May 2 • 2019 13
jn
— ADVERTORIAL —

Investing in
Israel

By Reuben Rashty
S

ince 1951, Israel Bonds has
been providing supporters of
Israel with a way to participate
in the economic support of the
State of Israel. Proceeds from Israel
bond sales have developed every
aspect of Israel’s economy. These
bonds are essential for Israel – in
times of crisis, when funding needs
are immediate, these bonds can
be used to efficiently and cost-
effectively secure capital from the
worldwide Jewish community.
Our clients have often mentioned
Israel bonds as a way to invest in
Israel – we took these comments
to heart at Fifth Third Private Bank
and recently announced we have a
relationship with the Development
Corporation for Israel – the broker
dealer which underwrites bonds
issued by the State of Israel in
the U.S. – to offer an option for
investors to finance the purchase
of an Israel bond with a low out-
of-pocket cost. High net worth
individuals can secure a loan from
the bank to purchase a $500,000
to $1 million two year Israel bond1
with the bond serving as collateral.
Upon maturity of the two-year
bond, the loan is repaid and Israel
has benefitted from the $1 million
investment during that period.
Why Israel bonds?
From an investment perspective,
Israel bonds may offer clients the
opportunity to preserve capital,
and diversify their portfolio. These
bonds can be added to IRAs,
trust funds, pension funds and
endowment funds.
But – more importantly – this
allows the Jewish community in the
U.S. to directly invest in Israel.
These bonds provide options
when planning for financial goals,
including portfolio diversifications,
retirement planning – and make
great gifts for weddings, bar/
bat mitzvahs or births. Many
Foundations hold Israel bonds
as part of their investment
portfolio and also gift the bonds
as part of their charitable giving to
organizations such as colleges and
universities, federations and large
national charities.

Warren Buffet also has a strong
affinity for Israel bonds. Buffet is
such a strong believer, he said if
Israel Bonds offered a perpetual
bond, he would buy it. Separately,
more than 90 states and municipal
public employee pension funds and
treasury funds have invested more
than $3 billion in Israel Bonds.
If you are interested in learning
more about Israel bonds or have
investment questions2, I would
encourage you to reach out
to Adam Grossman, assistant
executive director at Development
Corporation for Israel, adam.
grossman@israelbonds.com. If you
have any questions about Fifth
Third Private Bank, please contact
me directly, reuben.rashty@53.
com.

Reuben Rashty is a member of Keter Torah
and lives in West Bloomfield. He is the
managing director for Fifth Third Private
Bank of Michigan.

1An Israel bond: (1) Is not FDIC insured,
(2) Not Bank guaranteed, (3) May lose
value, (4) Is not a deposit, and (5) Not
insured by any U.S. federal government
agency.

2Approval of the loan and the terms of the
loan are within the discretion of Fifth Third
Bank and ne ither the State of Israel nor
DCI can make the decision whether Fifth
Third Bank will grant you a loan and on
what terms a loan will be made. Private
Bank Checking account or Platinum
Capital Account required. Other terms
and conditions may apply.

Fifth Third Private Bank

300 Park, Suite 300

Birmingham, MI 48009

313-230-9026

www.53.com/privatebank