Jared Kushner Negotiates Gaza Peace Deal While His Firm Holds Stake in Companies Supplying Israel's Military

While Jared Kushner has played a prominent role in Washington's Gaza negotiations, his private equity firm has been the largest shareholder in an Israeli financial group that has invested hundreds of millions of dollars in companies supplying military equipment to Israel, a CNN investigation has found.

Affinity Partners holds a 7.4 per cent stake in Phoenix Financial, a Tel Aviv-based insurance and asset management group, worth more than £737 million ($1 billion) in July.

Affinity does not own shares in the defence-related companies directly; its exposure comes through Phoenix, which holds more than £336 million ($456 million) in at least nine of them, including Elbit Systems, Israel's largest arms manufacturer.

CNN found no indication that Kushner's diplomatic activities directly affected the investments it reviewed, and his lawyer said he has never directed Phoenix's investment decisions.

Affinity's 'Best Investment'

The stake has grown rapidly. Affinity bought 4.95 per cent of Phoenix for about £94.7 million ($128.5 million) in 2024 and doubled its holding in January 2025, shortly before Donald Trump returned to the White House, CNN reported.

In July 2026, the firm sold about a quarter of its stake for more than £251 million ($340 million), more than five times its original investment, while remaining Phoenix's largest shareholder.

Kushner has spoken warmly of the holding. He later described Phoenix as Affinity's 'best investment', according to CNN, and told Forbes in September 2025 that he maintained a 'very active dialogue' with Phoenix's leadership and met its team every few weeks.

Drone Cameras, Artillery Fuzes and Warships

Elbit Systems accounts for the largest share. Phoenix holds about £195.5 million ($265.1 million) in the company, which has said it saw a material increase in demand for its products from Israel's Ministry of Defense compared with demand before the war in Gaza, CNN reported.

The other holdings span the military supply chain. They include more than £50 million ($68 million) in Next Vision, which makes cameras for military drones and sells them to contractors including Elbit and Israel Aerospace Industries, and at least £29.5 million ($40 million) in Reshef Technologies, which makes electronic fuzes for artillery shells, according to the investigation.

CNN also identified a holding in Israel Shipyards, whose vessels the Israel Defense Forces says have been used in the Gaza war to launch missiles, and a smaller £1.84 million ($2.5 million) stake in Caterpillar.

CNN reported that, according to the UN, Caterpillar bulldozers supplied to the Israeli military have been used to flatten neighbourhoods in Gaza and Lebanon, and that the UN has urged the company to cease business with Israel. None of the companies responded to CNN's questions.

From Volunteer To Special Envoy

Kushner's diplomatic role is extensive. He was among the US officials who helped negotiate the October 2025 ceasefire between Israel and Hamas, and has since held talks with Israeli Prime Minister Benjamin Netanyahu and with Hamas representatives. CNN reported that Israel has continued to strike the Gaza Strip on a near-daily basis despite the truce.

His formal status has changed. Kushner initially worked as a volunteer without a formal government position, but Trump formally named him Special Envoy for Peace in February 2026.

The ethics watchdog Citizens for Responsibility and Ethics (CREW) in Washington argued that the appointment triggered federal financial disclosure requirements, and later said he had missed the filing deadline.

His lawyer rejected any link between the two roles. Kushner 'never participated in or directed Phoenix's decisions', had 'no involvement in the decision to purchase, hold or sell any of the nine companies' and has never sat on Phoenix's board, the lawyer told CNN, adding that 'any suggestion that Jared's diplomatic work influenced Phoenix's investments in the companies you identify, or vice versa, is incorrect.'

CNN reported that his contact with Phoenix had diminished as his diplomatic work increased, and the White House said his personal business activities were unrelated to his diplomatic engagements.

A Genocide Finding Kushner Rejects

The investigation arrives amid a broader dispute over Israel's conduct in Gaza. The UN Independent International Commission of Inquiry on the Occupied Palestinian Territory, including East Jerusalem, and Israel concluded in September 2025 that Israeli authorities and security forces had committed genocide against Palestinians in Gaza, a finding the Israeli government rejected. The commission reiterated its genocide finding in 2026.

Asked on 60 Minutes whether, after visiting Gaza, he considered what had happened there genocide, Kushner replied: 'No. No.'

Kushner initially participated in the Trump administration's diplomatic efforts as a volunteer without an official government position. President Trump formally named him Special Envoy for Peace in February 2026, however, prompting questions about his financial-disclosure obligations.

CREW said the appointment triggered federal disclosure requirements and later said Kushner had missed the applicable filing deadline.

Kushner's attorney told CNN that he has never participated in or directed Phoenix's investment decisions and has no involvement in the purchase, holding or sale of the nine defence-related companies identified by the investigation.

The White House likewise said Kushner's personal business activities have no connection to his diplomatic engagements.