What you describe is mostly a political decision that effectively subsidizes the mutual fund, broker and financial planning markets and the broader equities (an

What you describe is mostly a political decision that effectively subsidizes the mutual fund, broker and financial planning markets and the broader equities (and to a lesser extent, fixed income market) to the benefit of...you guessed...people who already own it. Pension funds invest in many of the same things everyone else invests in, directly or indirectly. The difference is now you have millions of amateurs with small sums versus a few hundred professionally managed institutions. Either way, the little guy loses.