U.S. Department of Labor Supplemental Statement on Private Equity in Defined Contribution Plan Designated Investment Alternatives

This document is a supplemental statement from the U.S. Department of Labor's Employee Benefits Security Administration to the Department's June 3, 2020 Information Letter regarding the use of private equity investments in designated investment alternatives made available to participants in individual account plans, such as 401(k) plans, subject to ERISA. The supplemental statement cautions that, except in limited circumstances, plan fiduciaries of small, individual account plans are unlikely to be suited to evaluate the use of private equity investments in plan investment menus.