Goldman Sachs Options-Based ETFs Double Assets in 2025

Goldman Sachs is strategically evolving its ETF portfolio, with significant growth in newer, specialized offerings offsetting outflows from its established smart-beta fund. While the $13 billion GSLC has experienced $3 billion in outflows due to underperformance, the firm's ultra-short Treasury ETF, GBIL, saw over $600 million in inflows this year amid demand for cash-like safety. Most notably, Goldman's options-based ETFs, GPIX and GPIQ, launched in late 2023, have rapidly surpassed $1 billion and $987 million in AUM respectively, attracting substantial 2025 inflows and outperforming key competitors, underscoring Goldman's successful expansion into income-generating and protective ETF segments.

Analysis

Goldman Sachs is executing a successful strategic pivot within its ETF business, capitalizing on current market demand for income and safety, which is offsetting secular headwinds in its older smart-beta products. While the firm's largest fund, the $13 billion Goldman Sachs ActiveBeta US Large Cap Equity ETF (GSLC), has seen over $3 billion in net outflows in the last three years due to underperformance against the SPY benchmark, newer products are demonstrating significant traction. The firm's options-based income ETFs, GPIX and GPIQ, launched less than two years ago, have rapidly attracted capital, with GPIX surpassing $1 billion in AUM and GPIQ nearing that mark, collectively gathering approximately $1.2 billion in new assets in 2025. These funds offer high trailing distribution yields of 8.5% and 10.4% respectively, and have notably outperformed their larger JPMorgan peers year-to-date, despite slightly lagging their underlying S&P 500 and Nasdaq 100 benchmarks. Concurrently, the Goldman Sachs Access Treasury 0-1 Year Treasury ETF (GBIL) has benefited from a flight to safety, drawing over $600 million in 2025 inflows. The continued product innovation, evidenced by the new suite of buffer ETFs, underscores Goldman's commitment to expanding its footprint in the higher-growth segments of the ETF market.

Key Decisions for Investors

• Investors seeking high current income from equity exposure should evaluate the Goldman Sachs premium income ETFs, GPIX and GPIQ, given their strong asset-gathering momentum and competitive outperformance against larger peers.
• Holders of the Goldman Sachs ActiveBeta US Large Cap Equity ETF (GSLC) should review their position, considering its persistent outflows and recent underperformance relative to the passive SPDR S&P 500 ETF (SPY).
• For capital preservation and short-term yield, the Goldman Sachs Access Treasury 0-1 Year ETF (GBIL) warrants consideration as it is effectively capturing industry-wide demand for cash-like instruments amid geopolitical uncertainty.
• It is crucial to recognize that the high yields from GPIX and GPIQ come with a trade-off, namely the potential for capped upside, as evidenced by their slight year-to-date underperformance versus their underlying indices in a rising market.