RETIREMENT PLAN UPDATES
Executive Order Opens Door to Alternative Assets in Defined
Contribution Plans
On August 7, 2025, President Trump signed an executive order
intended to remove barriers to alternative asset investments for
401(k) and other defined contribution retirement plans. The order,
"Democratizing Access to Alternative Assets for 401(k)
Investors" (the Order), defines "alternative assets"
broadly to include private market investments (i.e.,
private equity), real estate, digital assets, commodities,
infrastructure financing projects, and lifetime income strategies
such as longevity risk sharing pools.
The Order directs the U.S. Department of Labor (DOL) to
reexamine its guidance and clarify its position on alternative
assets and the processes for offering them in plans under ERISA.
The Order also directs the Securities and Exchange Commission to
consider ways to facilitate access to alternative asset investments
for defined contribution plans.