Truth Social launches scheme to profit from Trump's tariff policies

Source: Popular.info

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Moving forward, Trump can boost or depress the price of virtually any stock through the creation or elimination of tariffs. On Tuesday, Trump Media and Technology Group (TMTG), best known as the parent company of the social media platform Truth Social, announced it was launching a series of actively managed investment accounts. TMTG is marketing these "Truth Social-branded Separately Managed Accounts" as a way to invest in companies that benefit from Trump's political agenda. Trump remains the majority shareholder of TMTG.

In the April 15 press release, TMTG said the new investment accounts would "offer investors access to curated, thematic investment strategies rooted in American values and priorities." Among the themes are "Made in America," which presumably would focus on companies that would benefit from tariffs on competitors who make goods abroad and import them to the United States.

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Trump will profit from these accounts in two ways. First, TMTG will invest a portion of its cash reserves in accounts. Secondly, as the majority shareholder in TMTG, Trump will benefit from the fees generated by these accounts. The performance of the underlying assets held in these accounts will determine both TMTG's return on its cash reserves and interest from outside investors.

But Trump, as President, will also be able to significantly influence the performance of these assets through tariffs and other policies. It is a jaw-dropping conflict of interest for actively managed investment accounts to be marketed under the president's name through a company that is majority-owned by the president.

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Read more: https://popular.info/p/truth-social-launches-scheme-to-profit