President Trump said Tuesday his daughter Ivanka Trump would be an "incredible" U.S. ambassador to the United Nations, but indicated he's reluctant to pick her because of the criticism he'd get for doing so.

"I think Ivanka would be incredible. Doesn't mean I can pick her. I would be accused of nepotism," Trump told reporters on the South Lawn of the White House.

"I can be accused of nepotism, if you can believe it," he said.

Ivanka Trump, an unpaid presidential adviser, was widely discussed as a possible pick after U.N. Ambassador Nikki Haley announced her departure Tuesday. The first daughter formerly lived in New York, where the U.N. is based.

Trump told reporters on the South Lawn that Haley "is going to help me make the final pick" on a new U.N. ambassador, and he cited Dina Powell, a former White House adviser, as a potential nominee.

Although Trump downplayed the possibility of picking his daughter, he also joked, "I think CNN would support her."

"How great would Ivanka be?" Trump asked reporters. "People that know, there is nothing to do with nepotism, but I want to tell you that the people that know, know that Ivanka would be dynamite."