Trump Media takes finance ambitions further with investment fund – InvestmentNews
Trump Media & Technology Group Corp. is creating a new fund to invest in “America First” companies, a move that could further co-mingle the business and policy interests of President Donald Trump.
The parent company of Truth Social will work with investors to buy other businesses in the “growing America First Economy,” according to a statement Friday. Though it’s not clear what those businesses might be, Trump Media has previously used “America First” to encompass US energy independence, made-in-America and Bitcoin-related products.
While many details of the new fund’s strategy remained vague, it will look for companies that would benefit from Trump Media’s technology and branding, and that could function on their own as subsidiaries, the company said.
“The America First economy is a fantastic sector with enormous potential, and we want all its participants to know that Trump Media & Technology Group intends to make this market even greater,” CEO Devin Nunes said in the statement.
In Trump’s second term, the president and his family have opened up a range of new opportunities for direct financial benefit. Trump and his wife Melania have a pair of meme coins they debuted before the inauguration, and the family promotes a crypto platform called World Liberty Financial. Trump’s son Donald Trump Jr. holds roles at a range of companies, including Trump Media, where he’s a board member, as well as 1789 Capital and PSQ Holdings Inc., which also tout their “anti-woke” bonafides.
Securities lawyers said the fund could pose conflicts of interest if outside investors were to contribute in hopes of winning favor with the president.
“My concern would be the investors would be less interested in turning a profit through the investment acumen of the fund manager and more concerned with currying favor of the president of the United States,” said Ann Lipton, professor of business law at Tulane University.
The announcement of the strategic acquisition fund comes as money-losing Trump Media moves into financial services with a new brand called Truth.Fi, which plans to offer exchange-traded funds based on “America-First principles.”
Trump owns a 52% stake in Trump Media, worth about $3.2 billion. He transferred his shares to a trust controlled by Trump Jr., where the president is the sole beneficiary.
The plan to downsize the federal tax agency's workforce will largely impact Biden-era hires, according to an inside source.
Fund managers like Allspring Global Investments for years have been facing competitive pressure from low fee exchange-traded funds and indexed mutual funds.
The decision fixes a longstanding inequality between local advisors and their federally registered counterparts, according to one advocate.
Wealth managers offer their investment outlooks on newly resurgent European stocks.
The crypto exchange giant says the dismissal, which is still pending approval, would "right a major wrong" and pave the way for constructive rulemaking.
Blue Vault Alts Summit highlights the role of liquidity-focused funds in reshaping advisor strategies
From 'no clients' to reshaping wealth management, Farther blends tech and trust to deliver family-office experience at scale.
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This article was autogenerated from a news feed from CDO TIMES selected high quality news and research sources. There was no editorial review conducted beyond that by CDO TIMES staff. Need help with any of the topics in our articles? Schedule your free CDO TIMES Tech Navigator call today to stay ahead of the curve and gain insider advantages to propel your business!
The parent company of Truth Social will work with investors to buy other businesses in the “growing America First Economy,” according to a statement Friday. Though it’s not clear what those businesses might be, Trump Media has previously used “America First” to encompass US energy independence, made-in-America and Bitcoin-related products.
While many details of the new fund’s strategy remained vague, it will look for companies that would benefit from Trump Media’s technology and branding, and that could function on their own as subsidiaries, the company said.
“The America First economy is a fantastic sector with enormous potential, and we want all its participants to know that Trump Media & Technology Group intends to make this market even greater,” CEO Devin Nunes said in the statement.
In Trump’s second term, the president and his family have opened up a range of new opportunities for direct financial benefit. Trump and his wife Melania have a pair of meme coins they debuted before the inauguration, and the family promotes a crypto platform called World Liberty Financial. Trump’s son Donald Trump Jr. holds roles at a range of companies, including Trump Media, where he’s a board member, as well as 1789 Capital and PSQ Holdings Inc., which also tout their “anti-woke” bonafides.
Securities lawyers said the fund could pose conflicts of interest if outside investors were to contribute in hopes of winning favor with the president.
“My concern would be the investors would be less interested in turning a profit through the investment acumen of the fund manager and more concerned with currying favor of the president of the United States,” said Ann Lipton, professor of business law at Tulane University.
The announcement of the strategic acquisition fund comes as money-losing Trump Media moves into financial services with a new brand called Truth.Fi, which plans to offer exchange-traded funds based on “America-First principles.”
Trump owns a 52% stake in Trump Media, worth about $3.2 billion. He transferred his shares to a trust controlled by Trump Jr., where the president is the sole beneficiary.
The plan to downsize the federal tax agency's workforce will largely impact Biden-era hires, according to an inside source.
Fund managers like Allspring Global Investments for years have been facing competitive pressure from low fee exchange-traded funds and indexed mutual funds.
The decision fixes a longstanding inequality between local advisors and their federally registered counterparts, according to one advocate.
Wealth managers offer their investment outlooks on newly resurgent European stocks.
The crypto exchange giant says the dismissal, which is still pending approval, would "right a major wrong" and pave the way for constructive rulemaking.
Blue Vault Alts Summit highlights the role of liquidity-focused funds in reshaping advisor strategies
From 'no clients' to reshaping wealth management, Farther blends tech and trust to deliver family-office experience at scale.
Get unlimited access to InvestmentNews
Copyright © 2024 KM Business Information US, Inc.
Use of editorial content without permission is strictly prohibited. All rights reserved
source
This article was autogenerated from a news feed from CDO TIMES selected high quality news and research sources. There was no editorial review conducted beyond that by CDO TIMES staff. Need help with any of the topics in our articles? Schedule your free CDO TIMES Tech Navigator call today to stay ahead of the curve and gain insider advantages to propel your business!
