Apple says the upcoming iOS 26, expected in a polished release version in September, will support devices back to the iPhone 11 from September 2019 and second-generation iPhone SE from April 2020both with A13 Bionic processors. For those who don’t want to wait, the iOS26 public beta release is now available.
It previews many updates, including call and text spam filtering, and revamped designs for apps such as Camera, Wallet, and especially CarPlay. Apple has revived the translucent look of the Liquid Glass interface after toning it down in the third beta released for app developers on July 7. Some of the biggest changes in iOS 26 are for the newest modelsstarting with the iPhone 15 Prowith upgrades to the Apple Intelligence AI suite, such as live translation and visual search across apps.
iOS 26 on older iPhones: mostly positive signs
But how well will iOS 26 support older devices? To get a sense, I ran formal tests with an SE2 running developer beta 3, and also lived with it as my personal phone for over a week. I then upgraded to developer beta 4 and finally the public beta this week. It’s common for such early versions to be buggy. Much to my surprise, even the experience with developer beta 3 was very smooth, with no major issues in performance and none in battery life. The public beta brought some incremental improvements, especially in graphics performance. These are good signs for September’s release version.
Of course, that’s not a guarantee. Online discussions of the developer beta 3 were mixed, with some testers reporting battery issues and sluggish performance. Some issues diminished in beta 4, but other random bugs with apps, such as CarPlay compatibility, emerged.
The iOS 26 public beta appears to be very close to or even the same as the latest developer beta, but all its fixes and foibles won’t be clear until a lot of people try it for a while. And the Apple Beta Software Agreement exempts the company from any responsibility if things go south.
The ideal way is to use an old phone you don’t need; the next best is to first back up your phone and learn how to restore it if things go wrong.
However, my positive experiences with the iOS 26 betas jibe with early impressions from several pros whose job includes testing new software on old devices. Tom Quinlan, a longtime technician at Apple-authorized service provider Charlotte Street Computers in Asheville, North Carolina, tried Developer Beta 3 on an iPhone 11 and came away impressed. I must say it did NOT feel sluggish, he writes in an email. I am very surprised.
Used-device sellers are another early indicator. A few of our team members are running the [Developer Beta 3] for iOS 26 on their devices and are fans of the new release, says Michael Lipson, director of technology at Swappa, an online marketplace. They ran the software on an iPhone 12 and a third-gen iPhone SE.
Performance comparison: iOS18.5 versus iOS 26 beta
In my tests with the SE2, shows played just as smoothly in the Amazon Prime Video app on iOS 18.5 and iOS 26 developer and public betas. Response times when tapping, scrolling, or opening apps (Photos, Camera, Mail, Reminders, Clock) were comparable at first. Over the week, though, I did notice occasional sluggishness in the interface of developer beta 3. I will keep an eye on the public beta in the coming days.
My tests with the 3DMark Wild Life graphics benchmark showed insignificant differences, with average scores of 6,082 on iOS 18.5 vs. 5,766 on iOS 26 public beta. For real-world perspective: Average frame rates dropped from 36.4 fps to 34.5 fps.
Battery life was unchanged. I tested the SE2 (which had 88% of its original battery capacity) by playing shows in the Apple Podcasts app, with a half-light/half-dark screen. I set brightness at 50% and disabled low power mode. Running the battery from 80% to zero took close to five hours with all OS versions.
Is it safe to install iOS 26 public beta now?
Beta versions carry risks, but so do release builds. Last years iPadOS 18 bricked some iPads with M4 processors, prompting Apple to rush out version 18.0.1 with fixes. If you’re not prepared for possible glitches, the public beta may not be for you. And it won’t hurt to wait a few days after the release version drops to see how it shakes out.
Predictions for September are favorable for all iPhones. Based on past versions [of iOS], it should run perfectly, and theres no reason not to update to iOS 26, writes Kewin Charron, senior lead refurbishment operations manager at Back Market, a Swappa competitor. But hes not committing to a time frame for their sellers, saying it will depend on how stable they find the nearly final beta version, called release candidate, to be.
Sellers really want to avoid support headaches, and you may, too.
TikTok has become obsessed with an alleged shoplifter who spent seven straight hours in a Target before being detained by security on her way out. Now, people are making pilgrimages to the Target store in Illinois.
