Kushner’s company has large stake in firm with Israeli military links as he negotiates in Gaza
Kushner’s Gaza Role Raises Questions About Israeli Investment Ties
Activelifezero.com – Kushner s company has large financial interests in an Israeli firm whose portfolio includes businesses connected to Israel’s military sector, drawing scrutiny as Jared Kushner helps negotiate issues related to the war in Gaza.
Affinity Partners, Kushner’s private equity firm, is the largest shareholder in Phoenix Financial, a Tel Aviv-based company. Phoenix has disclosed investments in Israel’s largest weapons manufacturer as well as several companies that provide military-related equipment and services.
The arrangement has raised conflict-of-interest concerns because Kushner has remained active in private business while serving as a volunteer envoy and adviser to President Donald Trump on Middle East issues. He has not accepted a government position that would require public financial disclosures.
Affinity’s Stake in Phoenix Financial
Kushner s company has large holdings in Phoenix after increasing its position last year, shortly before Trump returned to the White House. Kushner later described Phoenix as Affinity’s “best investment.”
By July, Affinity had sold about one-quarter of its Phoenix position for more than $340 million, generating a return of more than five times the cost of its initial stock purchase. Even after that sale, Affinity retained a 7.4% stake in Phoenix worth more than $1 billion as of July.
Affinity does not directly own shares in the military-linked companies identified in public records. However, its Phoenix stake can benefit when Phoenix’s broader investment portfolio performs well.
Military-Linked Holdings and the Gaza War
Public records show Phoenix invested hundreds of millions of dollars in Elbit Systems, Israel’s largest arms producer. The company also held positions in at least eight additional businesses that supply equipment used by the Israeli military, including drones, warships and demolition machinery.
All nine companies identified saw their share prices rise last year. Several cited the Gaza war as a factor that increased demand for their products or services.
Kushner s company has large exposure to Phoenix’s overall performance, though there is no indication that Kushner’s diplomatic work directly influenced Phoenix’s investment decisions or that Phoenix’s portfolio directed his work on Gaza negotiations.
Kushner’s Diplomatic Role
Since spring 2025, Kushner has become a visible figure in the administration’s Middle East policy efforts. He has advised Trump, traveled for talks with regional leaders and met with Israeli Prime Minister Benjamin Netanyahu.
He also promoted ideas for rebuilding Gaza and developing the territory as an international tourism destination. Kushner was a central figure in crafting the Gaza ceasefire agreed by Israel and Hamas last October, although Israeli strikes in the enclave have continued on a near-daily basis.
“There are always people who profit from war or government policies. The difference is that the people profiting should not be the people making the decisions to make that policy,” said Cynthia Brown, chief ethics counsel for Citizens for Responsibility and Ethics in Washington.
Critics say the issue is broader than tying a specific policy decision to a specific investment. They argue that a negotiator working on a conflict should be able to maintain public confidence while holding financial interests that may benefit from the economic effects of war.
Kushner’s Response
An attorney for Kushner said he has never participated in Phoenix’s investment decisions and has not directed the company to invest in particular businesses. The attorney said Kushner played no role in the purchase, retention or sale of the nine military-linked companies and has never served on Phoenix’s board.
“Any suggestion that Jared’s diplomatic work influenced Phoenix’s investments in the companies you identify, or vice versa, is incorrect,” the attorney said.
Kushner has nevertheless described his relationship with Phoenix as active. In an interview with Forbes last September, he said he maintained “a very active dialogue” with the group and met with its leaders every few weeks.
FAQ: Kushner, Phoenix and Gaza Negotiations
Does Kushner directly own the military-linked companies?
No. Affinity’s investment is in Phoenix Financial, rather than direct ownership of the individual companies identified in Phoenix’s portfolio.
Why are the investment ties being questioned?
Kushner s company has large financial exposure to Phoenix while he is involved in high-profile diplomacy concerning Gaza. Critics say that combination deserves examination even without evidence that investments and diplomatic decisions influenced each other.
What has Kushner said about the concerns?
His attorney has said Kushner did not participate in Phoenix’s investment decisions and that any claim his diplomatic work affected Phoenix investments, or the reverse, is incorrect.
