Trump's new executive order could dramatically change your retirement account -- why you need to be careful now

[Yo_Mama_Been_Loggin]

New rules are expanding what Americans can hold in their 401(k)s and other tax-advantaged retirement accounts.

An executive order signed by President Donald Trump has opened the door for certain “alternative assets” — like private credit, private equity, and even cryptocurrencies — to be included in their portfolios.

Proponents say this shift “democratizes” access to investment opportunities traditionally reserved for institutions and the wealthy. Critics, however, warn that these assets carry complex risks that may not be properly understood by the average investor.

Here’s why America’s retirement landscape is changing — and how to protect your own portfolio from unnecessary risk.

-more-

https://finance.yahoo.com/news/trump-executive-order-could-dramatically-174500895.html

I'd suggest having a good financial advisor as opposed to investing on your own.

[Happy Hoosier]

1. Meh....

Don’t need a financial advisor to just put it in a total market index fund.

[ret5hd]

5. ...as long as "total market" doesn't include...

private credit, private equity, and even cryptocurrencies

[bucolic_frolic]

2. Trump alone can fix it.

The wealthy do well with alternative assets like private equity, placements, private credit, crypto, and even hedge funds (perhaps the most variable returns of the lot) because ....... pay attention ........ they get good opportunities because they hang out with wealthy classes of people!

When you invest in generic assets marketed for the masses - no matter how good the big bank, broker, CFA - you get investments that don't perform as well, and may even be schemes, scams, pyramids, or worse.

It's a question of risk.

I'm not changing a thing. If you want to add those assets, you can already do so with ETFs which are highly liquid, you can track the results daily or hourly if you want. No need for the additional fees of all the complexity Trump is throwing at the public to benefit his backers.

That's my take on it.

[Lovie777]

3. EO ..................

means -0-. The courts have to decide, yes we still have them.

[Fiendish Thingy]

4. Isn't there a pending SCOTUS case challenging the power of the executive branch to regulate?

My understanding is the case claims only Congress can regulate business etc, and seeks to require legislation for each specific regulation, rather than delegating the authority to the executive branch.

[Silent Type]

6. I'm fine with someone investing their own money in anything legal.

[CousinIT]

7. My advisor will be told: NO "alternative assets". Period. N/t