President Trump signed an executive order to establish a government controlled sovereign wealth fund, which would see the U.S. government direct its national budget into investments, such as buying TikTok.
Sovereign wealth funds are investment tools typically used by countries rich in natural resources, and it remains unclear how a U.S. fund would operate.
As he signed the direct order, President Trump stated, “We have tremendous potential. I think in a short period of time, we’d have one of the biggest funds.” Trump added, “Other countries have sovereign wealth funds,” such as Norway and Saudi Arabia, which direct their national budgets into financial assets like stocks, bonds, and real estate.
Although TikTok is not for sale, President Trump hinted at purchasing the app through the sovereign wealth fund, saying, “We’re going to be doing something, perhaps, with TikTok and perhaps not. If we make the right deal, we’ll do it.” Trump added, “And we might put that in the sovereign wealth fund, whatever we make. Or if we do a partnership with very wealthy people. A lot of options.”
Due to legal restrictions, TikTok must find a new owner by April if it is to avoid cancelation in the United States. However, Trump’s goal of using the sovereign wealth fund to acquire the platform is unlikely to happen before this deadline.
By CEO NA Editorial Staff
