Trump Orders Plan for U.S. Sovereign Wealth Fund, Raising Feasibility Questions

The executive order directs officials to propose funding and governance strategies, despite the U.S. facing significant fiscal deficits.

President Donald Trump has signed an executive order instructing the Treasury and Commerce departments to draft a plan for a U.S. sovereign wealth fund within 90 days.
The proposed fund aims to promote economic security, reduce tax burdens, and enhance U.S. global economic leadership, according to the administration.
Critics highlight challenges in funding the initiative, as the U.S. operates with a $1.9 trillion fiscal deficit and lacks the surpluses typically used to establish such funds.
Trump's administration suggests leveraging $5.7 trillion in existing federal assets, including natural resources and federal land, though specifics remain unclear.
The plan's success will likely depend on congressional approval and could face significant legal and political hurdles, particularly regarding funding mechanisms and governance.