Source: Independent Institute
by Scott Beyer
“The 401(k) is one of the most consequential financial inventions of the last half-century. Accounting for $9.3 trillion in assets, 401(k)s direct the investment and retirement decisions of 70 million Americans. But they’re not as high-yielding as most plan owners might think. When workers set one up through brokerages like Fidelity or Voya, they learn that their ‘choices’ are limited to mutual funds, target-date funds, and perhaps a bond fund. … Such limits don’t come from brokerages or technological barriers. A federal law called the Employee Retirement Income Security Act (ERISA) regulates 401(k)s. Passed a half-century ago, it imposes a mindset that’s both infantilizing and outdated, and in practice is designed less to empower workers than protect employers from lawsuits.” (02/08/26)
https://www.independent.org/article/2026/02/08/its-time-to-unleash-401ks/