This Faith and Finance podcast is underwritten in part by Timothy Plan. Good news! Since 1994, Timothy Plan has shared good news with investors and advisers by offering a family of funds that honor your faith. Learn more at TimothyPlan.com. Israel is often in the headlines for conflict.
But there's another story you need to hear. Hi, I'm Rob West. Beyond the headlines, Israel has emerged as a global innovation hub and a rising player in international markets. Today, Brian Mumbert joins us to share why investing in Israel could be a strategic opportunity worth considering. And then it's on to your calls at 800-525-7000.
That's 800-525-7000. This is Faith in Finance, biblical wisdom for your financial decisions.
Well, we're always glad to welcome back Brian Mumbert. He's Vice President of Regional Sales at Timothy Plan, an underwriter of this program. Brian, great to have you back with us. Rob, it's always a pleasure to be here. Brian, when we last talked, we explored the idea of investing in Israel.
And I'd like to take that conversation a step further today. But first, for those unfamiliar with this opportunity, in your view, what makes Israel an attractive place to invest, even in the midst of the current regional unrest?
Well, Rob, I know that common conception is that you think it's counterintuitive to invest when a country is at war. Many times the economy can actually strengthen as spending has to occur and things like defense, obviously, as well as really the entrepreneurial spirit of Israel. I know we've talked a time or two about this. They've been dubbed the startup nation. And that leads to just great technology, great financials, and honestly, a very low cultural view of debt.
You know, one of my favorite stories back when I first visited Israel a number of years ago was we were sitting in one of the largest banks there and they talked about how they gave piggy banks out to the entire population to encourage them to save.
So it's just ingrained in the culture. Yeah, I love that.
Well, one of the natural questions people have as they think about investing in Israel is when it comes to national security, how secure is it to actually invest there? What are your thoughts? Oh yeah, it's very safe to invest there. You know, they trade a lot like in the United States. Obviously, we have the New York Stock Exchange and the NASDAQ.
They have the Tel Aviv 125. It used to be 100, so it's graduated from there and they take the 125 largest companies. And Israel, as we've discussed before, is a developed economy.
So they're firmly in that small mid-range of the international countries out there. And you could look at them almost like a small growth company here in the United States. Yeah, that's helpful. Brian, we don't often hear about Israel's economy. How would you describe its overall health and the impact it's having on the global market?
Well, we always talk about this like it's the forgotten economy. And I just mentioned how it's developed. It was emerging at one point.
Now that it is developed, you still have the dominance of Europe and Japan that run that market. And it's just. A country that gets left out of international holdings, unfortunately, just due to its size. But the GDP there forecasted to be about 3.3% for 2025, with trends to move up to 4.6% in 2026.
So, very comparable to what you might see here in the United States and with very modest inflation as well, with the Bank of Israel kind of really eyeing the 2% range in 2026. And I know that's been a target here for the United States as well. Yeah.
Well, I know financials are really strong there. We'll talk about that in a moment, but I would imagine that tech is a big part of that. But, you know, people often refer to Israel as a startup nation. Why do you think that is? I love this part because it's great to just give these examples of just this year alone and what has happened over there.
So there's a company called Wiz. This is a cloud security company that analyzes computing infrastructure for risk factors that would allow malicious actors to gain control of your website. And so this company was purchased by Google or Alphabet for $32 billion in August. And then you have companies like CyberArc. CyberArk is a really interesting company.
They do work in the financial services and healthcare and other industries to help with identity management.
So a really interesting type of company.
So a company here in the U.S., Palo Alto, bought them for $25 billion in July of this year. And this kind of stuff happens all the time. And we're talking about large U.S. companies that are buying these small Israeli companies. And then you get to like the well-known exports and stuff, you know, SodaStream, I have one in my house.
And then the face ID on my Apple phone, I use that every day. That's exactly right. Most people don't realize that originated with tech from Israel.
Well, we're talking with Brian Mumber today. He's vice president of regional sales at Timothy Plan, an underwriter of this program, and specifically investing in Israel. We're going to talk about the Timothy Plan-Israel Common Values Fund straight ahead. Don't go anywhere, we're just getting started. When you hear the phrase, rich toward God, what comes to mind?
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Investing involves risks, including possible loss of principal. Have you thought about investing in Israel?
