Your 401K Will Never Be The Same
New Executive Order Unlocks Alternative Investments for 401(k)s
Discover the six types of alternative assets President Trump’s executive order may soon allow you to hold inside your 401(k), potentially reducing Wall Street fees.
Short Summary
- President Trump signed an order potentially opening 401(k)s to assets like private equity, real estate, and crypto funds.
- This shift aims to improve diversification and returns by allowing investors to bypass traditional Wall Street asset managers.
- The core impact is the potential elimination of compounding management fees (AUM fees) that significantly erode final retirement balances. This video explains the six specific asset classes targeted by the order and the strong implications of moving retirement money away from traditional brokerages.
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Top Comments (10)
Private markets sounds ok. But I’ll probably just stick to the SP500
A much bigger change would have been to allow 401k holders to trade their money freely as if it was an IRA. I've been at several companies where the 401k options were all managed funds who not only took a 1%+ fee, but they consistently performed the S&P ( without compensating by having a lower beta). Simply requiring each 401k to allow the common indexes would be life changing for a lot of people.
“How can we remove more money from these people’s savings?” Let’s allow them to move it from a risk free investment to a high risk investment they don’t understand.
Black Rock needs a new market to dump bad assets. Who better than the general public.
401k may be rolled over into a Traditional IRA with no tax consequences.
I use a lot of your knowledge in my college courses. I would even say I get more out of this channel than "advanced" college courses .
To me this is just a loophole for corporations to dump bad debt into 401k's. All these bad commercial real-estate will get dumped in it
This was done with an executive order, not through Congress, so saying it will never be the same is probably not quite true.
Selling trash into your 401k they must be desperate and the system coming to an end. This literally musical chairs at this point
Register for my free masterclass & get Market Briefs as a bonus: https://briefs.finance/3b089b WARNING: LOOKOUT FOR SCAMS IN THE COMMENTS! There are many fake accounts impersonating me, and there are many bots promoting fake/scam investments. I will NEVER ask you to contact me through YouTube comments, telegram, or WhatsApp. I have a checkmark next to my name and my comment will be highlighted. Fake accounts do not have that. Please be aware of fake accounts trying to scam you using my name and picture!
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Top Comments (10)
Private markets sounds ok. But I’ll probably just stick to the SP500
A much bigger change would have been to allow 401k holders to trade their money freely as if it was an IRA. I've been at several companies where the 401k options were all managed funds who not only took a 1%+ fee, but they consistently performed the S&P ( without compensating by having a lower beta). Simply requiring each 401k to allow the common indexes would be life changing for a lot of people.
“How can we remove more money from these people’s savings?” Let’s allow them to move it from a risk free investment to a high risk investment they don’t understand.
Black Rock needs a new market to dump bad assets. Who better than the general public.
401k may be rolled over into a Traditional IRA with no tax consequences.
I use a lot of your knowledge in my college courses. I would even say I get more out of this channel than "advanced" college courses .
To me this is just a loophole for corporations to dump bad debt into 401k's. All these bad commercial real-estate will get dumped in it
This was done with an executive order, not through Congress, so saying it will never be the same is probably not quite true.
Selling trash into your 401k they must be desperate and the system coming to an end. This literally musical chairs at this point
Register for my free masterclass & get Market Briefs as a bonus: https://briefs.finance/3b089b WARNING: LOOKOUT FOR SCAMS IN THE COMMENTS! There are many fake accounts impersonating me, and there are many bots promoting fake/scam investments. I will NEVER ask you to contact me through YouTube comments, telegram, or WhatsApp. I have a checkmark next to my name and my comment will be highlighted. Fake accounts do not have that. Please be aware of fake accounts trying to scam you using my name and picture!