirect: Affinity does not itself own stakes in the nine defense-linked companies identified by CNN. However, as a major Phoenix shareholder, Affinity can benefit financially from Phoenix’s overall performance.
Among Phoenix’s holdings is Elbit Systems, Israel’s largest defense manufacturer. CNN reported that Phoenix’s stake in Elbit forms part of its broader portfolio of defense-related investments, which also includes companies supplying warships, tank components and electronic fuses used in artillery shells. The financial relationship dates to July 2024, when Affinity acquired a stake in Phoenix Financial.
In January 2025, shortly before Trump returned to the White House, Affinity doubled its investment and became Phoenix’s largest shareholder. Affinity itself has received substantial financial backing from Middle Eastern investors. CNN reported that funding came from Saudi Arabia and later from Qatar and the United Arab Emirates.
This means Gulf capital invested through Affinity is indirectly exposed to Phoenix, whose portfolio includes Israeli defense companies. The overlap has attracted particular attention because Kushner has simultaneously played a diplomatic role in conflicts involving Israel. By October 2025, he was publicly involved in ceasefire negotiations between Israel and Hamas and later worked on Trump’s Gaza peace plan while Affinity retained its Phoenix investment.
CNN also reported that Affinity sold approximately one-quarter of its Phoenix stake in July 2026 for more than $340 million, representing a return of more than five times its original investment. Despite the sale, Affinity remained Phoenix’s largest shareholder. Kushner’s representatives have rejected suggestions that he influences Phoenix’s investment decisions.
Extract — continue reading at the source.
