There’s Donald Trump-branded vodka, steaks, memecoins, and now … exchange-traded funds.

Trump Media’s new asset management company announced the launch of six thematic funds last week designed to track economic sectors that his administration has promised to support, like cryptocurrency, energy, and manufacturing. His company, Truth.Fi, filed with the Securities and Exchange Commission to trademark “Made in America,” “Energy Independence,” and “Bitcoin Plus” funds, along with matching separately managed account versions, and said the products offer an alternative to the whole woke investing thing. 

But with new ETF launches hitting record highs in a marketplace already dominated by BlackRock, Vanguard and State Street, can the new Trump-backed funds really attract interest, and assets, from index investors? 

Make ETFs Great Again

It’s anyone’s guess how the investing public will react to a product launched by the president’s media company, but there are similar launch stories to consider. Strive Asset Management, an issuer founded by former presidential candidate Vivek Ramaswamy, made waves when it opened its doors back in 2022 after it was largely marketed as an “anti-woke” shop. Ramaswamy, who recently left the administration’s DOGE task force and is reportedly running for governor in Ohio, was one of the first high-profile political figures to launch an ETF. Today, Strive has pulled in some $2 billion in assets, a “reasonable total” for a startup, said Aniket Ullal, head of ETF research at CFRA Research. 

But that makes Strive just the 72nd-largest issuer by AUM in the US with a market share of just .02%, according to CFRA data. “Given the intense competitive dynamics of this industry, it seems likely that Truth.Fi will have a similar outcome,” Ullal said. 

The Trump Card. Truth.Fi’s Bitcoin Plus ETF might stand the best chance at mainstream success, given the president’s hardline support of cryptocurrency. But it will have to contend with BlackRock’s IBIT that has dominated inflows in Bitcoin ETFs since its launch in January of 2024. That fund was one of the most successful launches in the history of the industry, and shattered ETF industry records heading up to the November election:

• BlackRock took in more than $2.15 billion in assets in IBIT in a single week leading up to Nov. 5.
• Even more impressive: $872 million came on a single day, breaking previous all-time highs for one-day inflows, according to Bloomberg. 

“The only way for Truth.Fi to break through the marketing noise and exceed the $10 billion asset threshold is if the president gets personally involved in discussing these ETFs in the media,” Ullal said. 

We’re surprised he hasn’t already.

How flexible are you?

After JPMorgan Chase announced employees will have to be in the office five days a week starting in March, it felt like all of Wall Street was ready to get back to the cubicles, water coolers, and Zoom-less meetings. However, large pockets of the financial industry are still embracing hybrid work schedules including big players like Charles Schwab, Franklin Templeton, T. Rowe Price, and Capital Group, according to their websites. Last week, Citi Group CEO Jane Fraser told her executives to continue to let most employees work from home at least twice a week, per the Financial Times. She called the move a “competitive advantage.”

“There are some outlier employees who want to be in the office five days a week, but by-and-large, hybrid is what the top talent is looking for,” said Michael Connaughton, a director at consulting firm Lead Advisor.

Make Yourself Right at Home

The hybrid strategy is especially important among independent RIAs where flexibility is pivotal for staying competitive and attracting the best employees. Work-from-home schedules are becoming a concession many firms feel they simply have to make post-pandemic. In fact, it’s become an expectation among prospective employees, and one they’re willing to give up pay for. Lead Advisor researchers found: 

• Advisors and financial professionals working at firms in larger metropolitan areas are willing to sacrifice up to 12% of their compensation for a hybrid schedule. 
• Managers reported that 75% of all client meetings are now happening virtually.

Companies are also finding real value in hybrid work, and employees are more likely to be productive thanks to saving on commute times, Connaughton said. But does productivity actually increase with hybrid or remote work? If it’s done right, yes, Connaughton said, adding that a few days out of the office can also go a long way toward better worker retention.

Bring Home the Bacon. Triad Wealth President Sara Baker said the hybrid schedule creates a great blend of collaboration and efficiency for her company. She said the differences between remote and office settings can be used as a tactical advantage. “It allows us to be strategic with scheduling team meetings on days we’re in the office, and then when we’re home, we can really put our heads down and get work done,” she told The Daily Upside.

They say it takes a lot to stand out from the crowd. 

Robinhood Asset Management recently filed with the Securities and Exchange Commission to offer an automated investing service, which would allow clients to start investing on its platform with as little as $50 with an annual advisory fee of just .25%. It’s not wildly different from Vanguard, which requires $100 to start and charges up to .25% in management fees; or Fidelity, which requires just $10 to start and offers no advisory fee for balances under $25,000. Robinhood may have captured the online discount trading space, but can it compete with robo-advisors from incumbents like Vanguard, Charles Schwab, and Betterment? 

“Serving up just another, plain vanilla robo-advisory platform risks cannibalizing the Robinhood self-directed business and diminishing the overall firm brand,” said William Trout, Datos Insights director of securities and investments. 

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