Latest news with #privateassets
Yahoo
a day ago
- Business
- Yahoo
Trump expected to push for 401(k) private assets: Pros & cons
US President Trump is expected to sign an executive order that would make it easier to own private assets in a retirement account. Yahoo Finance Senior Columnist Kerry Hannon breaks down what investors need to know. To watch more expert insights and analysis on the latest market action, check out more Market Domination Overtime here. President Trump gearing up to sign an executive order to open retirement plans to private markets, senior columnist, Carrie Hannon is here with more, Carrie. Uh yes, um, the president is expected to sign uh an executive order directing the so the Securities and Exchange Commission to give guidance to mutual fund administrator for to four one K plan specifically administrators of how to add private assets into their retirement account offerings. And this is sort of a big deal. The fact is private assets have been a it's not illegal to have them in retirement accounts as it is. And pension funds have done this for decades. But the issue is most plan administrators don't really understand how to fold those into their four one K plan offerings. And there are some really good things about this. So we'll start with the pro stuff. If you were to put these this can be a variety of assets, right? It can be hedge funds, it can be private, um, uh, real estate things, infrastructure, all variety of things that most people don't quite get a grip on and to get into those assets you needed to have pretty high net worth or a minimum, the minimum requirement invest was fairly high. So the point is that this could actually help people give them an extra boost in their retirement accounts. It adds diversification to these retirement accounts. And when you think about people are living longer, Social Security shortfalls that people are worried about, cost of living is going up. So for people who are investing for the long run, and Larry Fink at BlackRock said over a 40 year period, these private assets could, you know, return 15% to someone. So this is rather significant if you look at it that way. But if you turn the corner and look the other way, if it's somebody who is not investing for the long term, they need to get the money out in a shorter time frame. These tend to be fairly illiquid, the fees can be high, and and there's a concern that people don't really understand what they are. And I'll just to finalize that by saying, you know, most people don't have a clue what they're investing in anyway. Um, most employers automatically put their their employees in target date funds which are plain vanilla index funds and people set them and forget them. So it will take a lot of education for people to understand and I'm a big fan of people understanding what they're investing in, but it's not all a negative thing. These can have some real good boost ultimately over the long run. If someone get a small percentage, I would say you wouldn't want more than 15% of your portfolio, your retirement savings in private assets. All right, Lou, get you in here. So let's say Lou, I'm private equity now Lou, I'm Blackstone, I'm KKR. And I say to you Lou, you know, all I'm trying to do Lou, I'm just trying to give people more options, I'm trying to give them more choices, right? And more diversification. What's wrong with, you know, maybe a chance to have a a meteor return? What's wrong with that? Yeah, I'll I'll play this game. I'm with Carrie, there's a lot of cons, but if you're BlackRock and KKR, I know this, pension funds and endowments aren't allocating as much money to you, and there's a huge pot at the end of the rainbow of about 9 to 12 trillion dollars in four one K accounts that seems really appealing to sell these highly liquid, uh not transparent, high feed products that could or could not outperform the S&P 500. I'm with Carrie, education is paramount. 43% of people only consider themselves financially literate based on our latest Finra study. That's a lot of people we got to educate before we give them access to things that are really difficult to understand. And Carrie, you know, Lou makes very good points as always. What would the private equity guys say Carrie? Would they say listen, you know what? Finance changes, investing changes, public markets change, and you got to change with it and so does your portfolio. Well, you know what I got to say? These are coming no matter what. So I think we can talk all we want, but I think this is this is definitely something that is coming down the road. Yes, things do change, but um, you know, the old 60 40 portfolio, which most retirement investors have been encouraged to have over the years, mixture of stocks and bonds, has done pretty well over time. But yes, we are in new times, but I just, you know, I think it's good to offer some extra uh oomph to people if that's possible, but it's it's a really tricky thing because this is money that people are socking away to really for their futures and and if they do, we see people pulling money out of their retirement accounts right now, you know, taking uh early early distributions, and this would be not a good situation. Carrie, great to see you as always. Enjoy the weekend. You too. 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Yahoo