Well, we want to try to make the case for you today and give you a simple solution to do just that. Brian Mumbert is here today, Vice President of Regional Sales at Timothy Plan, a true pioneer in faith-based investing and an underwriter of this program. We've been talking about really the compelling opportunity that is investing in Israel. Brian's been making that case. And Brian, before the break, you were talking about some of the incredible technology that's coming out of Israel, some of the tech we use every day that we may not realize has its roots in Israel.
Any other sectors stand out to you?
Well, we've already talked about financials a lot and industrials, of course, with defense really leading the way. As you can imagine, during wartime, defense expenditures do increase, but almost every sector of the economy has posted positive double-digits return in 2025. Absolutely incredible. And then year to date, the shekels also appreciated in value, which is their currency over there.
So, I mean, you look at the overall market and the Tel Aviv 125 is up over 30% this year. Wow, incredible. What about Israel's connections with other nations? How does that impact its opportunities for investors? We know they already have strong ties with the U.S.
here. Major tech presences in Tel Aviv are already over there. But the Abraham Accords have been a big deal. That really helps to normalize the trade between a lot of these different countries. We used to what they call this peace dividend.
It's really kicking into high gear in the second quarter and really contributes to a lot of the positive performance that we've seen in the Timothy Plan Israel Common Values Fund being up over 35% in the second quarter alone. Absolutely. Wow. That is incredible.
Well, let's talk about the Israel Common Values Fund because that's really the mechanism where Timothy Plan makes it easy to invest in Israel.
So, for our listeners today, perhaps that have never heard about Timothy's Israel Common Values Fund, give us a bit of an overview. It's a really neat fund, actively managed, of course, which is something that I honestly think you definitely want in this type of investment, being that it's so specified in one certain economy, but gives you broad diversification over 58 companies that are in the portfolio. Of course, it is faith-based, which is what Timothy Plant is known for. And so we won't own any company that would be profiting from things like abortion or pornography. And it gives you access to the foreign markets without having to worry about currency exchange and things like that.
So overall, it just makes for a really easy investment in a market that would be hard to get a hold of individually by yourself. Yeah.
And with a lot of believers really wanting to be involved in and supporting Israel, I expect you've seen a lot of interest and demand for this product, haven't you? We certainly have, and it's not just performance alone that's driving it, just a lot of wanting to support the country during the time of war that they're in. Yeah, no doubt. Brian, how has Europe's renaissance, along with trends in the global markets, helped to boost Israel's economic growth?
Well, broader international growth has really boosted Israel. And we can trace a lot of this back to when Vice President J.D. Vance delivered a speech earlier this year in Europe where he talked about them raising their defense spending, encouraging them to not just rely on the U.S. for this. We know that there's conflict in Ukraine.
Obviously, there's conflict in the Middle East as well. And Europe being a major buyer of Israeli defense products really boosts both economies. Yeah.
You mentioned the compelling returns that you've seen in Q two up thirty five percent on the Israel Common Values Fund. What sectors are really driving the performance this year?
Well, I mentioned the peace dividend earlier, and there's a lot of confidence that the current administration, the Trump administration, will help end this war in Gaza and expand these Abraham Accords. And that could just deliver so much to the area. And then there's the realization that Iran has been severely weakened with the strike earlier in June, reducing their capability of. making nuclear weapons and helping to stabilize the area. And then there's a really neat thing here: the natural gas partners in the Leviathan offshore gas field, which is out in the Mediterranean Sea, just off of Israel there.
There was a $35 billion Egyptian gas export deal that was signed, which will triple the amount of gas sold in Egypt. Wow, that is incredible. Brian, you mentioned that really faith-based values and screens are a part of everything you do at Timothy Plan. You're clearly one of the pioneers, the earliest in this space of what we call faith-based investing. Will you share with our listeners what that looks like for your team as you evaluate and analyze companies?
We're really looking at what a company promotes or profit from directly when we're looking at these filters and these screens. And so we lose companies that might be corporately donating to groups like Planned Parenthood. And as crazy as it sounds, there are groups over there in Israel that are similar to that. And so we lose a few companies due to that type of screening. Or if technology companies are in the world of hosting pornographic websites of any kind, we're looking deeply there to see if there are those types of companies that we would exclude from the portfolio.
Because even if we're removed from the US, those issues are worldwide and it's something that we take very seriously. Brian, has it become easier to do this level of screening now with just the ready access to information and technology that can help to uncover some of this misalignment with Christian values? Yes, Rob, it has become easier over time. When I first started here 19 years ago, even they were doing a lot of research online. There was a lot of 10K reports and things that came out of companies.
