With the maturing, growth and increasing importance of defined contribution plans to the retirement security of US employees, many plan fiduciaries and managers of designated investment alternatives designed for defined contribution plans are considering whether it is appropriate and prudent to include a broader array of asset classes in defined contribution plan portfolios to enhance diversification, investment return and retirement outcome for defined contribution plan participants. This Legal Update reviews recent trends, considerations under the Employee Retirement Income Security Act of 1974, as amended, (“ERISA”) and potential legal risks arising out of the investment of defined contribution plans in alternative asset classes.