President Donald Trump will sign an executive order on Thursday to allow alternative assets such as private equity, cryptocurrencies and real estate into 401(k)s, according to a senior White House official.
The executive order will direct the U.S. Secretary of Labor to review fiduciary guidance on private market investments in 401(k) and other defined-contribution plans that are governed by the Employee Retirement Income Security Act of 1974 (ERISA). The federal law sets minimum standards for most retirement plans.
Trump has an executive order signing scheduled at noon. The development was first reported by Bloomberg News.
An executive order would mark a major victory for alternative asset industry, which has pushed for greater adoption of private assets in defined contribution plans under Trump’s second term in office.
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