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Fortunately, "Dems Target Private Retirement Accounts" story is misleading
http://www.minyanville.com/articles/index.php?a=19924
A hearing was held on October 7 by Education and Labor Committee Chairman George Miller (D-CA) to look into the impact of the financial crisis on workers' retirement security. Please read Congressman Miller's opening remarks, because there is no mention in them whatsoever about confiscating retirement assets. Instead Congressman Miller mentioned in his remarks, and has long been an outspoken advocate of, 401k plan FEE reform, something those on Wall Street certainly have no small stake in, and a revenue stream that will be increasingly important to them.
So, where did this idea of 401k asset confiscation come from? Supposedly from Teresa Ghilarducci, professor of economic policy analysis at the New School for Social Research in New York, one of five witnesses who testified at the hearing. However, also among those testifying was Jerry Bramlett, CEO of BenefitStreet who, as the chief executive of a company that provides advisor-sold 401k plan services, most certainly has a direct financial stake in seeing that the 401k never goes away.
As with all things that provoke hysteria, there is a tiny kernel of truth and plausibility to be found, but it is not the "confiscation" myth. Ghilarducci did indicate she was in favor of a Social Security Administration-run fund that would consist of 401k assets. But, rather than advocating they be forcibly confiscated, she suggested Congress act to allow workers to voluntarily exchange their plans for a "Guaranteed Retirement Account":
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