3 days ago
- Business
- Yahoo
Trump reportedly plans order to open 401(k)s to private markets: What it means for your retirement
President Donald Trump is reportedly preparing to sign an executive order that would expand access to private-market investments in retirement accounts. The Wall Street Journal reported, citing people familiar with the matter, that the order would direct the Labor Department and Securities and Exchange Commission to develop regulatory guidance for employers and plan administrators about the inclusion of private assets in 401(k) retirement plans. The Journal's sources indicated that the order's details aren't yet finalized and are still subject to the administration's review ahead of an announcement. Private-market investments, also known as private assets, include private equity, venture capital, real estate and hedge funds that aren't traded on public exchanges. Trump-backed 'Internet Money' Could Drive Trillion-dollar Market And Strengthen The Dollar Private assets are typically characterized by higher risk and potentially higher returns compared to traditional investments like stocks and bonds that are traded on public markets. Read On The Fox Business App Bryan Corbett, president and CEO of MFA, a trade association that represents alternative asset management options such as private credit and hedge funds, touted the anticipated order as giving investors the ability to further diversify their investment portfolio in a Reuters report. "Expanding access to alternative investments in 401(k) retirement plans will provide more Americans with the diversification and investment options needed to build wealth and save for a successful retirement," Corbett said. Conservative Economists Press Trump's Doge To Undo Biden's Esg Pension Rule During Trump's first term, the Labor Department indicated in a 2020 letter that firms may responsibly include private equity in certain investment products like target-date funds if they carefully consider the risks and fees associated with their inclusion. The Biden administration reversed that policy the following year, with the Labor Department saying it does "not endorse or recommend such investments." Treasury's Bessent Says Us Should Be 'Premier Destination' For Digital Assets In anticipation of the Trump administration's planned move on private-market investments in retirement funds, several firms have taken steps to put out investment products that include such assets. The Journal noted that Apollo Global Management and State Street have released a target-date fund that includes a private-markets component, while Blue Owl Capital indicated this week it will collaborate with Voya on products that include private markets in 401(k) investments. Reuters contributed to this article source: Trump reportedly plans order to open 401(k)s to private markets: What it means for your retirement Sign in to access your portfolio
Bloomberg
3 days ago
- Business
- Bloomberg
Private Assets Group Pushes for Broad Access to Savers' 401(k)s
An industry group that advocates for putting private assets in the roughly $12.5 trillion held in 401(k)s called for plan administrators to evaluate such investments with the same standards used for traditional ones like stocks and bonds. The Defined Contribution Alternatives Association, which counts Apollo Global Management Inc., KKR & Co. and BlackRock Inc. among its members, released principles for weighing the investments, according to a document shared with members, which could be used as a blueprint for future advocacy efforts.
Yahoo
3 days ago
- Business
- Yahoo
Vestmark, iCapital®, BlackRock, and Dynasty Launch Capability Incorporating Private Investments Within a Full-Scale UMA
The collaboration represents a new capability to combine private assets alongside SMAs within a single tax-managed portfolio. WAKEFIELD, Mass., July 17, 2025--(BUSINESS WIRE)--Vestmark, Inc., a leading wealth management software and services provider, announced today the launching of a tax-managed unified managed account (UMA) with private assets. This long-awaited capability was developed in partnership with iCapital1, BlackRock, and Dynasty Financial Partners and will be available to RIAs seeking to combine subscription-based alternatives with ETFs, mutual funds, equity SMAs, fixed income SMAs, and direct index SMAs in a single custodial account. This solution provides advisors with a streamlined, scalable process enabling allocation to alternative investments in a diversified portfolio within a UMA construct. The initial launch integrates iCapital's technology platform and tools, allowing Dynasty advisors to incorporate subscription-based alternatives into their UMA portfolios using asset allocation models developed with BlackRock. The offering provides access to BlackRock's leading asset allocation and portfolio design capabilities across private and public markets, featuring streamlined administration and custodial integration in a single account. "The wealth management industry has for too long been on the precipice of UMAs fulfilling their promise of simplicity and efficiency. With what we are launching today, Vestmark is fulfilling that promise," said Karl Roessner, CEO of Vestmark. "We are honored to collaborate with iCapital, BlackRock, and Dynasty to bring this long-awaited and