The U.S. Labor Department has proposed a new rule to make it easier for 401(k) retirement plans to include alternative assets such as cryptocurrency, real estate, and private equity.
The move follows an executive order by President Donald Trump aimed at expanding investment options for American savers, according to CNBC.
Officials said the proposal would create a legal “safe harbor” to protect plan sponsors from lawsuits when offering such assets. The rule outlines six evaluation criteria, including fees, performance, liquidity, and complexity, the report said.
Department of Labor proposes rules for including alternative assets in 401(k)s https://t.co/GWBWFSImen
— CNBC (@CNBC) March 30, 2026
Supporters argue alternative investments could improve diversification and returns. However, critics warn these products are complex, costly, and may not suit average investors.
Experts also said adoption could be slow, as legal clarity and regulatory hurdles remain unresolved. Financial advisors noted that most savers may still benefit more from traditional index funds.
The proposal is open for public comment before any final decision is made.
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TIPP Staff
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