House GOP Bill to ‘Codify’ Trump Executive Order on Private Investments in DC Plans
President Trump's original executive order does not amend any laws itself; it only instructs regulators to offer sub-regulatory guidance.
House Republicans proposed on Tuesday legislation that would expand defined contribution plans’ access to alternative investments.
The Retirement Investment Choice Act, introduced by Representative Troy Downing, R-Montana, would codify the executive order signed by President Donald Trump in August that directs the Department of Labor and the Securities and Exchange Commission to provide regulatory guidance to allow alternative investments like private equity and digital assets to be eligible for inclusion on the investment menus of 401(k) and other DC retirement plans.
Although Downing and the bill claim to codify the executive order into law, they have not specified what that would entail. The executive order does not amend any laws itself; it only instructs regulators to offer sub-regulatory guidance. Furthermore, no law exists that prohibits inclusion of private market investments in a DC plan. In some, albeit limited, cases, plan sponsors currently offer private asset-class investments in their plans.
However, the threat of litigation and the complexity of adding private-asset investments has kept inclusion of the asset classes sparse.
As per the executive order, regulators are expected to release guidance in February 2026. Final rules are expected to follow by the end of next year.
Representatives Byron Donalds, R-Florida; Warren Davidson, R-Ohio; Marlin Stutzman, R-Indiana; Buddy Carter, R-Georgia; and Barry Moore, R-Alabama, are cosponsors of the bill.