The woman, a tourist visiting the U.S., allegedly stole approximately $1,300 worth of merchandise from Target on May 1. After body camera footage of her detainment was uploaded to the Body Cam Edition YouTube channel last week, it quickly went viral, thanks in part to her now-infamous defense: But if Im paying for it, what is the harm?
The 20-minute video has since been clipped and shared widely across social media, with segments racking up millions of views. How is it even logistically possible for someone to spend seven consecutive hours in one store? one YouTube commenter asked. Do you just walk around in circles?
Some have dubbed her an icon, with videos ranking the best moments from the footage. Others within driving distance of the Target have taken it upon themselves to visit the location, the Daily Dot reported.
Target lady Target tour, one TikTok user posted, adding they have nothing better to do.
A true historical landmark, another wrote, showing footage of the actual door behind which the woman was detained.
Following the viral story, the U.S. embassy in India issued a statement about the Target shoplifter, the Independent reported. Committing assault, theft, or burglary in the United States wont just cause you legal issuesit could lead to your visa being revoked and make you ineligible for future U.S. visas, it stated. The United States values law and order and expects foreign visitors to follow all U.S. laws.
The $8.4 billion merger between Paramount Global and Skydance Media won approval from U.S. regulators on Thursday, clearing the way for a sale that evolved into a clash over press freedom in the era of President Donald Trump.
The deal will put well-known entertainment properties including the CBS broadcast television network, Paramount Pictures, and the Nickelodeon cable channel under the ownership of tech scion David Ellison.
Paramount this month paid $16 million in a controversial move to settle a lawsuit Trump filed against the company and CBS News, sparking accusations it effectively had paid for approval of the merger.
The Federal Communications Commission approved the deal in a partisan 2-1 vote that allows the transfer of CBS television stations. FCC Chairman Brendan Carr, an appointee of Republican Trump, said the agency had received assurances from the incoming owners that they were committed to unbiased journalism.
Democrat Anna Gomez, the FCC’s dissenter, accused Paramount of “cowardly capitulation” to the Trump administration. She also said the FCC was imposing “never-before-seen controls over newsroom decisions.”
CBS News was one of several news organizations Trump attacked for what he viewed as unfavorable coverage. Paramount paid Trump to end a lawsuit he filed over CBS’ editing of a “60 Minutes” interview with his Democratic opponent, Kamala Harris.
Trump, who often accuses media outlets of liberal bias and “fake news,” argued that the editing was designed to make Harris look good. First Amendment lawyers said the suit was without merit.
Carr has said the agency’s review of the proposed merger was not connected to the lawsuit.
Senators Edward Markey of Massachusetts and Ben Ray Luján of New Mexico said the merger “reeks of the worst form of corruption,” coming on the heels of Paramount’s settlement.
The commission received pledges from Skydance that it would appoint an ombudsman to evaluate complaints of editorial bias or other concerns about CBS. Skydance also told the FCC it would not establish any diversity, equity, and inclusion initiatives, which Trump believes are discriminatory.
“These commitments, if implemented, would enable CBS to operate in the public interest,” Carr said, who also hailed “another step forward in the FCC’s efforts to eliminate invidious forms of DEI discrimination.”
“The Late Show” host Stephen Colbert had called Paramount’s settlement “a big fat bribe.” His show was canceled days later in what Paramount called a financial decision unrelated to politics.
It marks the end of an era for the family of the late Sumner Redstone, who transformed the family’s chain of drive-in movie theaters into a media empire that once spanned broadcast and cable television, film, radio and publishing. His daughter Shari Redstone became chair of Paramount in 2019.
At the time, she hoped to better position the company to compete with the world’s entertainment giants. Paramount has since shed billions of dollars in market valuation as it struggled to navigate an entertainment business upended by the streaming video revolution.
The FCC approved the transaction after a review of more than 250 days, longer than the commission’s target of completing such reviews within 180 days.
Skydance CEO David Ellison, son of Oracle co-founder Larry Ellison, is poised to become chair and chief executive of the new Paramount. Jeff Shell, former chief executive of Comcast’s NBCUniversal, will be its new president.
Chris McCarthy, one of Paramount’s current trio of CEOs has decided to depart the company once the merger is completed, a source with knowledge of the matter said.
Paramount’s stock rose about 1.4% in after-hours trading to $13.45.
