TRUMP SIGNS ORDER TO OPEN 401(K)S TO PRIVATE MARKETS: WHAT IT MEANS FOR YOUR RETIREMENT

"Private investments in 401(k) plans have the potential to improve participant outcomes by providing individuals access to the same range of investments as professional institutional investors, which seek to provide enhanced long-term returns and added diversification," said Ari Jacobs, global head of investments at Aon, following the announcement.

"Implementation of these solutions requires thoughtful and robust analysis of key factors such as manager skill, fees, liquidity and valuation."

"Interest among plan sponsors in private investment options that includes private credit, private equity, infrastructure and real estate continues to grow," Jacobs said, adding that the industry has made "significant progress in developing these solutions" to meet the needs of defined contribution plans.