Mizrahi Tefahot Bank Ltd.
MZTF
2
exclusion reasons
1 theme
This page is part of our public exclusion list — a transparency tool that shows which companies we screen out and why. It is not investment advice, and it is not an accusation. But it is subject to change as our understanding of the facts evolves.
Mizrahi Tefahot Bank finances the construction of illegal Israeli settlements in the occupied Palestinian territories. The bank provides mortgages and loans for settlement housing projects built on occupied land, directly supporting the settlement enterprise. This activity has been documented by the UN Human Rights Council database of business enterprises involved in settlement activities, which lists the bank for its financial services in the Occupied Palestinian Territory.
The Council on Ethics for Norway’s Government Pension Fund Global concluded that the bank’s financing of settlements contributes to violations of international humanitarian law. In August 2025, Norges Bank excluded Mizrahi Tefahot from the fund, citing the bank’s role in an ongoing breach of the Fourth Geneva Convention. The settlements it finances are considered illegal under international law, and their expansion entrenches the occupation.
Mizrahi Tefahot Bank provides the financial services necessary for the construction and maintenance of Israeli settlements in the occupied West Bank. These settlements are widely considered illegal under international law and are a central feature of the ongoing Israeli-Palestinian conflict. By offering mortgages, loans, and banking infrastructure in these areas, the bank materially supports activities that perpetuate conflict conditions and contribute to human rights violations against Palestinian communities.
The Council on Ethics for the Norwegian Government Pension Fund Global has explicitly recommended the bank's exclusion, stating that by providing these indispensable financial services, Mizrahi Tefahot facilitates settlement construction that violates the rights of individuals in situations of war and conflict. A 2018 report titled "Bankrolling Abuse: Israeli Banks in West Bank Settlements" detailed the scope of such banking activities and the violations to which they contribute. The bank's operations in these conflict-affected areas do not meet the affirmative defense of providing an essential service to a civilian population that would otherwise be deprived; instead, they support the expansion of settlements that are a primary driver of the conflict.
Research Sources
2 organizations
Related Exclusions
Wondering what we do invest in?
The Naughty List
A digest of changes to our exclusion list — new additions, removals, and the evidence behind them. We review the list continuously as new evidence surfaces.
Companies appear on our exclusion list based on our investment judgment — not because they've done anything illegal. This is a difference of values and opinion, not an accusation of wrongdoing. Exclusion does not constitute a recommendation against investing in any company, and absence from the list does not constitute a recommendation to invest.
This information is provided for educational and transparency purposes only and should not be relied upon as investment advice. Data is drawn from independent watchdogs, NGOs, government registries, and Ethical Capital's ongoing research — see Research Sources for the full list.
Ethical Capital LLC is a state-registered investment adviser in Utah (CRD #316032). Registration does not imply a certain level of skill or training.