US announces rule change for 401(k); 90 million Americans to invest their savings in crypto and private equity

The U.S. Department of Labor’s Employee Benefits Security Administration has proposed a regulation detailing the necessary steps for 401(k) plan managers when considering ‘alternative assets’ in their investment options.

Alternative assets refer to investments that fall outside traditional markets, including: (i) private market investments in non-publicly traded financial instruments; (ii) real estate interests and debt; (iii) managed funds investing in digital assets; (iv) commodities; (v) projects for infrastructure development; and (vi) lifetime income strategies like longevity risk-sharing pools.