Highlights:
A new survey conducted by Fabrizio Ward for Pinpoint Policy Institute reveals strong bipartisan support for reforms that would allow workers more diverse 401(k) investment options, including access to private equity and cryptocurrencies. The findings highlight skepticism with a system perceived as favoring wealthy investors and institutional players over ordinary workers, while also pointing to a significant political and policy opportunity to empower Americans with greater financial choice.
The poll found that 57 percent of voters support encouraging private equity investments in 401(k) plans, compared to just 13 percent who oppose. Support is even stronger among Trump voters (71 percent) and those with 401(k)s (63 percent).
Voters overwhelmingly view the current system as unfair. Nearly two-thirds (64 percent) believe it is unjust that private equity opportunities are generally reserved for wealthy individuals and institutional investors, excluding regular workers. Similarly, 59 percent call it unfair that the government discourages 401(k) plans from offering private equity, even though these funds have historically outperformed the S&P 500.
61% of all voters and 77% of Trump voters agreed that private equity funds should be available to the average investor. Another 57% of voters and 74% of Trump voters were persuaded by the argument that these reforms would democratize investment opportunities historically reserved for large institutions and wealthy individuals. These results indicate that reforms expanding 401(k) investment options are not just popular but resonate deeply across the electorate.
The survey also highlights how knowledge drives support. Initially, 57% of voters supported expanding private equity access in 401(k)s. After learning more about the benefits, including greater diversification and access to high-performing funds, support grew to 66%. Among Trump voters, support surged from 71% to 87%. These findings underscore the importance of educating voters about the potential advantages of policies that encourage 401(k)s to offer access to alternative investment opportunities.
Frustration with the current system is clear among voters with 401(k)s. Nearly half of all respondents (49%) report having a 401(k) or similar retirement plan, and 71% of these voters say they want more choices for making investment decisions rather than relying on government-imposed restrictions. By a 32-point margin, these voters favor having more options, such as private equity funds, within their retirement plans.
The survey also touched on cryptocurrency as a potential 401(k) investment option. Overall support was narrower (41% – 35%), but among Trump voters, enthusiasm was significantly higher, with 63% in favor and only 17% opposed. This suggests that certain segments of the electorate, particularly Trump supporters, are open to broader investment opportunities beyond traditional options.
The survey’s findings provide a clear mandate for pursuing policies that encourage access to more investment options for workers. As President Trump begins his second term with net positive job approval ratings, prioritizing policies that align with voter preferences on retirement investments could bolster his standing further.
Empowering workers with greater financial choice is both politically popular and a practical step toward enhancing long-term financial security. Policymakers have a significant opportunity to act on this mandate, leveling the playing field for ordinary savers and enabling millions of Americans to achieve greater stability and growth in their retirement savings.