What is Trump’s Agenda 47? Building Long-Term Wealth Amid Market Shifts

Energy Independence and Investment Opportunities 

One of the key components of Agenda 47 is energy independence. Trump plans to invest heavily in oil, natural gas, nuclear, and clean coal, aiming to position the U.S. as the industrial nation with the lowest energy costs. This strategy is designed to attract manufacturing back to the U.S. 

As always – nothing is guranteed and this is why it is always best to use index trackers rather than specific industry related funds or buying stocks.  One government can think one way and another in a completely different manner.  Purchasing the whole index negates this. 

Curbing Government Overspending with Impoundment Power 

Trump proposes reinstating impoundment power, allowing the government to refuse unnecessary spending. He asserts that this will not affect spending on defense, Medicare, or Social Security. The financial markets have seen record highs in defense and military stocks, which could be impacted by changes in government expenditure priorities. 

 Increasing Standard of Living 

Trump's vision for an improved standard of living includes: 

• Using federally owned land to promote home ownership 

• Investments in flying car technology to boost commerce and connectivity in rural areas 

• Lowering costs for homes and vehicles 

• Introducing baby bonuses to encourage population growth 

These policies aim to revive struggling communities and make the “American Dream” more affordable. 

Military Spending and Overseas Costs 

Initially, Trump proposed increasing military spending to 3% of GDP. However, he has more recently expressed interest in negotiating with leaders like Putin and Xi to reduce global military budgets. The defense sector remains a key area of focus for investors, with potential shifts in expenditure shaping future opportunities. 

The US Social Security Fairness Act 

A significant policy under Agenda 47 is the removal of the Windfall Elimination Provision. This means U.S. citizens who also receive the UK State Pension or other international pensions will no longer see reductions in their U.S. Social Security benefits. This reform is particularly impactful for U.S. expats retiring abroad. 

Tariffs and Trade Policies 

Trump has long championed the use of tariffs to bolster domestic manufacturing. Some key proposals include: 

• A 10% tariff on all U.S. imports 

• A potential 60% tariff on Chinese imports (though its implementation remains uncertain) 

While these tariffs aim to encourage American manufacturing, their actual impact on global trade and economic relationships remains to be seen. 

The End of Double Taxation for U.S. Expats? 

A proposed shift to a residence-based taxation system could relieve U.S. citizens living abroad from double taxation. If enacted, this policy would significantly impact expats in low-tax jurisdictions like the GCC, where U.S. workers currently pay higher taxes than their local colleagues. 

The Importance of Cross-Border Planning 

Market fluctuations and policy shifts underscore the importance of financial planning for expats. Key considerations include: 

• Tax treatment of foreign income and assets 

• Currency exposure and exchange rate risks 

• Retirement planning for those living outside the U.S. 

As an investor, it is important that you stay informed and consult financial experts to ensure your portfolios remain resilient through economic changes.  

How We Can Help You  

At Hoxton Wealth, our expert advisers are here to help you stay informed and make the best investment decisions for long-term success. If you have any questions about how Agenda 47 may impact you or anything related to financial planning, schedule a consultation with our team today.