Democratizing Access to Alternative Assets for 401(k) Investors
Directs the Department of Labor to permit 401(k) plans to offer alternative investment options, including private equity, hedge funds, and cryptocurrency.
Section by Section
What each section does, and how they differ.
Addresses the disparity between wealthy investors and 401(k) participants in access to alternative assets, citing regulatory overreach and litigation barriers.
Establishes that retirement plan fiduciaries should be able to allocate portions of 401(k) assets to alternative assets when prudent.
Defines alternative assets and directs the Secretary of Labor to reexamine Department of Labor guidance on fiduciary duties regarding alternative asset allocations within 180 days.
Standard boilerplate: preserves existing agency authority, conditions the order on appropriations, and creates no enforceable private rights.