Israel used to be #2, next to Silicon Valley, in VC fund per capita... but that was 5 years ago. It's now 3 or 4. I'm speaking from memory of some recent gartner reports on VC funding globally.
Israel still has a strong hold on spot #2 in terms of talented workforce, number of exits, number of companies started, overall access to capital, etc etc. Many VC firms have offices only in Silicon Valley and Tel Aviv, with no mention of New York. Pretty cool!