Groom principal and fiduciary practice leader, Michael Kreps, comments on the anticipated Department of Labor (“DOL”) proposal on alternative assets in 401(k) plans in the Bloomberg Law article, “Employers Seek Safe Harbor as DOL Wraps Private Asset Proposal.” The article provides an overview of the expected proposal, including a possible safe harbor for fiduciaries, and discusses potential risks and concerns.
Among various matters, the article examines what employers are watching for related to the proposal, including “‘the durability’” of the rule in light of the “US Supreme Court’s 2024 elimination of the Chevron doctrine” and other factors. Kreps commented, “‘They do have pretty material constraints and limitations, and I think with Chevron and all of the more recent challenges to DOL rules, those rules are only as good as a court’s opinion of them.’”
To read the article, click here.
