Trump Accounts could attract more than $100 billion in additional private commitments over the next 12 months, according to Altimeter Capital founder and CEO Brad Gerstner, who said businesses and philanthropists are increasingly backing the government-backed investment program for children.
Speaking on Fox Business “Mornings with Maria” on Wednesday, Gerstner said the program has already attracted significant private-sector interest beyond publicly announced commitments.
“We have tens of billions of dollars in commitments we haven’t announced,” Gerstner said. “I said to the president, I think we’ll have $100 billion of additional contributions in the next 12 months.”
Trump Accounts are government-backed, tax-deferred investment accounts created under the One Big Beautiful Bill Act. Eligible children born between 2025 and 2028 receive a one-time $1,000 contribution from the U.S. Treasury, while families, employers and other contributors can add up to $5,000 annually.
Gerstner described the initiative as a public-private partnership designed to encourage long-term investing from childhood. He said businesses, philanthropists and community organizations can directly contribute to investment accounts for children in schools, neighborhoods and states.
“It is huge societal ROI and America is unlocking their wallets and pouring a lot of money into these,” he said.
Stock Ownership Gap
The Bank of New York Mellon Corporation (NYSE:BK) CEO Robin Vince, who also appeared on the program, said the initiative could help expand stock ownership among Americans who have traditionally lacked access to capital markets.
“We’ve got 40% of Americans who don’t participate directly in the stock market,” Vince said. “This initiative is about bringing more people to have a stake in the actual capital markets, in the economy and the greatest companies in America.”
Vince added that starting to invest early allows families to benefit from long-term compounding and said many employers, including BNY, are matching contributions for eligible employees’ children.
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Corporate Support Builds
The latest comments come as Trump Accounts continue gaining momentum. Treasury Secretary Scott Bessent recently said nearly 6 million children had enrolled in the program, while Robinhood Markets Inc. (NASDAQ:HOOD) CEO Vlad Tenev said customer growth has been faster than that of many of America’s largest technology companies.
Corporate backing has also expanded in recent weeks. Micron Technology Inc (NASDAQ:MU) pledged $250 million to the program and announced employee-matching contributions, while Dell Technologies Inc. (NYSE:DELL) , SoFi Technologies, Inc. (NASDAQ:SOFI), JPMorgan Chase & Co. (NYSE:JPM), Visa Inc. (NYSE:V), Comcast Corp. (NASDAQ:CMCSA) and BlackRock Inc. (NYSE:BLK) have announced contributions or matching programs.
Space Exploration Technologies Corp. (NASDAQ:SPCX) President Gwynne Shotwell and her husband also pledged $325 million in SpaceX stock to benefit more than 2 million American children.
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
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