Jared Kushner’s Dual Role in Gaza Diplomacy and Israeli Investments Sparks Concern

Jared Kushner has been central to US diplomatic efforts regarding the Gaza war, even as his private equity firm, Affinity Partners, holds the largest stake in Phoenix Financial. This Israeli investment group owns shares in companies that supply Israel’s military, according to a CNN investigation.

Affinity doubled its stake in Phoenix shortly before Donald Trump returned to the White House, becoming its largest shareholder. The firm owns 7.4 percent of Phoenix, a stake valued at over $1 billion as of July. That same month, Affinity sold a quarter of its stake for more than $340 million, yielding a return of over five times its initial investment.

Using Israeli financial filings, CNN traced Phoenix’s holdings and found investments in at least nine companies providing equipment or services to Israel’s military. The largest is Elbit Systems, Israel’s biggest arms manufacturer, with a stake worth at least $265 million. Phoenix also holds stakes in Next Vision, Reshef Technologies, Israel Shipyards, and Ashot Ashkelon, along with smaller investments in Boeing and Caterpillar. Several of these companies reported increased demand during the conflict.

Kushner’s attorney stated that he never participated in or directed Phoenix’s investment decisions and had no role in purchasing, holding, or selling any of the nine companies. The attorney also denied that Kushner’s diplomatic work influenced Phoenix’s investments, or vice versa.

Despite this, Kushner has described maintaining a close relationship with Phoenix. He told Forbes last year that he engaged in “a very active dialogue” with the group and met its leadership every few weeks. His attorney confirmed he regularly spoke with Phoenix management about the company and market trends, though these interactions decreased as he focused on diplomacy.

Kushner began serving as an unofficial adviser to Trump in May 2025 as the Gaza war escalated, working alongside Middle East envoy Steve Witkoff in negotiations with Israeli and regional leaders. In October of last year, Trump sent Kushner to Sharm El-Sheikh to help secure the Gaza ceasefire deal.

Kushner has openly linked his business interests to his diplomatic approach, arguing that business relationships can bridge Israelis and Arabs, and that his Gulf investors saw potential benefits from ending regional wars. He has also promoted Gaza rebuilding plans, including a “coastal tourism” zone and an airport, citing “amazing investment opportunities” in the territory.

Critics have questioned the overlap between Kushner’s financial interests and his unofficial diplomatic role. Cynthia Brown, chief ethics counsel for Citizens for Responsibility and Ethics in Washington, stated that individuals profiting from government policies should not help shape those policies.

The White House dismissed concerns over a potential conflict of interest, asserting that Kushner’s business activities are unrelated to his diplomatic engagements, which he undertakes voluntarily at Trump’s request. Kushner’s attorney similarly denied any connection between his diplomatic work and Phoenix’s investments.

Because Affinity is a private company, US law does not require it to disclose its investments. Kushner revealed in March that Affinity had made 28 investments, but the proportion of its portfolio tied to Phoenix remains unclear.

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