Remember when your biggest investment worry was whether to buy the dip on Apple? Those were simpler times, my friend. Now we’re living in an era where the U.S. government has basically become the world’s most powerful day trader – and their stock picks are absolutely crushing it.
Here’s the wild part: Uncle Sam isn’t just regulating companies anymore. He’s literally buying stakes in them. And every time Washington gives a company their official stamp of approval (aka cold hard cash), that stock goes completely bananas.
The “President’s Portfolio” Is Real (And It’s Spectacular)
The government has been quietly assembling what we’re calling the “President’s Portfolio” – taking equity stakes in companies they deem critical to national security. Think rare earth miners, chip makers, and battery producers. You know, the boring stuff that actually runs the world.
The results? Absolutely bonkers gains that would make even the most degenerate WSB trader jealous:
- MP Materials – This rare-earth mining company jumped over 200% in two months after the Defense Department decided they liked what they saw
- Intel – Yeah, that Intel. Climbed 90% in two months once the feds took a 10% stake
- Trilogy Metals – An Alaskan metals firm that literally soared 200%+ in a single day on news of government backing
These aren’t your typical “buy the rumor, sell the news” plays. These are “the government just validated your entire business model” rockets to the moon.
Why This Actually Makes Sense (Sort Of)
Look, we’re in the middle of what feels like an AI bubble. Companies are burning cash faster than a crypto bro in 2021, and valuations are getting pretty spicy. But here’s the thing about bubbles – they can stay irrational way longer than your portfolio can stay solvent.
The government backing adds a “too important to fail” safety net that traditional bubble stocks don’t have. When Washington puts their money where their mouth is, it’s basically saying “we need this company to succeed for national security reasons.” That’s a pretty solid floor to have under your investment.
The OpenAI Problem (And How to Solve It)
Meanwhile, the hottest AI company on the planet – OpenAI – just hit a $500 billion valuation. That’s bigger than most countries’ GDP, achieved in just a few years. The problem? Regular folks like us were completely shut out of that ride.
But here’s where it gets interesting: companies like SuRo Capital (SSSS) give you indirect exposure to OpenAI through their venture fund holdings. It’s like getting a backstage pass to the AI revolution without needing to be a Silicon Valley insider.
The Bottom Line
We’re living through a weird time where the government is essentially picking winners and losers in the stock market. You can either complain about it or figure out how to profit from it.
The smart money is following Uncle Sam’s lead – identifying which critical sectors might get the government treatment next and getting in before the announcement hits. Because when Washington decides your company is essential to national security, your stock price tends to do very, very well.
Just remember: bubbles eventually pop. But until they do, they can make you rich if you play them right.