Dawn Chmielewski, David Shepardson and Lisa Richwine, Retuers
The female executive who was caught on camera embracing the CEO of her company at a Coldplay concert in a moment that went viral has resigned, according to news reports.Multiple news outlets reported that Kristin Cabot, the executive in charge of human resources at tech company Astronomer, has resigned.Her departure follows the resignation of CEO Andy Byron, who quit after the company said he was being put on leave pending an investigation.The episode resulted in endless memes, parody videos and screenshots of the pair’s shocked faces filling social media feeds.Cabot and Byron were caught by surprise when singer Chris Martin asked the cameras to scan the crowd for his “Jumbotron Song” during the concert last week at Gillette Stadium in Foxborough, Massachusetts.They were shown cuddling and smiling, but when they saw themselves on the big screen, Cabot’s jaw dropped, her hands flew to her face and she spun away from the camera while Byron ducked out of the frame.“Either they’re having an affair or they’re just very shy,” Martin joked in video that spread quickly around the internet.When the video first spread online it wasn’t immediately clear who they were, but online sleuths rapidly figured out their identities. The company has previously confirmed the identities of the couple in a statement to the AP.Both of their profiles have been now removed from Astronomer’s website and a November press release announcing her hiring has also been deleted.Astronomer was a previously obscure tech company based in New York. It provides big companies with a platform that helps them organize their data.Online streams of Coldplay’s songs jumped 20% in the days after the video went viral, according to Luminate, an industry data and analytics company.
Associated Press
President Donald Trump locked horns with Federal Reserve Chair Jerome Powell during a rare presidential visit to the U.S. central bank on Thursday, criticizing the cost of renovating two historical buildings at its headquarters and pressing the case for lower interest rates.
Trump, who called Powell a “numbskull” earlier this week for failing to heed the White House’s demand for a large reduction in borrowing costs, wrapped up his visit to the Fed’s $2.5 billion building project in Washington by saying he did not intend to fire Powell, as he has frequently suggested he would.
“To do so is a big move and I just don’t think it’s necessary,” Trump told reporters after the visit.
In a post on his Truth Social media site, Trump later said of the renovation, “it is what it is and, hopefully, it will be finished ASAP. The cost overruns are substantial but, on the positive side, our country is doing very well and can afford just about anything.”
The visibly tense interaction at the Fed’s massive construction site marked an escalation of White House pressure on the central bank and Trump’s efforts to get Powell to “do the right thing” on rates. It happened less than a week before the central bank’s 19 policymakers are due to gather for a two-day rate-setting meeting, where they are widely expected to leave their benchmark interest rate in the 4.25% to 4.50% range.
The president has repeatedly demanded Powell slash rates by 3 percentage points or more.
“I’d love him to lower interest rates,” Trump said as he wrapped up the tour, as Powell stood by, his face expressionless.
Powell typically spends the Thursday afternoon before a rate-setting meeting doing back-to-back calls with Fed bank presidents as part of his preparations for the session.
The encounter between the two men became heated as Trump told reporters the project was now estimated to cost $3.1 billion.
“I am not aware of that,” Powell said, shaking his head. Trump handed him a piece of paper, which Powell examined. “You just added in a third building,” the Fed chief said, noting that the Martin Building had been completed five years ago.
White House budget director Russell Vought and Trump’s deputy chief of staff, James Blair, who have spearheaded criticism of the renovation as overly costly and ostentatious, later told reporters they still have questions about the project. The two men, who joined Trump during the visit, have suggested poor oversight and potential fraud in connection with it.
Senate Banking Committee Chair Tim Scott, a Republican who sent Powell a letter on Wednesday demanding answers to his own questions about the renovation, also took part in the visit.
Elevated by Trump to the top Fed job in 2018 and then reappointed by former President Joe Biden four years later, Powell last met with the current president in March when Trump summoned him to the White House to press him to lower rates.
The visit on Thursday took place as Trump battles to deflect attention from a political crisis over his administration’s refusal to release files related to convicted sex offender Jeffrey Epstein, reversing a campaign promise. Epstein died in 2019.
The Fed, in letters to Vought and lawmakers backed up by documents posted on its website, said the project the first full rehab of the two buildings since they were built nearly a century ago ran into unexpected challenges including toxic materials abatement and higher-than-estimated costs for materials and labor.
Speaking outside of the construction site, Trump said there was “no tension” at his meeting with Powell and that they had a productive conversation about rates.
