Report: Kushner’s firm is top shareholder in Israeli financial group invested in defense suppliers

Jared Kushner’s private equity firm is the largest shareholder in an Israeli financial group that has invested in companies supplying Israel’s military, while Mr. Kushner serves as a key U.S. negotiator on Gaza, according to a CNN investigation published Thursday.

Affinity Partners, the firm Mr. Kushner founded after President Trump’s first term, holds a 7.4% stake in Tel Aviv-based Phoenix Financial, according to the Jerusalem Post’s account of the CNN report. The stake was valued at more than $1 billion after Affinity sold about a quarter of its holdings in July for more than $340 million, a return of more than five times what it paid for those shares.

CNN, using Israeli financial disclosures, traced Phoenix’s investments in nine companies tied to Israel’s military, totaling at least $465 million, according to the Daily Caller News Foundation. The largest is Elbit Systems, Israel’s biggest arms manufacturer, at no less than $265 million. Phoenix also holds more than $68 million in NextVision, which makes cameras for military drones, and at least $40 million in Reshef Technologies, which makes electronic fuzes for artillery shells, the Jerusalem Post reported. Boeing and Caterpillar are also on the list.

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Affinity does not directly own shares in any of the nine companies, though it can benefit indirectly when Phoenix profits. CNN found no indication that Kushner’s work as a diplomat directly affected the investments it reviewed.

CNN reported that Mr. Kushner has avoided deeper scrutiny of the arrangement by serving as a volunteer envoy rather than taking a government job that would require him to disclose his finances. He helped broker the October 2025 ceasefire between Israel and Hamas.

Mr. Kushner’s attorney told CNN that Mr. Kushner regularly spoke with Phoenix management about the company and potential strategic opportunities. The attorney said Mr. Kushner never participated in or directed Phoenix’s decisions on where to invest, or in any decision to buy, hold or sell the nine companies. CNN reported that his involvement with Phoenix management has decreased since he took on diplomatic work.

White House spokeswoman Anna Kelly said Mr. Kushner’s business activities have nothing to do with his diplomacy, which he performs as a volunteer at the president’s request.

Mr. Kushner rejected the story himself Friday. In a post on X, he called the CNN report deeply misleading, saying Phoenix is not a defense company but a heavily regulated financial institution managing roughly $220 billion in assets, including the retirement savings of millions of Israelis. He said he has no role in deciding what Phoenix buys or sells and that Affinity’s investment is up more than fivefold.

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