US Treasury Taps BlackRock and Vanguard for Child Savings Program

The U.S. Treasury has selected two BlackRock exchange-traded funds to anchor the new Trump Accounts program, a federal child savings initiative launching this July 4. Vanguard will serve as the alternate fund partner, providing a secondary investment vehicle for the government's effort to promote long-term financial security for younger Americans.

Today, 01:13· Money Talk· 287 reads

The government selected BlackRock’s iShares Core S&P 500 ETF (IVV) and iShares Core S&P Total U.S. Stock Market ETF (ITOT) as the primary options, both featuring an expense ratio of 0.03%. Vanguard’s Total Stock Market ETF (VTI) rounds out the selection as the alternate choice. BlackRock Chairman and CEO Larry Fink noted that the program provides a critical head start for children to build assets early in life.

Under the terms of the scheme, the Treasury will deposit $1,000 in seed money into an investment account for every child born between 2025 and 2028 who holds a valid Social Security number. Beyond the government contribution, several corporations, including BlackRock, have committed to matching the $1,000 grant for the children of their own employees.

US Treasury Taps BlackRock and Vanguard for Child Savings Program

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