Core Insights - The article emphasizes the importance of long-term performance of investments, suggesting that while some funds or companies may excel in favorable conditions, their resilience during challenging times is a critical measure of success [1]. Group 1 - Investments must endure the test of time, highlighting the significance of performance in difficult market conditions [1].

Core Insights - Goldman Sachs has announced the acquisition of Innovator Capital Management, adding $28 billion in assets under supervision (AUS) through 159 defined outcome ETFs as of September 2025 [1][5] - The acquisition aims to enhance Goldman Sachs' active ETF offerings amid increasing interest in active management strategies [1][2] - Defined outcome ETFs have shown significant growth, with a 66% compound annual growth rate (CAGR) since 2020, contributing to the overall active ETF market growth of 47% CAGR [3] Company Strategy - Bryon Lake, chief transformation officer at Goldman Sachs Asset Management, emphasized the early stage of innovation in the defined outcome space and the growth opportunities it presents [2] - The addition of Innovator's product range is expected to be a key catalyst for Goldman Sachs, particularly in appealing to advisors focused on risk mitigation for clients [2][5] - The acquisition positions Goldman Sachs among the top ten active ETF managers globally, managing over 215 ETF strategies and more than $75 billion in global AUS [5] Market Trends - The global active ETF market has reached approximately $1.6 trillion in assets under management (AUM) [3] - Defined outcome ETFs, such as the Innovator U.S. Equity Power Buffer ETF – January (PJAN), utilize derivatives and options-based strategies to provide downside protection and enhanced yields for investors [4]

Core Insights - The article discusses the comparison between periodically selling the S&P 500 (SPY) for income versus investing in the Goldman Sachs S&P 500 Premium Income ETF (GPIX) [1] Group 1 - The author emphasizes a long-term investment approach focusing on macro ideas through low-risk ETFs and CEFs [1] - The author has nearly ten years of experience trading stocks and currencies and currently manages a family fund [1] - The author also engages in real estate investments and contributes to financial writing [1]

Well, stocks do typically perform better in the wake of cuts from the Federal Reserve. My next guest has a playbook for how ETF investors can potentially take advantage of any postcut bump. Marissa Anel, Goldman Sachs Asset Management, head of ETF investment strategies, joining me uh now on set for this week's ETF report brought to you by Invesco QQQ.Marissa, thanks for being here. >> Thanks for having me. >> So, I I guess first of all to set the table, we should talk about what the Fed is going to do today ...

Core Viewpoint - The Federal Reserve is expected to cut interest rates by 25 basis points, with additional cuts anticipated through the end of the year and into the first half of next year, creating a favorable environment for certain investment strategies [2][3]. Group 1: Investment Strategies - Investors are advised to step out of cash and consider ultrashort duration bond strategies to lock in higher yields, potentially gaining 30 to 40 basis points more than cash holdings [4][8]. - The equity market, particularly through derivative income ETFs, is highlighted as a strong source of income, with $44 billion flowing into these ETFs this year, providing equity exposure with less volatility [10][11]. - Small-cap stocks are positioned as an attractive investment due to expected earnings growth of 30% next year compared to 10% for large caps, alongside increased IPO and M&A activity, which is up 30% and over 50% year-on-year respectively [15][16]. Group 2: Market Conditions - The current market environment is characterized by a backdrop of declining interest rates, which is expected to benefit small-cap companies more due to their higher floating rate debt [14][16]. - Valuations for small-cap companies remain attractive, with the median small-cap trading at a 27% discount to large caps, suggesting potential for growth as rates decrease [16]. Group 3: Active Management - It is recommended to actively manage small-cap investments rather than buying the entire benchmark, as about one-third of small-cap companies are lossmaking, emphasizing the importance of focusing on profitable companies [18].

Core Viewpoint - The notion that investors must choose between income and total returns in 2025 is identified as a false narrative, emphasizing the evolution in finance that allows for both to coexist [1]. Group 1 - The article highlights the importance of evolution in finance, suggesting that it is a natural part of life and investment strategies [1].