FED INDEPENDENCE
Ahead of Trump’s visit, Fed staff escorted a small group of reporters around the two construction sites. They wove around cement mixers and construction machines, and spoke over the sound of drills, banging, and saws. Fed staff pointed out security features, including blast-resistant windows, that they said were a significant driver of costs in addition to tariffs and escalations in material and labor costs.
The project started in mid-2022 and is on track to be completed by 2027, with the move-in planned for March of 2028.
A visit to the roof of the Eccles Building, a point of particular scrutiny by critics like Scott, who has complained about “rooftop garden terraces,” revealed an impressive view of the Lincoln Memorial and the National Mall, according to the pool report.
Staff explained that rooftop seating, although inexpensive, had been removed because of the appearance of it being an amenity and was one of only two deviations from the original plan. The other was the scrapping of a couple of planned fountains.
Market reaction to Trump’s visit was subdued. The yield on benchmark 10-year Treasury bonds ticked higher after data showed new jobless claims dropped in the most recent week, signaling a stable labor market not in need of support from a Fed rate cut. The S&P 500 equities index closed largely flat on the day.
Trump’s criticism of Powell and flirtation with firing him have previously upset financial markets and threatened a key underpinning of the global financial system that central banks are independent and free from political meddling.
His trip contrasts with a handful of other documented presidential visits to the Fed. Then-President Franklin Delano Roosevelt visited the central bank in 1937 to dedicate the newly-built headquarters, one of the two buildings now being renovated. Most recently, former President George W. Bush went there in 2006 to attend the swearing-in of Ben Bernanke as Fed chief.
Ann Saphir, Jasper Ward and Kanishka Singh, Retuers
In the midst of an ongoing turnaround effort, Intel Corp. reported $12.9 billion in revenue as part of its second-quarter financial results on Thursday, matching year-over-year (YOY).
The sum beat Wall Street forecasts, according to consensus estimates cited by CNBC, but it wasnt enough to offset news about higher losses, additional layoffs, and the scaling back of Intel’s foundry business.
The chip manufacturer saw its stock price (Nasdaq: INTC) briefly rise as the market closed, but shares have since tumbled about 8% in after-hours and premarket trading, as of this writing.
What did Intel report?
Lets start with the money: Intel reported a $2.9 billion loss (67 cents per share), compared to $1.6 billion (38 cents per share) YOY.
At the same time, CEO Lip-Bu Tan announced that Intel intends to lay off around 15% of its workers, leaving it with about 75,000 employees worldwide by the end of 2025.
This news follows layoffs of 15% and 20% of Intels headcount last year and in April, respectively.
Intels foundry business is also getting a shakeup after investing too much, too soonwithout adequate demand, Tan stated.
He continued, In the process, our factory footprint became needlessly fragmented and underutilized. We must correct our course. Going forward, we will follow a systematic approach to growing our factory footprint thats fully aligned with the needs of our customers. We will be judicious and disciplined as we allocate capitalbecause thats what great foundries do.
Pulling back on projects, or abandoning them altogether
A large part of this course correction involves slowing or completely eliminating already planned projects. According to Tan, initiatives in Germany and Poland will no longer occur, while Costa Ricas assembly and test operations will be integrated into Intels Vietnam and Malaysia sites.
In the United States, Intel is slowing construction of planned factories in Ohio to ensure our spending is aligned with demandwhile maintaining flexibility to accelerate based on new customer wins, Tan added.
Intel previously delayed the Ohio factories operations by at least half a decade.
Post-pandemic, flexible work models were meant to deliver the best of both worlds: freedom and fluidity without losing the spark of in-person collaboration. As the pendulum swings back toward on-site work, companies still need to compete for top-tier talentnotably in tech. But increasingly, they also need to convince those people to come back to the office.
Its not enough to offer a desk and a decent coffee machine. The office has become something more symbolic: a reason to believe. A space that reflects your companys intent and identity. Thats why commercial real estate, once just a line item on the P&L, is quietly becoming a talent brand platform.
And if you think thats an exaggeration, look at the competition happening right now at the high end of the office and mixed-use market. Despite a general oversupply of space and an ongoing shift to remote work, premium buildings are still in demand in prime markets such as New York, Miami, and Los Angeles. Thats because theyre delivering more than square footage. Theyre transforming the workplace into a cultural and connective experiencea choice, rather than a mandate.
