Goldman Sachs to Acquire Innovator Capital and Expand Its Crypto-Linked ETF Offerings

Goldman Sachs has agreed to acquire Innovator Capital Management, integrating the ETF specialist into its asset management arm. The deal adds Innovator's defined return products to Goldman's broader portfolio of investments, giving the firm new tools that define return ranges and help shape portfolio outcomes more precisely.

Terms of Agreement and Expected Closing Date

The deal is estimated to be worth about $2 billion, which Goldman plans to settle using a mix of cash and equity tied to agreed-upon performance targets. The company explained that the integration of Innovator will expand the reach of Goldman Sachs Asset Management's ETF business and support the development of new offerings on its platform. It also positions the bank more firmly in a rapidly expanding part of the active ETF market.

Both companies expect the purchase is finalized in the second quarter of 2026subject to regulatory approval and customary closing conditions. Once concluded, approximately $28 billion of assets under supervision managed by Innovator will be transferred to Goldman Sachs Asset Management, which ended the third quarter with $3.45 trillion in AUS.

Innovator Products and Team Join Goldman Sachs

David Solomon, president and CEO of Goldman Sachs, said the acquisition will help the firm offer clients a broader range of modern investment solutions. He highlighted the rapid rise of active ETFs, noting their growing importance for investors seeking flexible and adaptable structures. As part of Innovator's integration into Goldman's operations, more than 60 of its employees are expected to join the bank's third-party wealth management and ETF divisions, strengthening expertise and supporting the expanded product line.

A prominent example of Innovator's offerings is the QBF ETF, built around FLEX options linked to Bitcoin ETFs or the Cboe Bitcoin US ETF Index. It is designed to provide investors with partial exposure to Bitcoin's upside while limiting potential losses to 20% per quarter. Its structure allows it to capture 71% of any positive Bitcoin price movement during each quarterly period, providing a controlled way to participate in gains while controlling risk.

Evolution of Goldman's exposure to digital assets

Goldman's involvement in digital asset-related investments has increased significantly from its position a few years ago. The bank considered cryptocurrencies unsuitable for clients' investment strategies in 2020, but its approach quickly changed in the following years:

• Between 2020 and 2024, Goldman participated in 18 fundraisers backing blockchain-focused companies, making him one of the most active investors in nascent blockchain startups during this period.
• Its engagement intensified in 2024, with a review of second-quarter 13F filings by CoinShares showing the bank purchased approximately $419 million in Bitcoin ETF shares.
• As of the fourth quarter of 2024, Goldman had purchased nearly $1.28 billion in the iShares Bitcoin Trust and approximately $288 million in the Fidelity Wise Origin Bitcoin Fund, according to SEC filings. During the same period, combined holdings in BlackRock and Fidelity's Ethereum ETFs reached approximately $476 million, showing broader exposure to digital asset products.

Continuing its focus on digital assets, integrating Innovator into its asset management business allows Goldman to enhance a long-term revenue stream while continuing to expand the investment options it offers to both institutional and retail clients, including products related to the cryptocurrency market.