truly innovative solution to fruition. We are excited for how this offering will revolutionize the advisor experience." "This collaboration with Vestmark, iCapital, and Dynasty allows us to continue expanding choice to RIAs, providing them with the ability to access private markets, SMAs, as well as public markets in a single account," said Eve Cout, Head of Solutions for BlackRock's U.S. Wealth Business. "Our dedication to innovating how we deliver custom model solutions empowers advisors to better serve their clients—and it's driving the rapid growth of our models business." "Dynasty is proud to build upon our existing partnerships with Vestmark, BlackRock, and iCapital to deliver innovative solutions to our growing advisor network," said Marc Hineman, Chief Operating Officer of Dynasty. "This enhanced capability was developed in response to demand from our network and is an extension of our existing Model Select program, which has already seen impressive adoption. The ability to add subscription-based private investments enables advisors to better serve larger relationships with more sophisticated portfolios and equips them with the technology and execution capability to manage those relationships at scale." About Vestmark For more than 20 years, Vestmark has been a leading provider of portfolio management solutions and outsourced services for financial institutions and their advisors, enabling them to efficiently manage customized client portfolios through an innovative technology platform. Supporting over $1.7 trillion in assets and 4.5 million accounts, Vestmark is a partner to some of the largest and most respected wealth management firms. For more information about Vestmark's solutions, call (781) 224-3640 or visit About iCapital iCapital is a global leader, shaping the future of global investing for financial advisors, wealth managers, asset managers, and other industry participants. iCapital offers a diverse and complete range of non-traditional investment products on iCapital Marketplace, Enterprise Solutions, and both Technology and Data Services, designed to help drive better outcomes2 for all participants in the ecosystem. With strategic investment from leading alternative asset managers, wealth managers, and service providers globally, iCapital provides unrivaled access, data connectivity, education, and research programs to advisors and their clients. Leveraging AI and machine learning for digital identity (KYC/AML), iCapital supports compliant and secure investment lifecycle processes. iCapital's end-to-end platform manages the lifecycle of non-traditional investment products, making it easier to learn about, buy, manage, and integrate alternative assets, structured investments, and annuities into portfolios, driving growth, scale, and efficiency. Our solution(s) can be customized and offers specific modules as needed. iCapital has $9453 billion of assets serviced globally on its platform, including $257 billion in alternative platform assets, $203 billion in structured investments and annuities outstanding, and $485 billion in client assets reported on, and serves over 3,000 wealth management firms and 114,000 active financial professionals. Headquartered in New York, iCapital operates globally with 16 offices, including major hubs in Zurich, London, Hong Kong, Singapore, Tokyo, and Toronto, and an industry-leading R&D center in Lisbon. iCapital is recognized for its innovation and leadership, with accolades from Euromoney (World's Best Technology Provider for Wealth Management), CNBC (World's Top Fintech Companies), and Forbes Fintech 50. For more information, visit | X (Twitter): @icapitalnetwork | LinkedIn: About BlackRock BlackRock's purpose is to help more and more people experience financial well-being. As a fiduciary to investors and a leading provider of financial technology, we help millions of people build savings that serve them throughout their lives by making investing easier and more affordable. For additional information on BlackRock, please visit | Twitter: @blackrock | LinkedIn: About Dynasty Financial Partners Dynasty is a provider of technology-enabled wealth management solutions and business services for financial advisory firms primarily focused on serving high net worth and ultra-high net worth clients. Dynasty provides access to a comprehensive platform of software and technology tools, business services and holistic investment management capabilities through an open-architecture platform delivered via a suite of proprietary and third-party technologies. Dynasty's technology, tools and services provide advisory firms the supported independence to launch their business, scale their operations and grow their firms — both organically and inorganically — while also allowing them to be more focused on and better equipped to serve their clients. For more than a decade, Dynasty has championed the benefits of independent wealth management for high net worth and ultra-high net worth clients and has contributed to the movement of assets from traditional brokerage channels to the independent channels of wealth management. As Dynasty is becoming a recognized industry leader, Dynasty has differentiated itself by developing competitive strengths, including a deep understanding of and strong relationship with its clients, a