401K News
The US Labor Department says it has clinched a key policy in the Biden administration’s fight against climate change by easing restrictions on environmental and socially conscious retirement investing.
news.bloomberglaw.com
The current administration has issued a final rule that 401k fund managers do
NOT need to operate with your financial interests in mind. Account managers and even fiduciaries can consider investing your 401k money to Environment or Social programs at the expense of financial growth. This is all part of ESG initiatives and ratings.
I have most of my 401k to unmanaged funds, but some of it is still in various CAP funds. I'm moving it all out of managed funds at this point. Do I think most funds will squander money into failing solar startups? No. But what they have now is a scapegoat to lose money as your "financial advisor" and not a Fiduciary. They can invest your money without your growth in mind is all that matters.
This will read as a win for Environmental groups which struggled because of the shitty ROI. Which is the whole f'n point of your 401k. I'm trying to retire, even if the globe is a barren wasteland. I'll need my funds for the
guzzolene