Trump Account Investment Questions

Cash in the account must be invested in mutual funds or ETFs that track the S&P 500 or a broad U.S. equity index, with annual fees/expenses at or below 0.1%. For the official national program, Treasury’s launch default is SPYM; additional options (when elections open) are IVV, VTI, SPTM, ITOT. Families cannot buy individual stocks, crypto, bonds, or sector funds. A separate temporary rule lets eligible donors give publicly traded stock to a large class of accounts. Details: stock donations.

Treasury named the official lineup in press release sb0551: default SPYM (State Street SPDR Portfolio S&P 500 ETF), plus IVV, VTI, SPTM, ITOT when investment elections open. In August 2026, IRS/Treasury also proposed detailed eligibility tests (fee cap, no leverage, ESG exclusion) — see our proposed investment rules explainer. Older articles that list VOO or SPY are describing the type of fund, not the official program menu.

No. You cannot buy individual stocks, sector funds, or actively managed funds with Trump Account cash. Temporary regulations (T.D. 10056, 2026-09-30) let governments, tribes, and 501(c)(3)s donate publicly traded domestic stock to a class of at least 5,000 children. Parents cannot make that gift. How stock donations work.

No. Cryptocurrency is not an eligible investment for Trump Accounts. The law requires investments in mutual funds or ETFs tracking the S&P 500 or a broad U.S. equity index.

No. Bond funds are not eligible. Trump Account investments are limited to equity index funds that track the S&P 500 or broad U.S. stock market.

No. The investment must track a primarily American equities index. International-only stock funds, even broad ones like VXUS, are not eligible.

Under the August 2026 proposed regulations (Federal Register 2026-17123), funds that track an ESG index — including any index that has or is marketed as having an environmental, social, or governance focus — are not eligible investments. Those rules are proposed, not final. Details: proposed investment rules.

Per statute / Notice 2025-68 (and the proposed regs), eligible funds must keep annual fees and expenses at or below 0.1% (10 basis points). Official lineup funds sit well below that. Use our Fund Expense Tracker and fees guide.

Until Treasury enables investment election functionality, all contributions remain invested in the default fund (SPYM). When elections open, you would choose among Treasury’s eligible options — not the entire ETF market.

At launch the default is SPYM from State Street. Robinhood Securities is the sole initial trustee/broker for the national program. Index funds passively track their indexes.

The S&P 500 has historically returned approximately 10% per year on average (about 7-8% after inflation). Over an 18-year period, returns will vary significantly year to year. Past performance does not guarantee future results. Use our Trump Account calculator to model different scenarios.

Since Trump Accounts are long-term (through the growth period), short-term market downturns are expected and historically recover. Over any 18-year period in S&P 500 history, the market has always had positive returns. The locked-in period actually protects against panic selling.

Only if it meets the investment requirements — tracking a broad U.S. equity index with fees at or below 0.1%. Most target-date funds include bonds and international stocks, which would make them ineligible.