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.
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