But realistically, there were still a lot of phone calls, a lot of letter writing that went into it. And that still happens today. But with technology, companies have to be a bit more transparent. And as we've seen in other companies globally here in the US, when things change within an organization, you'll see social media light up and direct attention that way. Yeah, no doubt about it.
Well, it really is an exciting time in this whole space of faith-based investing as it continues to grow. And more and more Christians, I mean, I hear it every day on this program, they're wanting to align their values with every facet of their lives. And that includes, you know, the decisions they're making on spending. It includes their giving, but it also includes their deployment of capital. And with companies like Timothy Plan, you're making that easier than ever.
And of course, Brian, this Israel Common Values Fund sits alongside a full complement of investments that would allow somebody to be fully diversified, right? Absolutely. We have twelve mutual funds and six ETFs available to investors to choose what style of investing they like, either domestic or international. And of course, passive ETFs or active managed mutual funds.
So the diversity in the lineup is there. Brian, if somebody's with an advisor, a wealth manager who's making these decisions and they've never seen any of these types of investments in their portfolio, how might you encourage them as they engage their adviser around considering this? I'd really encourage the average investor to talk to their advisor about what they're passionate about. You know, I sit across from an advisor myself, and I want them to know that I am an active member in my church and that I support certain charities. And if I tell them these things, I know that they will find something for me that matches what I'm looking to do in my everyday life because ultimately I want to live out this Christian mandate of stewardship in all aspects.
And so just really asking your advisor, you know, telling them what you're passionate about, telling them what you're actively involved in can help them to help make the right decision for you and the investing that you do. Yeah, that's a good word.
Well, Brian, we're so thankful for our partnership with Timothy Plan and your great work. Thanks for stopping by today. Thank you, Rob. Happy to be here. Have a great one.
All right, that's Brian Mumbert, Vice President of Regional Sales at Timothy Plan, a true pioneer in faith-based investing. You can learn more about investing in Israel through their Israel Common Values Fund at TimothyPlan.com. That's TimothyPlan.com. You might even want to share that website with your advisor. We'll be back with your questions after this.
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More information, including a short video webinar on profit and peace of mind no matter what's happening in the market, is available at soundmindinvesting.org. Great to have you with us today on Faith and Finance. We do have some lines open today taking your calls and questions. 800-525-7000. Bishop is in Ohio.
Bishop, go right ahead. Hey, how you doing today, Rob? I'm doing great. Thanks for your call. I was calling because I would like to have some biblical insight on the power of tithing.
And I have heard about reverse tithing where an individual would actually live on 10% and give 90%. But if we increase our amount of tithing to, let's say, 15%, 20%, What do you think the benefits of that can be? Yeah.
Well, I think you've got to be careful there. And I'm not necessarily hearing this in your question, but I just want to say it because anytime we talk about the benefits, we have to be careful as to what is driving our giving. Because I think giving that honors the Lord is, you know, we have to be careful as to are we giving for the right reasons? You know, giving shouldn't be motivated by guilt. I think sadly, some Christians have been influenced by legalism or the prosperity gospel, which suggests that failing to give equates to stealing from God or even forfeiting his blessings.
It shouldn't be about control where we're trying to control the recipient. It shouldn't be about pride. I think ultimately giving is really a hard posture. We give cheerfully, as Paul emphasizes in 2 Corinthians. We give proportionately.
Again, Paul in 1 Corinthians 16 says, give in keeping with your income.
So that means proportionate giving. I think we should make giving a priority, which is giving, you know, out of our first fruits. We see that in Proverbs 3. But it all comes out of an overflow of gratitude to God for the grace that He's extended to us and a recognition that part of our role as a steward is to hold God's money loosely and give it generously. That allows us to be connected to God's activity.
And that's really the problem. Primary blessing is to know that we're participating in God's work, whether that's giving to our local church, which was clearly God's plan A. And so we're a part of supporting that, or beyond the local church to support those other causes on the heart of God.
Now, you mentioned a reverse tithe where you tithe 90 and keep 10. And we see R.G. Laterno and plenty of examples throughout history of people that have done that. There's also a progressive tithe approach where you say, hey, I'm going to bump up 1% a year. I was 10% last year.