comprehensive offering of services and technology-enabled solutions, the ability to leverage its size and breadth to invest, the flexibility and seamlessness enabled by a modular technology solution, the entrepreneurial culture and experienced and committed management team. Dynasty is committed to continually growing its business by facilitating existing advisory firm clients' growth, onboarding new clients, increasing the clients' use of its broader capabilities, launching additional solutions and facilitating our complementary acquisitions. For more information, visit Also visit Dynasty on social media:LinkedIn: Twitter: @DynastyFP YouTube: ©2025 Vestmark, Inc. All rights reserved. Reproduction in whole or in part in any form or medium without express written permission is prohibited. Vestmark, VAST, and the Vestmark icon are registered trademarks. Other trademarks contained herein are the property of their respective owners. Vestmark believes that the information in this publication is accurate as of its publication date; such information is subject to change without notice. Vestmark Advisory Solutions, Inc. ("VAS"), a wholly owned subsidiary of Vestmark, Inc., is an investment advisor registered with the U.S. Securities and Exchange Commission ("SEC"). VAS acts as a paid sub advisor and/or overlay portfolio manager offering VAST and tax optimization services. Registration does not imply a certain level of skill or training. VAS has its principal place of business in Wakefield, MA. Investing involves risk. The value of an investment will fluctuate over time, and an investor may gain or lose money. Past performance is no guarantee of future returns and individual investor results will vary. Investments in private assets and subscription-based alternatives may involve higher risk, reduced liquidity, and longer investment horizons. These investments may not be suitable for all clients. Please consult our full disclosure document for a discussion of risks related to the services provided by VAS. 1 iCapital, Inc. and its affiliates (together, "iCapital") 2 iCapital delivers better outcomes by streamlining financial operations, enhancing technology infrastructure, and empowering smarter decision-making through reporting and analytics. 3 As of June 30, 2025 View source version on Contacts Media Contact: Michael Walshmichael@ Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
3 days ago
- Business
- Yahoo
Trump reportedly plans order to open 401(k)s to private markets: What it means for your retirement
President Donald Trump is reportedly preparing to sign an executive order that would expand access to private-market investments in retirement accounts. The Wall Street Journal reported, citing people familiar with the matter, that the order would direct the Labor Department and Securities and Exchange Commission to develop regulatory guidance for employers and plan administrators about the inclusion of private assets in 401(k) retirement plans. The Journal's sources indicated that the order's details aren't yet finalized and are still subject to the administration's review ahead of an announcement. Private-market investments, also known as private assets, include private equity, venture capital, real estate and hedge funds that aren't traded on public exchanges. Trump-backed 'Internet Money' Could Drive Trillion-dollar Market And Strengthen The Dollar Private assets are typically characterized by higher risk and potentially higher returns compared to traditional investments like stocks and bonds that are traded on public markets. Read On The Fox Business App Bryan Corbett, president and CEO of MFA, a trade association that represents alternative asset management options such as private credit and hedge funds, touted the anticipated order as giving investors the ability to further diversify their investment portfolio in a Reuters report. "Expanding access to alternative investments in 401(k) retirement plans will provide more Americans with the diversification and investment options needed to build wealth and save for a successful retirement," Corbett said. Conservative Economists Press Trump's Doge To Undo Biden's Esg Pension Rule During Trump's first term, the Labor Department indicated in a 2020 letter that firms may responsibly include private equity in certain investment products like target-date funds if they carefully consider the risks and fees associated with their inclusion. The Biden administration reversed that policy the following year, with the Labor Department saying it does "not endorse or recommend such investments." Treasury's Bessent Says Us Should Be 'Premier Destination' For Digital Assets In anticipation of the Trump administration's planned move on private-market investments in retirement funds, several firms have taken steps to put out investment products that include such assets. The Journal noted that Apollo Global Management and State Street have released a target-date fund that includes a private-markets component, while Blue Owl Capital indicated this week it will collaborate with Voya on products that include private markets in 401(k) investments. Reuters contributed to this article source: Trump reportedly plans order to open 401(k)s to private markets: What it means for your retirement Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
