The U.S. Treasury asked major philanthropic donors to contribute to new investment accounts for children Wednesday as part of what Secretary Scott Bessent called a “50 State Challenge” to raise funds for the Trump Accounts program.
“The president is calling on our nation’s business leaders and philanthropic organizations to help us make America great again by securing the financial future of America’s children,” Bessent said in an address.
The billionaire hedge fund founder Ray Dalio, along with his wife Barbara, announced they would commit $250 to 300,000 children under 10 in Connecticut who live in ZIP codes where the median income is less than $150,000. Dalio founded the investment firm Bridgewater Associates and lives in Connecticut.
“I have been fortunate to live the American Dream. At an early age I was exposed to the stock market, and it changed my life,” Ray Dalio said in a statement, adding that he sees the accounts as putting children on a path toward financial independence.
The Dalios' $75 million commitment follows the $6.25 billion pledge from billionaires Michael and Susan Dell earlier in December. The Dells promised to invest $250 in the accounts of 25 million children 10 and under who live in ZIP codes across the country that also have that median income.
The new investment accounts were created as part of President Donald Trump’s tax and spending legislation, passed over the summer. Under the new law, the U.S. Department of the Treasury will deposit $1,000 into the investment accounts of children born during Trump's second term.
The Treasury has not yet launched the new accounts.
“Starting on July 4th, our nation’s 250th anniversary, parents, family members, employers and friends will be able to contribute up to $5,000 to each Trump Account each year,” Bessent said Wednesday.
Brad Gerstner, a venture capitalist, who championed the accounts, said the Treasury will create an account for every child in the U.S. who has a Social Security number but private companies will eventually administer the accounts. Parents or guardians will have to claim the accounts on behalf of their children. For children born before Trump came to office and who don't qualify for the funds from the Dells and the Dalios, their families can open and fund their own Trump Account if they choose.
Money in the accounts must be invested in an index fund that tracks the overall stock market. When the children turn 18, they can withdraw the funds to put toward their education, to buy a home or to start a business.
Bessent said employers, family members and philanthropists can put funds into the accounts and that the administration hopes states will also eventually set up programs to invest in the accounts. Companies including Visa and BlackRock have also pledged to contribute in some way to the accounts of their employees' children.
Associated Press coverage of philanthropy and nonprofits receives support through the AP’s collaboration with The Conversation US, with funding from Lilly Endowment Inc. The AP is solely responsible for this content. For all of AP’s philanthropy coverage, visit https://apnews.com/hub/philanthropy.
U.S. Department of the Treasury Scott Bessent speaks before President Donald Trump arrives at the Mount Airy Casino Resort in Mount Pocono, Pa., Tuesday, Dec. 9, 2025. (AP Photo/Matt Rourke)
FILE - Bridgewater Associates Chairman Ray Dalio speaks during the Economic Summit held for the China Development Forum in Beijing on March 23, 2019. (AP Photo/Ng Han Guan, File)
NEW YORK (AP) — More drops for AI stocks are dragging the U.S. market lower Wednesday, and Wall Street is heading toward a fourth straight loss.
The S&P 500 fell 0.8% in afternoon trading, though it's still not far from its all-time high set last week. The Dow Jones Industrial Average was down 128 points, or 0.3%, as of 1:14 p.m. Eastern time, and the Nasdaq composite was 1.2% lower.
The majority of stocks within the S&P 500 were rising, but they're getting drowned out by drops from the artificial-intelligence industry.
Questions continue to dog the former superstars about whether their yearslong dominance of Wall Street meant their prices shot too high, as well as whether all the investment in AI will produce enough profit and productivity to prove worth the cost. Worries are also rising about the debt that some companies are taking on to pay for it all.
Broadcom dropped 5.4%, Oracle fell 4.6% and CoreWeave sank 4.9%. Nvidia, the chip company that’s become Wall Street’s most influential stock because of its tremendous size, fell 3% and was the heaviest weight on the S&P 500.
Only 17% of respondents in a survey of relatively big businesses by UBS said they're in production at scale with their AI projects. That could be “a reminder for tech investors to remain sober about the likely 2026 revenue growth uplift from AI products,” according to UBS analysts, though the rate continues to rise.
Also on the losing end of Wall Street was Lennar, which sank 4.9% following a mixed profit report. The homebuilder delivered a weaker profit for the latest quarter than analysts expected, though its revenue topped expectations.
Executive Chairman Stuart Miller said that conditions remain challenging, with customers feeling less confident while looking for discounts and more affordable options. As a result, the company gave limited forecasts for its upcoming financial performance.
Progressive, meanwhile, fell 2.2% after the insurer based in Mayfield Village, Ohio, said that its net income for November fell 5% from its year-ago level.
On the winning side of Wall Street were oil companies, after President Donald Trump ordered a blockade of all “sanctioned oil tankers” into Venezuela. It’s Trump’s latest escalation in pressure on Venezuela, which may be sitting on more oil than any other country.
That sent the price of a barrel of benchmark U.S. crude higher by 1.6% to $56.03, just a day after it sank to its lowest level since 2021. Brent crude, the international standard, climbed 1.7% to $59.90 per barrel.
That in turn helped ConocoPhillips rise 3.5% and cut into its loss for the year so far, which came into the day at 8.5%. Devon Energy rallied 3.6%, and Halliburton added 1%. Oil prices had dropped through most of this year on expectations that companies are pumping more than enough crude to meet the world’s demand.
Netflix climbed 1% after Warner Bros. Discovery’s board said it still recommends shareholders approve a buyout offer for its Warner Bros. business from the streaming giant, rather than a competing hostile bid from Paramount Skydance for the entire company.
Warner Bros. Discovery slipped 2.1%, while Paramount Skydance fell 3.2%.
In the bond market, Treasury yields held relatively steady ahead of a report coming on Thursday that will show how bad inflation has been for U.S. consumers.
The yield on the 10-year Treasury held at 4.15%, where it was late Tuesday.
In stock markets abroad, indexes were mixed in Europe following a stronger finish in Asia.
South Korea’s Kospi leaped 1.4% for one of the world’s bigger gains and shaved its loss for the week so far down to 2.7%.
AP Business Writer Elaine Kurtenbach contributed.
Dilip Patel, right, and Bobby Charmak, left, work on the floor at the New York Stock Exchange in New York, Wednesday, Dec. 10, 2025. (AP Photo/Seth Wenig)
Traders work on the floor at the New York Stock Exchange in New York, Wednesday, Dec. 10, 2025. (AP Photo/Seth Wenig)
Currency traders work near a screen showing the Korea Composite Stock Price Index (KOSPI), left, at the foreign exchange dealing room of the Hana Bank headquarters, in Seoul, South Korea, Wednesday, Dec. 17, 2025. (AP Photo/Ahn Young-joon)
A currency trader watches monitors near a screen showing the Korea Composite Stock Price Index (KOSPI) at the foreign exchange dealing room of the Hana Bank headquarters, in Seoul, South Korea, Wednesday, Dec. 17, 2025. (AP Photo/Ahn Young-joon)
A currency trader stands near a screen showing the Korea Composite Stock Price Index (KOSPI), top left, and the foreign exchange rate between U.S. dollar and South Korean won at the foreign exchange dealing room of the Hana Bank headquarters, in Seoul, South Korea, Wednesday, Dec. 17, 2025. (AP Photo/Ahn Young-joon)
