Topline
Donald Trump Jr. and Eric Trump could soon sell a combined $9.6 million in stock they were awarded for serving 10 weeks on a once largely inactive advisory board, according to a Securities and Exchange Commission filing made public this week.
Eric Trump and Donald Trump Jr. chat during the Republican National Convention in Milwaukee on July … More
Key Facts
Donald Trump Jr. and Eric Trump each control 1.2 million shares of Dominari Holdings–a Nasdaq-listed company based in Trump Tower with subsidiaries in the wealth management, investment banking, sales and trading, asset management and capital investment sectors.
The brothers were granted 1 million shares each tied to their advisory board roles and each bought another 216,138 shares, as well as warrants to purchase an additional 432,000 shares, for $1 million in a private placement.
SEC rules typically prohibit shares acquired directly from a public company in a private transaction–as the Trumps’ were–from being sold on the public market for six months.
But a resale registration Dominari Holdings filed with the SEC made public on Monday could legally sidestep that restriction, enabling 52 shareholders–including the Trumps–to sell their shares once the SEC declares the filing effective.
Dominari Holdings closed at $4.79 on Friday, making each Trump’s stake (excluding warrants(excluding warrants))worth $5.8 million—$4.79 million of which came from advisory board compensation.
Donald Trump Jr., Eric Trump, and spokespeople for the Trump Organization and Dominari Holdings did not immediately respond to inquiries.
What To Watch For
The Trump brothers can’t sell their shares until the SEC declares Dominari’s resale registration “effective.” Once any review has concluded and the company has resolved any issues, the SEC will declare the registration effective on its website. (When Dominari Holdings last registered new securities, in December 2024, this process took 10 days.) Once effective, the Trumps and other shareholders mentioned in the registration will be free to sell their shares.
How Will We Know If The Trumps Sell Their Dominari Holding Shares?
Because they each own more than 5% of Dominari Holdings, Donald Trump Jr. and Eric Trump likely are required to disclose any material changes to their ownership. If either sells a stake worth 5% or more of the company, they likely will need to file a disclosure with the SEC within two business days, Alan Palmiter, a professor at Wake Forest University who specializes in corporate law and securities regulation, told Forbes. For smaller sales, they would have until 45 days after the end of the quarter—meaning August 14 for this quarter—to disclose.
Contra
Even if the SEC approves the registration, it doesn’t guarantee the Trumps or any other shareholders will sell. As the filing states, it “does not mean that the selling stockholders will offer or sell any of the shares or exercise any of the Warrants.”
Crucial Quote
“This filing signals that insiders and others didn’t want to wait to sell their company shares,” Palmiter said.
Key Background
There’s little public evidence Dominari Holdings maintained an active advisory board before announcing the Trumps had joined it, as Forbes previously reported. Between June 2021, when the company was named AIkido Pharma, and the day after the Trumps’ involvement was announced, Dominari Holdings did not mention its advisory board in SEC filings, except for references to its chief operating officer having been a member for three months in 2022. Underscoring the advisory board’s pre-Trump insignificance, Dominari Holdings did not file its advisory board agreement with the SEC until Feb. 12, a day after announcing the Trumps’ appointments. An online search also found no public evidence of the advisory board’s existence before then.
Big Number
13,940,546–The number of shares registered in this filing, assuming all warrants are exercised, increasing the common stock outstanding by nearly 60%.
What We Don’t Know
It’s unclear exactly what work Donald Trump Jr. and Eric Trump performed to merit their potential payday. SEC filings reveal that at least 500,000 of their 1 million shares were awarded for the company reaching an unspecified market capitalization. Advisory boards, unlike boards of directors, have no formal legal responsibilities. Dominari’s advisory board agreement lists three duties: offering general advice, suggesting new members and evaluating business opportunities. Dominari Holdings president Kyle Wool has credited the advisory board, especially Eric Trump, for helping a subsidiary secure a bitcoin mining partnership–but that deal was announced after the Trumps received most of their shares.
Surprising Fact
Dominari Holdings’ stock price rose 20%, from $3.90 to $4.79 in the days after the filing became public, even though it signaled a potential wave of selling. Palmiter called that price increase “remarkable.”
News Peg
Just weeks before the Trumps joined Dominari Holdings, their father, President Donald Trump, announced a sweeping plan to boost U.S.-based artificial intelligence infrastructure—including a $40 billion pledge from longtime business partner Hussain Sajwani. Around the same time, Dominari positioned itself as a player in AI and data-center development, touting the Trumps’ “strategic insight.”
Tangent
Dominari Holding’s trading volume soared in the weeks before it announced the Trumps’ roles—activity some securities law experts have called “suspicious.” Insiders also loaded up on the firm’s stock right before disclosing the Trumps’ involvement, news that caused the share price to spike (it has since fallen to pre-announcement levels).
Forbes Valuation
In November 2024—before they received their shares in Dominari Holdings—Forbes estimated Donald Trump Jr.’s net worth at $50 million, while valuing Eric Trump at approximately $40 million.
Further Viewing
Further Reading
How Donald Trump Shifted Kids-Cancer Charity Money Into His Business (Forbes)
After Promising Not To Talk Business With Father, Eric Trump Says He’ll Give Him Financial Reports (Forbes)
