A former SEC official compares CITs to buying a car without a seatbelt — and they're taking over Americans' 401(k)s
Key takeaways
- When I set it up, I chose a target date fund that invests in a mix of mutual funds, ETFs, and bonds for me.
- But quietly, according to a recent Bloomberg analysis (1), fewer employer-sponsored 401(k) plans are made up of mutual funds.
- Thanks to Jeff Bezos, you can now become a landlord for as little as $100 — and no, you don t have to deal with tenants or fix freezers.
A former SEC official compares CITs to buying a car without a seatbelt — and they're taking over Americans' 401(k)s Danni Santana Tue, May 12, 2026 at 8:40 PM GMT+7 5 min read Like many Americans, I have a percentage of my salary put into my 401(k) every paycheck. When I set it up, I chose a target date fund that invests in a mix of mutual funds, ETFs, and bonds for me. Over time, compound interest does its thing and my investments grow.
But quietly, according to a recent Bloomberg analysis (1), fewer employer-sponsored 401(k) plans are made up of mutual funds. Department of Labor data cited by the outlet shows that collective investment trusts (CITs) currently make up nearly 50% of all 401(K) plans offered by employers with over $10 billion in assets. (Note: The data accounts for retirement plans with at least 100 participants.)
Thanks to Jeff Bezos, you can now become a landlord for as little as $100 — and no, you don t have to deal with tenants or fix freezers. Here s how