The Treasury and Commerce Departments are drafting a plan detailing how a federal sovereign wealth fund might be structured, funded, and managed.

President Donald Trump’s order for the proposed fund calls for a plan within 90 days that details the vehicle’s purpose, funding mechanism, and governance structure.

Trump says his US sovereign wealth fund will ‘create a lot of wealth’ — but critics counter it’s ‘preposterous’ President Donald Trump has set a bold plan in motion fo

Tucked into the stack of the more than 50 executive orders President Trump has signed since taking office is the plan to create a new sovereign wealth fund. But what exactly will it do and where will the money for it come from?

Trump’s executive order creates a sovereign wealth fund to invest in key sectors and possibly acquire TikTok. Here’s how sovereign wealth funds work.

Trump also said that if this fund goes through, the money in it could be used for something like buying TikTok. The app’s fate has been up in the air since a law requiring new ownership took effect in January. Rachel Wellhausen, a professor of government at UT Austin, said there are many ways to operate a sovereign wealth fund.

Trump proposed setting up a fund that would finance "great national endeavors" including infrastructure projects while campaigning last year.

President Donald Trump’s executive order to create a plan for a U.S. sovereign wealth fund would follow those of Norway, Saudi Arabia, China and others.