You may be hearing about the expansion of (private markets) everywhere these days. Most of the time, people are talking about 401(k)s.
In May 2025, Empower announced it would begin allowing private assets in some of the 401(k) plans it manages.^1^ And in August 2025, President Trump signed an executive order to expand these offerings.^2^
These headlines sound big, but read the fine print and you’ll find these plans don’t necessarily hand you the steering wheel as a (private markets investor). Most 401(k) offerings will come through managed accounts. Translation: you generally don’t pick the fund, and you don’t choose the assets.^3^
Some call this “access.” It’s really “access with caveats.” Even if your 401(k) includes private assets, you’re probably not investing on your own terms.
Fortunately, 401(k)s aren’t the only new way to invest in private markets. Let’s unpack these recent changes — and the other options investors have today.
Why Is Access to Private Markets Expanding?
First, a bit of background: what exactly are private markets, and why is there a push to expand access to them?
“Private” — also called “alternative” — refers to any asset not traded on a public exchange. The most familiar categories are private equity, private credit, and commercial real estate.
Historically, access to these assets was limited to ultra-wealthy and institutional investors, such as endowments, pensions, and sovereign wealth funds.^4^ That’s begun to change, including through these new 401(k) products.
Over the past two decades, private assets have grown to represent a much larger share of the economy. Nearly nine in ten companies with at least $100 million in annual revenue are now privately held.^5^ And these private companies have outperformed their public market counterparts over 5-, 10-, 15-, and 20-year periods.^6^
Source: PitchBook, Q1 2025 North America PitchBook Benchmarks Report, Data as of March 31, 2025. Data represents equal weighted horizon IRRs. All public index values are total return CAGRs. All private capital returns are net of fees and accrued carry. Past performance does not guarantee future performance.
The performance of private assets has prompted efforts to open them to more investors. Many individuals are eager to allocate to the same fast-growing segment of the economy that many institutions and the ultra-wealthy have long invested in.^7^
The question now is how best to make that happen.
Is “Access” Still Access If You Don’t Have Control?
A common assumption is that individual investors want (access to private markets), but not the work of studying them or managing their allocations.
Marc Rowan, CEO of Apollo Global Management, made this point during a recent CNBC segment.
Asked how investors would approach private assets, Rowan replied, “Do [investors] actually do the work? I don’t think so.”^8^
That view is reflected in many of the expected 401(k) offerings. As The Wall Street Journal notes, “If an employer decides to allow (private investments) in its plan, a managed-accounts adviser will determine how much of each investor’s portfolio to allocate to them.”^1^
Is “access” really access if it doesn’t come with control? We don't think so.
A Different Path for Retirement Investors
For investors who want to allocate retirement capital to private assets, managed 401(k) accounts aren’t the only path. A longstanding and increasingly popular option is the self-directed IRA, or SDIRA.
With an SDIRA, investors can access private companies, real estate, and other alternative assets on their own terms. It’s often described as “hands-on control” over retirement savings.^9^
These accounts allow investors to (diversify beyond the traditional mix of stocks and bonds) while maintaining direct involvement in their allocations, rather than deferring to a managed account provider.
How Crowd Street Keeps Investors in Control
For more than a decade, Crowd Street has enabled individuals to invest in alternative assets. If there’s one thing the company has learned in that time, it’s that most investors do the work. They want to review opportunities, study materials, and make choices that reflect their goals and risk tolerance.
That’s why, as Crowd Street expanded its private market offerings, it kept control front and center. The platform enables investors to participate in individual deals and managed funds, either directly or through self-directed IRAs.
That combination of access and control is one of the ways to invest like institutions do. And it’s what makes Crowd Street the (home for self-directed investors in the private markets).
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{{ This article was written by an employee of Crowd Street and has been prepared solely for informational purposes. This article is not intended to be relied upon as advice to investors or potential investors and does not take into account the investment objectives, financial situation or needs of any investor. All investing involves risk, including the possible loss of money you invest, and past performance does not guarantee future performance. All investors should consider such factors in consultation with a professional advisor of their choosing when deciding if an investment is appropriate. }}
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