Interest in Private Assets in 401(k) Plans Surges: Schroders

Participant interest in private assets within 401(k) and other workplace retirement plans has risen sharply, according to Schroders' 2026 U.S. Retirement Survey. Fifty-two percent of investors in these plans said they would invest in private equity or private debt if the options were offered as part of their plan, a substantial increase from 36% in 2024. The survey also found that 81% of respondents would considerably raise their plan contributions if private equity choices were available, a finding that suggests potential inflows for plan sponsors and asset managers.

Respondents expressed strong beliefs about the asset class's benefits. Seventy-eight percent said private assets can enhance overall portfolio diversification, and 77% said they offer a greater chance of investment returns. Respondents nonetheless acknowledged gaps in their knowledge. Almost a quarter now describe themselves as very knowledgeable about private assets, double the share reported in the 2025 research, but more than a third say they are not too or not at all knowledgeable about how private assets work or how they compare with traditional public investments.

Schroders frames the trend as both an opportunity and a responsibility. Deb Boyden, head of U.S. Defined Contribution at Schroders, said regulators are moving to expand access as new fund structures are developed to improve the liquidity and transparency of private assets, which could allow more employers to combine public and private market strengths in retirement saving. She added that rising demand places responsibility on plan sponsors and asset managers to ensure retirement savers fully understand the asset class and how it fits into a long-term strategy.

The article notes that a slate of newly elected federal retirement officials could prompt a re-examination of private equity's role within the broader 401(k) system, so the regulatory outlook remains a variable for the trend.