Goldman Sachs Group announced this week the acquisition of Neos Investments for up to $2.25 billion. The transaction will be completed through a combination of cash and stock, according to a press release.
Founded in 2022, Neos manages nearly 20 option-based ETFs, totaling approximately $32 billion in assets. The products utilize strategies oriented toward income generation and dividend distribution.
The transaction also involves a company with a presence in the Brazilian market. Buena Vista Capital maintains a strategic alliance with Neos in the United States and uses indices and methodologies developed by the firm to structure ETFs in Brazil. The products combine exposure to global assets, such as bitcoin, ethereum, the S&P 500, and U.S. Treasury bonds, with option-writing strategies to generate income and distribute monthly dividends.
For Renato Nobile, CEO and CIO of Buena Vista Capital, the acquisition reinforces the asset manager’s partnership with Neos. “The acquisition by one of the world’s largest financial institutions expands the visibility of the methodologies used by the firm and helps validate the ETF model that combines exposure to different asset classes with option strategies for income generation,” he stated in the press release.
With the acquisition, Goldman Sachs’ ETF assets are expected to reach approximately $130 billion. Neos co-founders, Troy Cates and Garrett Paolella, will join Goldman Sachs Asset Management as partners, while the Neos team is expected to remain with the company.
According to the statement, the deal occurs against a backdrop of expansion in actively managed ETFs and income-generating strategies in the U.S. market. These strategies also apply in Brazil through products structured with Neos methodologies.
Buena Vista Capital was founded in 2021 and operates across fixed income, equities, digital assets, and venture capital. In Brazil, the asset manager introduced ETFs with covered call strategies and monthly dividend distributions, including SPYI11, QQQI11, and COIN11.