The talent mandate driving the real estate competition
Before the pandemic, Class A developers were already beginning to differentiate through design and lifestyle. But post-pandemic, the stakes have risen. At the top of the market, the most successful commercial real estate developers are now acting more like boutique hospitality brands. They’re curating experiences, designing for well-being, and programming spaces in ways that resonate with a workforce that values autonomy, connection, and purpose. Look no further than Hudson Yards promise of connected community, or Brookfield Properties (owner of New Yorks Brookfield Place and Londons 100 Bishopsgate), mission to create new ways to work.”
In our work with clients like Tishman Speyer and SL Green, weve seen firsthand how a hospitality mindset long central to hotels and resorts is being used to reposition commercial spaces as magnets for talent. These are no longer passive shells for work; theyre active tools in the battle for culture, collaboration, and competitive advantage.
The imperative isnt just to create high-end offices. Its to build environments that help companies recruit the best people and inspire them to come together in person. That means more than adding rooftop gardens or wellness studios (though those help). Its about the story those elements telland how they connect to a deeper promise about work, life, and belonging.
From asset to experience
Take The Spiral in New York, a Tishman Speyer property designed by Bjarke Ingels Group. Its terraced, corkscrew architecture connects every floor to outdoor green space, a vertical extension of the High Line that literally winds nature up the building. This isnt just a design flourish; its a signal of fresh air, light, openness that tells employees: Youll be well here.
Or Morgan North, another Tishman Speyer project we collaborated on, where a multi-acre rooftop park atop a historic post office delivers an unexpected sense of calm and retreat in the heart of Manhattan. These arent gimmicks, but curatorial decisions meant to align with the values of the people companies want to hire: wellness, connection, inspiration.
At One Madison, developed by SL Green, that narrative continues with a rooftop French garden, luxury fitness from Chelsea Piers, and culinary offerings from chef Daniel Boulud. Theres even an exclusive tenant-only amenities floor. This isnt just where people work; its a place they want to be.
Why space is a dimension of brand
Real estate branding has been seen as ephemeral; temporary campaigns to lease up space. But this new era demands something more permanent, more intentional. When done right, the brand of a place becomes part of the product itself. It doesnt fade once the buildings full. It lives on in the daily experience of the people inside.
And thats where hospitality becomes essential. Not in a superficial sense, but in how you curate and program a space to say something meaningful. In many ways, its less about branding as communications, and more about creating an environment that signals what kind of company you are, and what kind of people will thrive there.
In this context, hospitality is no longer a metaphor, its a method. It means thinking about your office as a host would a guest: What do they need? How do we make them feel welcome, inspired, and cared for?
But whats the ROI?
Were often asked: Does this really make people more productive? How do we justify this level of investment in the workplace experience?
The short answer is: the best spaces dont distract, they create tangible operational leverage. When employees can walk in a park, work from a lounge, eat world-class food, or exercise without leaving the building, theyre more productive, more loyal, more connected, and more likely to return.
More importantly, these spaces send a signal to current and prospective employees. They say: We value your experience. We want you to do your best work, and enjoy your life while doing it. Thats a powerful competitive edge, especially when top talent is scarce and expectations are high.
What founders should be asking
If youre a founder or people leader, the question isnt How much space do we need and what well-being perks can we offer? Its What kind of experience are we creating, and what does that say about who we are?
The office, in this light, becomes a key pillar of your employer brand, not a backdrop, but a stage. One that helps you tell your story and helps your people to live it. And when thats done well, its not just employees, present and future, who notice. Investors, clients, and collaborators do, too.
In the most effective developments, brand doesnt just show up in a name or a logo. It informs the entire user experience, just as it would in a top-tier hotel or entertainment venue. From the lobby to the lounge, from fitness to food, every detail becomes a chapter in a larger story.
So, if your real estate is still telling a story about available space, youre already behind. The next wave of workplaces is telling a different story, about purpose, energy, community, and care. Thats the kind of story the best talent wants to be part of.
When it comes to processes that employers, managers, and leaders dread, its likely to be performance management. And unfortunately, according to Gartner research, 71% of CHROs agree that managers are not fulfilling their role when it comes to performance management. And as a result, employees arent getting the type of feedback that they need to perform.
These shortcomings ripple beyond individual performance and can affect organizational success. A May 2024 Gartner survey of 1,456 employees found that only 52% believe performance management is helping their organization achieve its business goals.
