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Goldman Sachs has agreed to acquire Innovator Capital Management, a major provider of defined outcome exchange-traded funds, in a move that will expand the bank’s presence in one of the fastest-growing segments of the ETF market.
Innovator oversees $28 billion in assets under supervision across 159 defined outcome ETFs, offering strategies focused on income, buffers and growth.
Goldman Sachs said the transaction, expected to close in the second quarter of 2026 pending regulatory approval, will significantly broaden its active ETF capabilities and strengthen its long-term product roadmap.
The consideration will total about $2 billion, payable in cash and equity subject to performance targets.
David Solomon, Goldman Sachs’ chairman and chief executive, commented that the acquisition would “expand access to modern, world-class investment products for investor portfolios,” adding that Innovator’s leadership in defined outcome solutions aligns with the bank’s aim of delivering targeted, sophisticated strategies.
Defined outcome ETFs have surged in popularity, with global active ETF assets rising to $1.6 trillion and growing at a 47 per cent compound annual rate since 2020.
Innovator’s founders, Bruce Bond, John Southard, Graham Day and Trevor Terrell, will join Goldman Sachs Asset Management, together with more than 60 employees.
The deal will take the combined ETF lineup to over 215 strategies with more than $75 billion in assets under supervision, positioning Goldman Sachs as a top-ten active ETF provider globally.
Goldman Sachs believes the acquisition reinforces its broader strategy to expand durable revenue and meet investor demand for innovative portfolio solutions.