Trump wants your 401(k) to access crypto and private equity. Here’s what to know.
President Trump says he wants to democratize retirement by allowing 401(k)s to invest in so-called alternative investments, or strategies outside stocks and other traditional investments, such as private equity and cryptocurrencies.
The executive order signed by Mr. Trump on Thursday would open the door to higher-risk investments landing in your 401(k). It could also potentially serve as a game changer for the $5 trillion private equity industry, which for years has wanted to gain access to America’s retirement plans.
The move has the potential to shake up the typically staid menu of investment choices provided to workers through their employer-sponsored defined-contribution plans, which include 401(k)s and 403(b)s, with the…