What prevents employees from getting the most out of performance management is likely due to a perception of bias or lack of fairness in the process. Surprisingly, employees are starting to view AI as being less biased than humans when it comes to performance decisions. An October 2024 Gartner survey of nearly 3,500 employees found that 87% of employees think that algorithms could give fairer feedback than their managers right now, and an additional Gartner survey from June 2024 found that 58% of employees believe humans are more biased than AI when it comes to making compensation decisions.
Generative AI in performance management
Employees are embracing the idea that AI or generative AI (GenAI) can increase, rather than erode, fairness in the workplace. Understandably, a healthy level of skepticism still exists. At Gartner, we found that only 34% of employees agree or strongly agree that if an algorithm provided performance feedback (instead of their manager), the feedback would be fairer.
It’s the duty of CHROs to improve the effectiveness and fairness of performance management at their organizations. But if that means integrating GenAI to achieve their goals, they need to take the following steps.
Step one: Evaluate the benefits of GenAI against performance management pain points
To leverage GenAI to improve performance management, HR leaders need to understand the pain points at their organization. They also need to have an idea of how GenAI capabilities might be useful in addressing them.
Data from Gartner employee and manager surveys, as well as interviews with CHROs and heads of talent management, revealed two common complaints about performance management. First, the effort required is too high. Employees and managers complain that the process demands too much of them, is overly complex, and relies on cumbersome technology. Second, many questioned how useful it actually is. Employees and managers shared that performance management was not relevant to how they work, not aligned with business needs, and disengaging and unmotivating.
To have a greater understanding of the pain points within their unique organization, CHROs and heads of talent management should ask managers and employees across the organization to provide feedback on their biggest pain points. From there, HR leaders can assess whether GenAI is the right tool to address those issues.
For example, if fairness is an issue, leaders can implement GenAI as a tool to evaluate text for bias. If time-spend and disparate technology are an issue, companies can use GenAI to summarize data and generate insights from multiple HR systems.
Step two: Gauge readiness for GenAI in performance management
Not all workplaces are alike, and some may be more open to the full spectrum of GenAI capabilities than others. Surveys can be a great tool to assess workforce readiness for GenAI in performance management. This way, leaders can ensure that the technology enhances, rather than detracts, from the employee experience.
Leaders should combine quantitative survey data with qualitative feedback by equipping managers with tools to get a fuller picture of workforce GenAI readiness. This might mean sharing standardized GenAI statements reflecting the desired performance state with managers. For example, that might mean using GenAI as a way to level bias in performance management, increase efficiency, and employee satisfaction.
In addition, question guides can also support managers in gathering candid employee input, such as whether employees are comfortable with GenAI drafting goals or suggesting performance ratings (with human oversight). Managers should collate feedback to assess GenAIs limitations in performance management.
Step three: Secure employee trust to boost adoption and satisfaction
Trust is a top barrier to AI adoption. This is why building a foundation of trust is important when integrating GenAI in performance management. CHROs and talent management leaders can build employee trust by increasing visibility into decision-making and establishing an open dialogue about GenAI.
HR leaders should start by equipping managers and employees with the rationale for how and why the organization is introducing GenAI in performance management. A simple view into the why behind a decision helps employees accept and trust the decision. Employees also need to understand how decisions will directly impact their roles, so they can process, adapt, and move forward in good faith.
Lastly, leaders should establish mechanisms for employees to share feedback on GenAI in performance management to build trust and improve processes. These kinds of mechanisms help leaders identify when there is an erosion of trust, so they can rectify it by incorporating more human touch.
Effective performance management leads to better organizational performance
Improving performance manageent boosts employee engagement and business success. Gartner research shows that when HR aligns performance management with employee and business needs, organizations see higher perceptions of fairness and accuracy. They also see increases in employee performance (40%), engagement (59%), and overall workforce performance (60%). Increasing performance management utility drives better outcomes for everyone.
With employees starting to see the potential of GenAI in performance management, now just might be the ideal time to integrate this technology.
Amidst the other recent headlines about his signature, you may have missed the news that Donald Trump plans to sign an executive order in the coming days that will allow defined-contribution plans like your 401k to include private market investments.
If youre not the sort of person who views a mutual fund prospectus as light beach reading, this may sound like the kind of boring story that only your crypto-obsessed brother-in-law might care about. But this is serious business that could have repercussions on your retirementespecially if you’re not paying attention.
