U.S. Treasury to deposit $1,000 into custodial investment accounts for children born between 2025 and 2028, targeting long-term asset growth.
President Trump launched Trump Accounts, custodial investment accounts for children under 18, seeded with $1,000 from the U.S. Treasury for eligible newborns. The accounts, restricted to low-cost index funds and ETFs tracking broad U.S. equity indexes like the S&P 500, aim to build long-term wealth with no withdrawals permitted before age 18.
Eligibility is limited to U.S. citizens born between 2025 and 2028. McKinsey estimates the program could generate $80 billion to $900 billion in asset accumulation for lower-wealth households over the next decade. However, economic mobility challenges persist, as 40% to 50% of American children are born into low-income or economically vulnerable households.
The launch was marked by a symbolic bell-ringing ceremony at the White House with heads of the New York Stock Exchange and Nasdaq.