I
119THCONGRESS
1
STSESSION H. R. 2544
To prohibit the Secretary of Labor from constraining the range or type
of investments that may be offered to participants and beneficiaries
of individual retirement accounts who exercise control over the assets
in such accounts.
IN THE HOUSE OF REPRESENTATIVES
APRIL1, 2025
Mr. D
ONALDSintroduced the following bill; which was referred to the
Committee on Education and Workforce
A BILL
To prohibit the Secretary of Labor from constraining the
range or type of investments that may be offered to
participants and beneficiaries of individual retirement ac-
counts who exercise control over the assets in such ac-
counts.
Be it enacted by the Senate and House of Representa-1
tives of the United States of America in Congress assembled, 2
SECTION 1. SHORT TITLE. 3
This Act may be cited as the ‘‘Financial Freedom Act 4
of 2025’’. 5
VerDate Sep 11 2014 04:42 Apr 04, 2025 Jkt 059200 PO 00000 Frm 00001 Fmt 6652 Sfmt 6201 E:\BILLS\H2544.IH H2544
kjohnson on DSK7ZCZBW3PROD with $$_JOB 2
•HR 2544 IH
SEC. 2. FIDUCIARY DUTIES WITH RESPECT TO PENSION 1
PLAN INVESTMENTS. 2
Section 404(a) of the Employee Retirement Income 3
Security Act of 1974 (29 U.S.C. 1104(a)) is amended by 4
adding at the end the following: 5
‘‘(3)(A) In the case of a pension plan that pro-6
vides for individual accounts and permits a partici-7
pant or beneficiary to exercise control over the as-8
sets in the participant’s or beneficiary’s account, 9
nothing in paragraph (1)— 10
‘‘(i) requires a fiduciary to select, or pro-11
hibits a fiduciary from selecting, any particular 12
type of investment alternative, provided that a 13
fiduciary provides the participant or beneficiary 14
an opportunity to choose, from a broad range of 15
investment alternatives, the manner in which 16
some or all of the assets of the participant’s or 17
beneficiary’s account are invested, according to 18
regulations prescribed by the Secretary; or 19
‘‘(ii) requires that any particular type of 20
investment be either favored or disfavored, 21
other than on the basis of the investment’s risk- 22
return characteristics, in the context of the plan 23
fiduciary’s objective of providing investment al-24
ternatives suitable for providing benefits for 25
participants and beneficiaries. 26
VerDate Sep 11 2014 04:42 Apr 04, 2025 Jkt 059200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 E:\BILLS\H2544.IH H2544
kjohnson on DSK7ZCZBW3PROD with $$_JOB 3
•HR 2544 IH
‘‘(B) In the event that a fiduciary selects a self- 1
directed brokerage window as an investment alter-2
native for a plan described in subparagraph (A)— 3
‘‘(i) the Secretary shall not issue any regu-4
lations or subregulatory guidance constraining 5
or prohibiting the range or type of investments 6
that may be offered through such brokerage 7
window; 8
‘‘(ii) subsection (c) shall apply to such self- 9
directed brokerage window; and 10
‘‘(iii) the diversification requirement of 11
paragraph (1)(C) and the prudence requirement 12
of paragraph (1)(B) are not violated by the fi-13
duciary’s selection of a self-directed brokerage 14
window as an investment alternative or as a re-15
sult of the exercise of a participant or bene-16
ficiary’s control over the assets in such self-di-17
rected brokerage window.’’. 18
Æ
VerDate Sep 11 2014 04:42 Apr 04, 2025 Jkt 059200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6301 E:\BILLS\H2544.IH H2544
kjohnson on DSK7ZCZBW3PROD with $$_JOB