The rule allowing 401(k) plans to invest in private equity, real estate, and cryptocurrency has reached the White House.
Odaily News reports that the U.S. Department of Labor’s final rule was submitted to the White House Office of Information and Regulatory Affairs (OIRA) for review on Thursday, and is still under review. The proposal released by the Department of Labor on March 30 stipulates that fiduciaries may receive legal safe-harbor protection if they meet requirements across six factors: investment performance, fees, liquidity, valuation, performance benchmarks, and complexity.
· The development is that the proposal has reached the final-rule review stage, but the review is not yet complete and the rule has not taken effect.
· The six factors are threshold conditions in the proposal; the source does not explain how each type of asset would meet them individually.
After OIRA’s review is complete, which milestone would you rather watch: the rule being published directly or being sent back for revisions?
Odaily News reports that the U.S. Department of Labor’s final rule was submitted to the White House Office of Information and Regulatory Affairs (OIRA) for review on Thursday, and is still under review. The proposal released by the Department of Labor on March 30 stipulates that fiduciaries may receive legal safe-harbor protection if they meet requirements across six factors: investment performance, fees, liquidity, valuation, performance benchmarks, and complexity.
· The development is that the proposal has reached the final-rule review stage, but the review is not yet complete and the rule has not taken effect.
· The six factors are threshold conditions in the proposal; the source does not explain how each type of asset would meet them individually.
After OIRA’s review is complete, which milestone would you rather watch: the rule being published directly or being sent back for revisions?
