Goldman Sachs to acquire NEOS ETFs for $2.3 billion

Goldman Sachs Group Inc. agreed to acquire NEOS Investments, an ETF provider, for approximately $2.3 billion in cash, the bank announced on Monday.

The acquisition, subject to customary regulatory reviews, would bolster Goldman’s asset management division by adding NEOS’s suite of factor-based and smart-beta exchange-traded funds. NEOS, founded in 2009, manages roughly $20 billion in assets across 30 ETFs, including strategies focused on equity, fixed income, and multi-asset allocations.

Goldman Sachs, which has been expanding its wealth and asset management operations, did not disclose further financial terms or integration plans. The deal follows a broader push by the bank to enhance its investment platform amid heightened competition in the ETF and passive investment space.

NEOS’s ETFs are listed on major U.S. exchanges and have attracted institutional and retail investors seeking alternative indexing approaches. The provider’s factor-based strategies, which aim to outperform traditional benchmarks through systematic risk exposures, have gained traction in recent years as investors diversify beyond cap-weighted index funds.

Analysts noted that the acquisition aligns with Goldman’s strategy to deepen its asset management capabilities, particularly in areas where passive and smart-beta products are growing faster than traditional active management. The bank has previously expanded through acquisitions, including the 2020 purchase of Folio Investing, a digital brokerage platform.

The transaction remains contingent on regulatory clearances and is expected to close in the second half of 2025, pending approval from the U.S. Securities and Exchange Commission and other relevant authorities.