I'm going to 11% this year. And it's not because I'm hoping to get something back. God is not a cosmic vending machine. I think that's where we start to trip into the prosperity gospel. I think when we do that, it's really a recognition that, God, I want to be giving you more because the more I get to know you, the more I'm just overwhelmed by the grace that you've extended to me.
And I want to be joined with you where you're at work and want to. One of the ways you allow me to do that is in stewarding your resources and returning it to your activity. But at the end of the day, I think, and this is where I'll finish. I want to get your thoughts. New Testament giving is really giving that's a response to God's grace.
It's freely and joyfully given. It's consistent and proportional to our financial status. And it's directed to the causes that honor God that we see clearly on his heart in scripture. But give me your thoughts on all that because I've thrown a lot at you there. Yeah.
I definitely like your response. Your response was. are very well spoken and placed and put forth. I see over there in 2 Corinthians chapter 9, it says. He that gives sparingly, who sows sparingly, he's gonna reap sparingly, but the man who gives bountifully, He will reap bouncifully.
And I believe, like, even a lot of other individuals may be like, okay, now we understand that those blessings may not just be financial, but if we were to take that particular scripture, I wonder what, like, if we were to use our faith, because faith is the substance of things hoped for, the evidence of things not seen. I would like to know, like, what could that look like, even in other areas? of totally being blessed by God. Yeah.
Yeah, and I think it's a good question. And I think ultimately we have to always understand the context for what we're reading. And that starts with, in this case, what are the blessings? And I think it's God's provision. You know, Paul says God makes all grace abound so believers have sufficiently in all things.
And that's not a guaranteed material wealth. I think it's spiritual fruitfulness. A harvest is primarily spiritual, joy in giving, thanksgiving from others to God, growth in righteousness. It's the ability to be more generous so that we can abound in every good work. Generosity multiplies and it creates a virtuous cycle.
And then clearly, it's eternal rewards as well. I hope that helps. Bishop, thanks for your call. Let's go to Montana. Renee, thanks for calling.
Go ahead. Yes. Thank you so much. The ability to speak with you now as an answer to prayer.
So, thank you. My grandpa has chosen to invest his money in a commemorative coin collection that he's been growing over the years. And he's asked me and my aunt to go ahead and take the coins before he passes. Find out what their value is and to sell that money for him. And I'm just not sure where to turn for it.
Yeah, I'm just wondering what your recommendations might be for where to go to ascertain the value and to. to get the best. For his investment. Yeah, absolutely. And it will be important to find a reputable dealer, someone who's a numismatist, that's hard to say, who specializes in rare coins and understands not only the underlying value of the precious metal, but to the extent these are rare coins and have value beyond just the metal, somebody who can give you a true appraisal on that.
You know, generally, you'd start with a local coin dealer if you can find one. You can look at online ratings, whether that's Yelp or any number of services that might rate them online. You know, that would at least be a starting point. And, you know, many online coin dealers have a feature that allows you to appraise your collection. And there's even several apps that allow you to do that with a smartphone.
You could even just search in your app store for coin appraisal and you snap a picture and it at least could give you a ballpark. But obviously, if you're looking to actually liquidate these, you're going to want to do your due diligence. Diligence. I'd be happy to have our team give you, you know, perhaps at least get you connected to somebody who could point you in the right direction if you want to hold the line, Rene. Is he looking to get rid of these here pretty quick?
Yeah, he'd like to do that. Yeah.
Okay, yeah, very good.
So let's do this. You stay on the line. Our team will give you at least one source that you can start with. And then I think, you know, doing a little bit of research in your own area, starting with local reviews, perhaps even checking on some of these apps or online coin dealers. Could be an idea that would get you pointed in the right direction as you begin to compare all of these side by side.
I think it will merge what you truly have in terms of its value. And then it's a matter of just finding that reputable dealer who'd be willing to make that purchase from you or facilitate that sale. But we appreciate your call. And if you stay on the line, we will get your information, get more information to you. Thanks for calling.
Folks, that's going to do it for us today. I hope you found something today helpful and you were encouraged. I certainly couldn't do this without my amazing team. My incredible producer, Devin Patrick, providing great research today and assistance is Mr. Jim Henry providing our phone support and call screening today, Sandy Dickinson.
Hey, if you want to be a FaithFi partner, it'd be a huge blessing to us as a listener supported ministry. Go to faith5.com/slash partner to learn more and then come back and join us tomorrow. We'll see you then. Faith in Finance is provided by FaithFy and listeners like you.