This proposed policy could be sending us down the same bumpy road that knocked the tires off of company-sponsored pension plans, dramatically increasing retirement insecurity for most American workers. Heres what you need to know.
Whats in the executive order?
The specific details of the forthcoming executive order (EO) remain hazy. But most experts agree that the president will probably use the EO as an opportunity to formalize the 2020 Pantheon Ventures/Partners Group opinion letter from the Department of Labor.
This letter, issued during Trumps first administration, suggests that private equity investment options could be included in defined-benefit plans (i.e., 401k and 403b plans and the like) as part of a target-dated fund or other managed fund. The letter also emphasizes that plan participants should not be able to directly access private equity investments.
Its likely this letter may serve as a blueprint for the EO that crosses Trumps desk in the near future.
Whats private equity?
Private equity is an investment in a privately traded company by an accredited investor or group of investors who take on a controlling interest in the organization. Though typically lucrative, private equity investing is often characterized by a long time horizon and a lack of liquidity. Private equity firms often charge high fees and expenses, and they may not disclose conflicts of interest.
Lets look at these specific characteristics:
Private trading
Private equity is an investment class that is not available to the general public. This is unlike shares in publicly traded companies that anyone can purchase on the open market.
Accredited investors
An individual may be considered an accredited investor if they have earned $200,000 (or $300,000 with a spouse) for each of the past two years, or if they have a net worth of over $1 million excluding their primary residence. This means youre only allowed to invest in private equity if you can be relatively sure you wont be completely wiped out if you make a single bad investment.
Controlling interest
Typically, private equity investors take a controlling interest in the company and work to actively manage the business in order to increase its value.
Illiquidity
Private equity investment requires a long time horizon and most private equity funds will impose limits on when an investor can withdraw their funds. These limits will often last years.
Fee structure
Private equity funds come with fees and expenses that can be confusing, opaque, or just plain undisclosed.
Conflicts of interest
Private equity firms can and do have interests that conflict with those of their investors and the funds they manage. Though the SEC has proposed stronger rules for Private Fund advisers, and the commission does enforce what it can, investors must remain vigilant for the possibility of conflicts of interest.
So whats the problem with private equity?
There are some very good reasons why defined-benefit plans have always been closed to private equity. At its best, private equity is an effective tool that can help companies restructure and position themselves for future growth. This is what Dell did in 2013.
But too often, private equity functions more like the Bust Out episode of The Sopranos, where Tony drives his friend Daveys sporting goods store into bankruptcy by maxing out debt to purchase inventory the mobsters peddle for a profit. Sears and Toys R Us are two examples of companies that didnt survive their private equity adventures. Those two bankruptcies eliminated 70,000 jobs, and company pension plans were eventually frozen or terminated.
Why add private equity to 401k plans?
There are $12.2 trillion worth of assets in U.S. defined contribution retirement plans. Private equity would appreciate getting a foothold in an investment sector that has traditionally been cut off from non-accredited investors.
Proponents of the idea claim that allowing 401k investors to include private equity in their defined contribution plans will give them the opportunity to enjoy the higher returns that are typically restricted to accredited investors. But detractors worry that private equity is too risky and illiquid an investment class to have in a workplace retirement planwhich is where an employee would take a hardship withdrawal during a tough economic time.
Critics like Elizabeth Warren have called private equity predatory and demanded stronger regulations.
Why not just ignore it?
If investing in private equity isnt your cup of tea, it may seem reasonable to simply put the matter out of your mind. You just won invest in any of the private equity target-dated funds and your 401k will continue chugging along.
The only issue with this plan is the fact that opening the door to private equity in our defined contribution plans will also make the employers sponsoring those plans more vulnerable. Under the Employment Retirement Income Security Act (ERISA), employers have a fiduciary responsibility to make sure the investment options in your 401k are prudent and that any fees are not onerous.
Plan sponsors have traditionally been leery of private equity in 401k retirement plans because of their illiquidity, complexity, opacity, and high fees, which leaves them open to ERISA lawsuits. Considering the fact that ERISA lawsuits against excessive 401k fees have risen to a near record high in the past year, employers have good reason to be worried.
Yes, this does mean that everything is working as planned. Employers are supposed to take fiduciary responsibility for their employees retirement plans, and when they dont, the workers can file ERISA lawsuits against themand win. So far, so good.
But the creation of ERISA 50 years ago, including the much-vaunted litigation portion of the law, may have contributed to the decline of pension plans.
