The U.S. Treasury has chosen Vanguard Total Stock Market ETF (VTI) alongside BlackRock’s iShares Core S&P 500 ETF for managing Trump presidential accounts. The move may channel new institutional inflows into VTI, potentially boosting its assets under management and trading liquidity.
On July 2, the U.S. Treasury designated Vanguard Total Stock Market ETF (VTI) and BlackRock’s iShares Core S&P 500 ETF as default investment vehicles for presidential transition accounts associated with the Trump administration.
While the Treasury has not disclosed exact dollar allocations, similar program setups have directed several hundred million dollars into selected ETFs, which could raise VTI’s assets under management by a meaningful percentage and enhance daily trading volume.
The choice reflects the Treasury’s emphasis on low-cost, broad-market, liquid instruments for fiduciary accounts, potentially setting a precedent for future institutional mandates and reinforcing demand for VTI’s passive equity exposure.
