Goldman Sachs Completes Innovator Capital Acquisition, Lifting ETF Assets to $90 Billion

April 2 (Reuters) – Goldman Sachs (GS.N) has announced the successful completion of its acquisition of active exchange-traded fund provider Innovator Capital Management, further solidifying its foothold in the rapidly expanding active ETF segment.

Active ETFs have rapidly emerged as a leading area in asset management, gaining traction among investors due to their lower costs and flexible strategies, especially as returns from some passive index products have struggled to keep pace.

In December, Goldman Sachs revealed its plan to acquire Innovator Capital, which managed 171 ETFs valued at approximately $31 billion, through a deal estimated at $2 billion.

Goldman Sachs Completes Innovator Capital Acquisition, Expanding Active ETF Presence

“With this acquisition, we have taken a transformative step in our commitment to provide sophisticated investment solutions that are designed to deliver specific outcomes for investors through market cycles,” stated Goldman Sachs Chief Executive Officer David Solomon.

As part of the transaction, Innovator’s co-founders Bruce Bond and John Southard will transition to roles as advisory directors at Goldman Sachs. Additionally, Chief Investment Officer Graham Day and Head of Distribution Trevor Terrell will join the firm as partners. Over 70 Innovator employees are expected to join Goldman Sachs as part of this integration.

With the addition of Innovator, Goldman Sachs Asset Management now oversees around 240 ETFs globally, culminating in total ETF assets under supervision that reach approximately $90 billion. Innovator employs a defined outcome strategy, utilizing exchange-traded options to safeguard investors against market downturns while capping potential upside to finance that protection.

---

View this Reuters article CLICK HERE