President Donald Trump intends to sign an executive order today, on Thursday, aimed at allowing the inclusion of alternative assets such as private stocks, real estate and cryptocurrencies in the pension plans (401k), in a step that is a big win for the sectors that take advantage of about $ 12.5 trillion. An order will be made to the Ministry of Labor to regain the guidelines associated with investments in alternative assets within the pension plans to regain the security of employees for the year 1974, according to a person informed about the plan being announced that his identity was not disclosed until the case was officially issued. The ministry will also cost the government’s position on credit responsibilities related to the presentation of asset distribution funds that include alternative investments. What do you know of (401k) accounts for US retirement? The change of the rules to facilitate the inclusion of private assets will also be directed by Labor’s Minister Lori Chavez-Reimer to work with her peers in the Treasury, the Security and Exchange Committee and other federal organizational organizations to determine whether changes to the rules should be made to help. The Security and Exchange Committee will also be asked to facilitate access to alternative assets in the retirement plans their owners themselves have. Also read: Newspaper: Trump prepares him to open the world’s largest retirement market to invest in digital currencies and gold. Senior officials in Washington have been studying for months. The pension governor is mostly concentrated in shares and bonds, partly due to the frequency of plans that managers invest in companies in non -fluid and complicated products. This upcoming step is the biggest move so far from the Trump administration to introduce private assets in specific rares accounts. Some aspects of this initiative include measures similar to those taken during the first term of Trump, when the Ministry of Labor issued guidelines to say that pension plans managers will not violate their responsibilities if they include private shares in their governors. However, this richteline was subsequently canceled during the era of former President Joe Biden. Asset managers are eager for part of the liquidity with retirement plans. Traditional and alternative asset managers are eagerly looking for part of the market for specific contribution plans, in which they see the next growth destination. Several institutional investment authorities, such as US pension funds and endowment institutions, have reached their internal limits for what can be invested in private equities, in light of a broader slowdown in the conclusion of transactions and the lack of profits to clients. Supporters believe that the opening of the retirement savings accounts (401k) “before private market products will give more investment options, and the possibility of achieving higher returns. However, this also involves greater risks and higher fees, which can make the drivers of pension plans vulnerable to governments. added at least $ 620 million in recent months, according to the Bloomberg Billionaires index.
Trump is signing up an executive order that enables pension plans to invest in private assets
