President Donald Trump signed an executive order last week allowing alternative assets, such as cryptocurrencies and private equity, in 401(k) retirement plans.
Industry experts say the White House decision could alter the composition of Americans’ retirement portfolios, broadening the types of assets investors can hold and the options financial institutions can offer to their clients in the $9 trillion retirement market.
Trump stated in the order that the aim is to democratize “access to alternative assets,” thereby enabling the public to diversify their retirement accounts.
“My Administration will relieve the regulatory burdens and litigation risk that impede American workers’ retirement accounts from achieving the competitive returns and asset diversification necessary to secure a dignified, comfortable retirement,” the president said in the order….