Goldman Sachs to Acquire NEOS Investments for $2.25 Billion

Goldman Sachs has agreed to acquire NEOS Investments, an exchange-traded fund (ETF) platform, in a deal valued at up to $2.25 billion. The transaction, expected to close in the first quarter of 2027, includes a mix of cash and equity and is subject to regulatory approvals. Once completed, NEOS co-founders Troy Cates and Garrett Paolella will join Goldman Sachs Asset Management as partners, along with the broader NEOS team.

NEOS, founded in 2022, has quickly become a prominent ETF provider in the US, managing approximately $30 billion in assets across 19 options-based income ETFs as of June 2026. The acquisition aligns with Goldman Sachs Asset Management’s strategy to expand its derivative-based ETF offerings, catering to growing investor demand for actively managed income-focused products.

David Solomon, chairman and CEO of Goldman Sachs, highlighted the complementary nature of NEOS’ investment approach with the firm’s existing capabilities. He noted that the deal will enhance the firm’s position as the world’s eighth-largest active ETF manager, according to Morningstar data. NEOS’ flagship S&P 500 High Income ETF delivered a return of roughly 19 percent during the 12 months to June 2026, underscoring its success in the market.

The acquisition marks Goldman Sachs’ second significant ETF-related transaction in 2026, following the acquisition of Innovator Capital Management earlier in the year. Both deals reflect the firm’s focus on expanding its footprint in options-based and outcome-oriented ETF strategies, which have seen compound annual growth of over 70 percent since 2021.