ICI Cheers as Private Markets Swing Open Wider—Here’s Why It Matters

Wall Street's velvet rope just got looser. The Investment Company Institute (ICI) is celebrating a seismic shift—regulators are finally letting Main Street investors play in the private markets sandbox. No more watching from the sidelines as VC titans and PE giants hoard all the high-growth opportunities.

Democratization or desperation?

While the ICI frames this as a win for financial inclusion, skeptics whisper it's just Wall Street scraping the bottom of the liquidity barrel. Public markets drying up? No problem—just repackage those risky illiquid assets for mom-and-pop investors (with fees, of course).

The real story? This move could funnel billions into alternative assets—from crypto startups to tokenized real estate. The gates are open. Whether that's a golden opportunity or a trapdoor remains to be seen.

Investment Company Institute (ICI) President and CEO Eric J. Pan released the following statement regarding President Trump’s executive order encouraging increased access to private market investments for American retirement investors.

“ICI supports giving Americans the opportunity to access private markets through fund vehicles in their retirement plan accounts just as millions of Americans already benefit from private market investments through institutional pension funds.

Retirement savers are the ultimate long-term investors and would benefit from the diversification offered by the inclusion of private assets. We look forward to working with the WHITE House, Congress, the SEC, and the Department of Labor as they work to expand access to everyday investors.”

Source: ICI

The following statement is attributed to Blockchain Association CEO @SKMersinger following today’s Executive Orders from @POTUS: pic.twitter.com/7QkUSESk7m

— Blockchain Association (@BlockchainAssn) August 7, 2025

, said in an email to Markets Media: “Private markets are no longer the obscure, high-risk investments they once were. They’ve matured into a strong-performing asset class delivering excellent long-term returns, so this is good news for Americans. It’s also good news for fund managers, opening up fresh capital flows at a time when the industry could use a boost.

“But there’s a catch: transparency. When it comes to investing in stocks, retail investors are used to instant pricing, clean data, and daily performance updates. Private markets are a different ballgame. There’s no real-time information, no ticker and no standardisation, just fragmented documents and unstructured formats. Even some institutional investors rely on teams of people to piece together basic information on their investments. Retail investors could end up taking on risks without having a full picture of the investment.”

President Donald J. TRUMP signed an Executive Order to allow 401(k) investors to access alternative assets for better returns and diversification.

• The Order directs the Secretary of Labor to reexamine the Department of Labor’s guidance on a fiduciary’s duties regarding alternative asset investments in ERISA-governed 401(k) and other defined-contribution plans.
• The Order instructs the Secretary of Labor to clarify the Department of Labor’s position on alternative assets and the appropriate fiduciary process associated with offering asset allocation funds containing investments in alternative assets.
• The Order directs the Secretary of Labor to consult with the Secretary of the Treasury, the Securities and Exchange Commission, and other federal regulators to determine whether parallel regulatory changes should be made at those agencies to give effect to the purpose of the Order.
• The Order directs the Securities and Exchange Commission to facilitate access to alternative assets for participant-directed defined-contribution retirement savings plans by revising applicable regulations and guidance.

 President Trump wants to give American workers more investment options in order to attain stronger and more financially secure retirement outcomes.

• More than 90 million Americans participate in employer-sponsored defined-contribution plans, and most of those are currently restricted from investing in alternative assets, unlike wealthy investors and retirement plans for government workers.
• Alternative assets, such as private equity, real estate, and digital assets, offer competitive returns and diversification benefits.
• Regulatory overreach and litigation risks have limited ERISA-governed plan fiduciaries from including alternative assets in their investment portfolios, hindering workers’ retirement growth.
• President Trump is expanding access to these assets to ensure a dignified and comfortable retirement for all Americans.

 President Trump is delivering on his promise to enhance financial opportunities and retirement security for all Americans, ensuring they can build wealth and thrive.

• President Trump’s Department of Labor has already rescinded guidance put place by the Biden Administration regarding digital assets.
• President Trump’s One Big Beautiful Bill delivers on his promise to ensure retirees can keep more of their hard-earned benefits.
• President Trump promised to make the United States the “crypto capital of the world,” emphasizing the need to embrace digital assets to drive economic growth and technological leadership.
• Through tax cuts and deregulation, President Trump is delivering on his promise to Make America Wealthy Again, empowering workers to save and invest more for their retirement.

Source: White House