Trump account launched: Big manufacturers donate shares in exchange for presidential endorsements, who is the biggest beneficiary?
Author: Azuma
Original title: When major companies donate shares to the “Trump Account”, which targets will benefit?
On July 4, the US Treasury Department officially announced that the long-awaited “Trump Accounts” (Trump Accounts) has been officially launched. US parents and children can now download the app and access the account to check the status of funds or make donations in real time.
Odaily Note: The so-called “Trump Account”, also known as the 530A account, is a tax-deferred investment account program authorized by current US President Trump on June 9, 2025 under the “Big and Beautiful” Act. The account is open to minors under 18 across the US to set up government-funded savings accounts for the children of US citizens.
The initial funding for the “Trump Account” mainly comes from government grants, private donations, and household savings. The federal government will provide an initial funding of $1,000 for each child of a US citizen born from January 1, 2025 to January 1, 2029; in addition, the largest donor and Dell founder Michael Dale announced a donation of $6.25 billion to open accounts for 25 million children with a median household income of less than $150,000 in the region, injecting $250 into each account; parents, friends, and other specific persons can also deposit funds into designated accounts, such as “Donate to an employer ” Channel. Currently, more than 50 companies have pledged to donate to their employees' children.
According to current regulations, the funds in the “Trump Account” will be invested in index funds that track the US stock market. Children can withdraw 50% of their account balance at age 18 and the full balance at age 25. Account earnings are taxed at the long-term capital gains tax rate or income tax.
Trump called for orders on the spot, and Dell's stock rallied
On July 6, local time, Trump held a “Trump Account” launch celebration at the White House Oval Office and personally sounded the opening bells of the New York Stock Exchange and NASDAQ last night on the spot to commemorate the first opening of the “Trump Account” since it was fully launched.
Trump made a high-profile announcement on the scene: “Today is a historic day. On the occasion of America's 250th anniversary, we launched the 'Trump Account'... to ensure that every American child has the edge to win the starting line and has a fair chance to achieve the American dream.”
At the scene, Trump also praised Michael Dale and his wife, the biggest donors of the “Trump Account,” not only calling on the public to “buy a Dell computer,” but also jokingly stated, “We will always find a way to help him get this money back.”
Affected by the president's public order, Dell's stock price rose by more than 3% in the short and medium term yesterday. At the close of trading, it was quoted at 411.8 US dollars, an increase of 4.43%.
Treasury Allows Stock Donations, SpaceX Has Followed
At the same time as the “Trump Account” went live, the US Treasury opened up new funding channels for the account.
On July 2, the Treasury Department officially announced that the “Trump Account” will begin accepting stock donations, and eligible charitable donors can donate approved listed shares to the account.
After the Treasury turned on the green light, Trump also publicly named Musk and called on the latter to donate SpaceX shares to “Trump's account.” As of publication, although Musk himself has not publicly responded, SpaceX President and COO Gwynne Shotwell and her husband have announced that they are donating some of their SpaceX shares to Trump accounts for more than 2 million American children. They are expected to donate about 2 million SpaceX shares, with a total value of about US$325 million.
Gwynne Shotwell said the donation will be earmarked for accounts for children ages 11 to 17 living in areas with lower average household incomes, with a particular focus on children living close to home in central Texas.
From a corporate perspective, today participating in a “Trump account” is not just a public service act; it may also become a new channel for brand exposure. In particular, after Trump publicly called for Dell last night, the market has begun to pay attention to a new logic — in projects that Trump pays close attention to and personally promotes, the sooner companies participate, the more likely they are to receive public endorsements from the president.
As SpaceX follows suit, it is expected that more tech companies, large enterprises, and the rich may join this program in the future. For companies, donating part of the stock does not directly weaken the ability to operate, but it may be in exchange for long-term political exposure, brand value, and potential user access. This is not a loss-making transaction.
What targets are likely to benefit?
From an investment perspective, the greatest significance of the “Trump account” is to create a new pool of funds that is likely to last for decades. Combined with the fund pool's operating mechanism and access path, and Trump's current active actions, the account's potential beneficiaries mainly include three levels.
The first is the direct flow of funds to the “Trump account” — the S&P 500 index. According to rules published by the US Treasury, when the “Trump Account” is launched, all funds will be invested in the “State Street SPDR S&P 500 ETF” (SPYM), a low-cost exchange-traded fund (ETF) designed to track the performance of the S&P 500 index. Additionally, the Treasury Department has selected other ETF index funds such as IVV, VTI, SRTM, and ITOT for the “Trump Account” portfolio.
According to Statista statistics, since 2020, the average number of births in the US has been around 3.6 million. According to this estimate, there were approximately 14.4 million eligible newborns between January 1, 2025 and January 1, 2029. If each child received the initial funding of $1,000 from the federal government, the government alone would have invested about $14.4 billion. Combining donations from the Dell couple, corporate employer contributions, and subsequent household deposits, the account's assets may further expand to tens of billions of dollars in the future. If the plan continues for a long time, it is expected to become a new long-term source of incremental funding for the US capital market.
The second is the “Trump Account” access route — Bank of New York Mellon and Robinhood. As of now, “Trump Accounts” has revealed only two partners, namely the designated financial agency Bank of New York Mellon (BNY Mellon), and the designated brokerage and initial trustee Robinhood. The latter is also responsible for developing the “Trump Account” application.
For these two companies, the core significance of “Trump accounts” is their long-term value — the US will have more than 10 million newborn groups. These accounts mean tens of millions of potential long-term customers, decades-long account lifecycles, and migration opportunities for investment, trading, and wealth management in adulthood. This is similar to the logic of financial institutions competing for IRA and 401 (k) users in the past. If the “Trump account” eventually becomes the default gateway for American children to enter the capital market, then the platform that controls the entrance may obtain a pool of user assets that will last for decades.
Among them, Robinhood, which confronts users, is particularly noteworthy. This is probably an important opportunity for its transformation from a “youth trading app” to a “popular wealth management platform.”
Three are early donors — whoever gives face to the president first, the president likes more. Referring to Dell's case, this type of donation can no longer be simply understood as a simple act of charity. Trump has publicly praised Dell through White House events and taken the initiative to create exposure for its brand.
As Trump's most important “political chip” right now, as more companies join in the future, early participants may receive presidential public publicity to enhance brand influence; and have the opportunity to establish closer ties with government resources.
Oh right, one more thing... At yesterday's event, Trump was asked if the account might contain Bitcoin, and his answer was, “Probably.”
From policy dividends to long-term capital entry
It should be noted that at present, the “Trump Account” is still in the early stages, and its true scale of influence still depends on the scale of subsequent funding, corporate participation, and policy continuity.
In the short term, what is easier for the market to trade is the emotional value brought about by Trump's public endorsement and the exposure effects of early participating companies; but from a longer-term perspective, if this plan continues to advance, it may become a new type of wealth portal connecting America's next generation of consumers, capital markets, and financial institutions.
In a sense, the “Trump Account” is trying to replicate the path of the US retirement account system — creating entrances through government policies, and then leaving financial institutions and capital markets to undertake long-term funding. For investors, what is really worth paying attention to is probably not the next company named by Trump, but who can occupy the central position in this decades-old pool of funds.
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