Title: Tech investor leads push for government-funded investment accounts for children, with corporate matching funds
On March 8, 2017, the Fearless Girl statue faced the Charging Bull sculpture in New York’s Financial District. Now, in 2022, a new proposal is on the horizon that aims to benefit the next generation of children born in the U.S.
Tech investor Brad Gerstner is leading the effort to create an Investing America program that would seed an investment account with $1,000 for every child born in the U.S. In addition, Gerstner is calling on corporate America to match these funds, providing further financial support for the children of their employees.
“The vision is simple—that corporations would include an Invest America match of $1,000 into the Invest America account of children of their employees,” said Gerstner, who is the founder and CEO of Altimeter Capital. He has already received overwhelmingly positive responses from companies such as Zillow, Dell, and Uber.
If realized, this would mark a significant shift, as historically, companies have not done much to ensure the financial well-being of employees’ children. The proposed program aims to address this and demonstrates a commitment by corporations to supporting their employees and their families.
In addition to the social benefits, there are also potential financial advantages for businesses. Matching contributions to Invest America accounts could provide companies with tax incentives and contribute to positive brand association. Moreover, investing at an early age could potentially yield significant returns, benefiting both the child and their parents.
However, the proposal is not without its critics. Some have noted existing ways for parents to invest on behalf of their children, and companies have to consider whether the investment is advisable for all employees.
Despite the challenges, the potential long-term benefits have prompted advocates like Gerstner to continue pushing for the Investing America program. While its implementation may be years away, the effort to support and provide for the future generation is one that cannot be ignored.