Semafor reported how Trump baby accounts can morph into Social Security's replacement, a new public pension system:
The model, former SEC chairman and current SDNY Chief Jay Clayton suggested to me at our The Ledger live event this week, is “a well-run pension fund… invested across American industry as much as possible” — like, he said, Australia. There, a national system of mandatory wage-garnishment has created a $4.5 trillion complex of “superannuation” funds — an astounding $300,000 per worker — that’s invested mostly in Australian stocks and property, with enough left over for the country to punch well above its weight as an international investor. The US Social Security trust fund has about $15,000 per employed person today, and it’s clipping Treasury coupons.
For it to work here, there have to be wages.
Michael and Susan Dell are kick starting Trump II's baby accounts with $6.25 billion, or $250 per 25 million children. That is in addition to the government contributing $1,000 per child. Michael Dell started MSD Capital, L.P. in 1998 and added MSD Partners, L.P. (for outside investors) in 2009. MSD Capital rebranded as DFO Management LLC in 2022.
MSD Partners was ranked #40 in size among global private equity underwrites (PEU) in 2025 by Private Equity International. #1 for 2025 was KKR. My wise friend informed me of KKR's early success in the Pacific Northwest, the Blue states of Washington and Oregon. That was a key time as LBOs began rebranding as private equity and needed a beachhead
Here's a gem from Buyouts September 2000:
In raising capital for their New Millenium Fund, KKR revisited the deep green wells of well-heeled public pension funds such as the Oregon Public Employees Retirement System and the $60 billion Washington State Investment Board.
PEUs have long been the answer for public pensions to chase greater returns.
Over the last twenty five years PEUs sent U.S. jobs by the yacht-load from the U.S. to India and Southeast Asia. What PEUs started by exporting jobs and reducing domestic affiliate headcount, TechGods plan to finish with AI and robots of various sorts.
Given that Trump II's manufacturing renaissance is based on automated factories, it remains to be seen how many human jobs are created once those factories are built.
I purposefully have no private equity, private credit or alternatives in my IRA and don't want Social Security or its evolutionary successor to hold that junk either. I know who elected officials have listened to since before the New Millenium. It's been the subject of PEUReport (started July 2007).
Politicians Red & Blue love PEU and their new TechGod/CryptoBro brethren. Increasingly, more are one.
Update 12-7-25: Trump baby accounts are being recognized for the Trojan Horse they are.
