Trump can soon tap his $2 billion Truth Social fortune. But it won't be easy
- Bias Rating
42% Medium Conservative
- Reliability
75% ReliableGood
- Policy Leaning
50% Medium Conservative
- Politician Portrayal
-36% Negative
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The A.I. bias rating includes policy and politician portrayal leanings based on the author’s tone found in the article using machine learning. Bias scores are on a scale of -100% to 100% with higher negative scores being more liberal and higher positive scores being more conservative, and 0% being neutral.
Sentiments
5% Positive
- Liberal
- Conservative
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Policy Leaning Analysis
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Contributing sentiments towards policy:
64% : Trump can soon tap his $2 billion Truth Social fortune.59% : Not only does Trump own a majority of the shares, he is the most popular user on the company's central product, Truth Social.
57% : That means Trump could pledge some or all of those shares as collateral in a loan.
53% : "But even if banks won't lend to Trump, rich supporters could."It could be a wealthy individual who either thinks it's good business or they see it as an opportunity to get on the good side of someone who might be the next president," Ohlrogge said.
49% : "If Trump were to sell a large number of shares and the stock price tanks, to some degree he would be burning his own supporters who bought the stock," said Jay Ritter, a finance professor at the University of Florida's Warrington College of Business.
48% : According to filings, that lock-up period is scheduled to expire for Trump on September 25, but it could come even earlier.
47% : "It would be all but impossible for Trump to liquidate his whole stake or even a third of it without completely tanking the stock price," Michael Ohlrogge, an associate professor of law at the New York University School of Law who has specialized in corporate governance and financial regulation, told CNN in a phone interview.
43% : While Trump may be unable to sell many shares at this point, there is another way he could tap his Truth Social fortune.
40% : The lock-up period prohibiting Trump from selling or even borrowing against his $2.3 billion stake in Truth Social owner Trump Media & Technology Group (DJT) is scheduled to expire by September 25, according to filings.
39% : But Trump couldn't touch that fortune because, as is typical in deals like this, certain shareholders are subject to a lock-up period that prevents insiders from immediately selling.
37% : Trump Media has lost a staggering 70% of its value since late March, a selloff that has accelerated as Vice President Kamala Harris, the Democratic nominee, has gained in the polls against Trump.
35% : As long as the stock doesn't keep plunging, this would translate to the restrictions lifting as soon as September 20.'Rats jumping off a sinking ship'The central problem Trump would face in selling most of his stake in Trump Media is that he is the dominant figure for this company.
33% : Of course, as Ohlrogge noted, "a lot of banks are reluctant to do business with Trump due to their past interactions with him.
32% : In reality, Trump faces huge obstacles that would make it very challenging to sell a large chunk of Trump Media - unless he doesn't mind crashing the stock.
29% : Once the lock-up period expires, Trump will no longer be prohibited from borrowing against his stake in Trump Media.
28% : Experts say that if Trump does borrow against his Truth Social stake, he may not be required to disclose it.
*Our bias meter rating uses data science including sentiment analysis, machine learning and our proprietary algorithm for determining biases in news articles. Bias scores are on a scale of -100% to 100% with higher negative scores being more liberal and higher positive scores being more conservative, and 0% being neutral. The rating is an independent analysis and is not affiliated nor sponsored by the news source or any other organization.