[Brad1970]

Defixated pretty much said what I was gonna say...so here's the cliffnotes:

Your employer doesn't want to get sued when you gamb00l away your lifesavings by buying shares of the internet startup company...Stealum & Cheatum Inc...that is offered by them in your 401k. Therefore, they stay with the old conservative non-sexy funds that have been around forever but don't give much back in returns.

To address the kickback issue...well that could be anything. It could range anywhere from low administration fees for your employer & to a free all expense paid vacation to Maui for the committee members who approve a crappy 401K plan...or both.