If it ain’t broke . . .
Placing even more complex fiduciary responsibility on the shoulders of employers could have similar unintended consequences that we cant yet see. Average 401k savings rates and balances have recently been at record highs. As pensions have declined, and more Americans are feeling nervous about the future of Social Security, do we really want to open up defined contribution retirement plans to a new class of under-regulated, risky investments?
The average retirement investor simply has no need of private equity in their 401k.
Polymarket, a cryptocurrency-based prediction market best known as a platform for betting on elections, sports, and geopolitical events, is on a winning streak.
Earlier this month, the Department of Justice and Commodity Futures Trading Commission dropped investigations into whether Polymarket was allowing U.S. traders access to the platform despite lacking a proper license. This week, the platform announced that it will acquire QCX, a CFTC-licensed derivatives exchange, giving it fully legal access to the U.S. market.
Meanwhile, Polymarket has increasingly become a venue for betting on an array of cultural and even meme-level current eventssuch as who will be the next editor of Vogue or whether the Coldplaygate canoodlers will each get a divorce. In the process, Polymarket has ended up surprisingly well positioned to become a pop culture brand itself.
There are similar prediction-market competitors, notably Kalshi (where you can also bet on possible Coldplaygate aftereffects), but Polymarket has increasingly become a shorthand fixture for the category, often cited by other media. The platform has become synonymous with understanding the probability of current events, Polymarket founder Shayne Coplan claimed in a statement announcing the QCX acquisition, adding that increasingly mainstream audiences are using Polymarket to trade their opinions. The statement noted that its users have bet some $6 billion on the platform so far in 2025.
Founded in 2020, Polymarket uses blockchain technology that enables users to buy and sell “shares” in possible outcomes of various events. But aside from actual bettor participation, Polymarket and other prediction markets have attracted attention as de facto gauges of probability, applicable to just about any future event, with commentators like popular economics blogger Tyler Cowen regularly dropping references to interesting Polymarket data points. In particular, the platform has attracted attention as a predictor of election results. (Polling guru and gambling expert Nate Silver has been an adviser to Polymarket since 2024.)
Today theres an ever-shifting array of events to bet on, whose probability, according to those bets, is neatly quantified as an expression of market sentiment. An Israel-Hamas ceasefire before August? Polymarket says theres a 35% chance. Will Tesla launch a fully driverless, open-to-the-public Robotaxi service before August? The chance is 3%, according to Polymarket. How many times will Elon Musk tweet next week? What will be the highest-grossing movie of 2025? Will the existence of aliens be confirmed this year? (Theres a 6% chancethe same odds as Trump getting the 2025 Nobel Peace Prize.) New bets are introduced regularly by Polymarket, with suggestions and input from its users.
Myriad regulations and laws govern gambling, as well as trading what are essentially options contracts, and until recently, Polymarkets regulatory standing has been murky. In 2022, it agreed to pay a $1.4 million penalty and restrict access to U.S. users. Many bettors in the U.S. seem to have found work-arounds, leading to the renewed scrutiny, but that appears to have been resolved. The next regulatory (and competitive) challenges may focus on sports betting, still heavily restricted in many states. (Rival Kalshi has recently partnered with popular trading app Robinhood on sports-prediction products.)
Even so, the rise of Polymarket and its rivals speaks to how culturally accepted gambling has become. Strictly restricted and borderline taboo a decade or two ago, betting is now baked into sports discourse. And its against that societal backdrop that Polymarket has in effect leaned into the role of marketizing watercooler topics. Its Coldplay-couple market involves a parlaya gambling term for a multipart bet: For a bettor to win, both of the canoodlers (or their spouses) must announce their intention to divorce by the end of August. Polymarket currently pegs the chances of this happening at 16%.
The platforms brand stance is notably more highfalutin, positioning prediction markets as more accurate than pundits by gathering collective knowledge and perspectives into a single value that represents the markets view of an events odds, as a company statement puts it. Markets seek truth.
That said, prediction markets can miss their targetPolymarket gave Robert Francis Prevost only a 1% chance of becoming the new pope. But of course, thats an attraction for bettors: As with any form of gambling, the real money is in outsmarting the wisdom of the crowd. Polymarket is betting that this is part of the appeal that will bring prediction markets into the mainstream, and part of the cultural conversation on just about any topic. And lately, its odds are looking better than ever.
