Sixty-nine percent of Americans expect to rely in part on Social Security, and 32 % expect it will be their primary source of retirement income, according to“ Social Security Turns 90: The Cornerstone of Retirement Income,” a survey-based research report conducted with the Transamerica Institute, a nonprofit, private foundation based in Los Angeles.

“ Social Security has served as the cornerstone of retirement income since its establishment nine decades ago. It provides millions of older Americans with guaranteed income, so that they can retire with greater financial security,” said Catherine Collinson, CEO and president of the Transamerica Institute and the Transamerica Center for Retirement Studies.

“ With the estimated depletion of the

Social Security trust funds looming large, now is the time for policymakers to identify reforms that can help ensure the program’ s sustainability for the next 90 years,” she said.“ Americans are anxious about the future of Social Security and what might happen to their benefits.”

Among those who are not yet retired, 70 % are concerned that Social Security will not be there for them when they are ready to retire, according to the survey, which was based on interviews with 10,009 U. S. residents age 18 and older.

With concerns about the system running rampant, respondents cited a variety of ways to solve the problem, including increasing the maximum earnings subject to payroll taxes( a solution cited by 38 % of respondents), increasing the Social Security payroll tax rate( cited by 35 %), preserving retirement benefit payments for retirees in greatest need( named by 28 %), and raising the retirement age( cited by 22 %). One in four people said they didn’ t know what should be done, and 5 % said Congress should do mothing.

Despite saying they will rely on Social

Security for a primary part of their retirement income, retirees are uncertain about their futures. According to the survey, 70 % of those not yet retired said they feel like“ they can work until retirement and still not save enough to meet my needs.” In addition, 42 % of retirees said they were unable to save enough to meet their retirement needs.

Many near retirees have meager savings to fall back on. People who are not yet retired have saved $ 51,000 on average in total household retirement accounts, the survey showed. On average, retirees have an estimated median savings total of $ 126,000, excluding home equity.

The burden of coming up with retirement money is not spread evenly and falls more heavily on women.

Collinson said:“ The persistence of the gender pay gap combined with taking time out of the workforce for parenting and caregiving puts many women at risk of inadequately saving for retirement. As a result, women have greater reliance than men on Social Security for retirement income.”

According to the survey, 36 % of women near retirement, compared with 27 % of men, report that they will rely on Social Security as their expected primary source of retirement income. Of retirees, almost six in 10 women cite Social Security as their primary source of income, compared with 47 % of male retirees.

— Karen DeMasters

Supporters Say It Boosts Returns

Supporters of the move argue that private markets can enhance diversification, potentially boost returns and better match the long-term horizons of retirement savers.

Trump is one of them. His recent executive order— titled“ Democratizing Access to Alternative Assets for 401( k) Investors”— will likely radically alter the retirement investment landscape. The directive calls on the Treasury Department, the DOL and the Securities and Exchange Commission to develop a regulatory framework that would open the door for millions of defined-contribution participants to invest in private equity, private credit and even digital assets.

Trump’ s pitch: The change would remove“ burdensome lawsuits” and“ stifling” DOL guidance and thus allow workers to tap asset classes“ long embraced by institutional investors” and potentially reap“ competitive returns along with diversification opportunities.”

But while some see a new frontier for retirement portfolios, many fiduciary experts, plan sponsors and RIAs hear alarm bells that are both familiar and sobering: high costs, opaque structures, illiquidity, heightened legal exposure— and as Ptak points out, the likelihood that many of the new alt funds simply won’ t survive.

The key challenge for advisors will be balancing the theoretical advantages against the practical risks, regulatory scrutiny and reputational exposure. As Borzi and others point out, fiduciary duty means more than offering access— it means ensuring the investment is prudent, transparent and in the best interest of participants.

With the executive order signaling clear market momentum, the conversation is likely to intensify. For now, history offers a clear takeaway: Whether it’ s liquid alts in 2014 or private equity in 2025, new products often arrive with glossy promises but can contain hidden pitfalls. Advisors who remember that will be better positioned to protect both their clients and themselves.

— Tracey Longo

SEPTEMBER 2025 | FINANCIAL ADVISOR MAGAZINE | 11