Latest news with #CGGG
Yahoo
31-07-2025
- Business
- Yahoo
Why Goldman Sachs Jumped Back into Lead Market Making
Goldman Sachs is retaking the lead. After an eight-year absence from lead market making, the Wall Street firm has taken on the role for the $35 million CG US Large Growth ETF (CGGG). It's a shift in strategy for Goldman, which exited the LMM role in hundreds of ETFs it supported back in 2017 to avoid high regulatory and operations costs and focus instead on issuing its own ETFs. With about 500 ETFs having launched in the US so far this year, however, Goldman may see it as the perfect opportunity to make some scratch on the spread as well as support the ETF industry. 'The addition of Goldman Sachs as a market maker is a net positive as these ETFs will need liquidity and orderly trading,' said Todd Rosenbluth, head of research at VettaFi. READ ALSO: Crypto ETFs Get Major Relief From SEC and ETF Sales: A Tale of Bitcoin and the S&P 500 Capital Idea Capital Group launched the actively managed CGGG at the end of June. Since then, it has taken in roughly $6.4 million in inflows, and its performance has risen about 6%, according to VettaFi data. Capital Group is excited to have Goldman as the fund's LMM. 'We're always looking to partner with high-quality liquidity providers and with so much activity and expected growth within the ETF category, it's great to see Goldman Sachs in the lead market maker role,' Scott Szever, head of ETF product and capital markets at Capital Group, said in a statement. Invest in Gold Thor Metals Group: Best Overall Gold IRA American Hartford Gold: #1 Precious Metals Dealer in the Nation Priority Gold: Up to $15k in Free Silver + Zero Account Fees on Qualifying Purchase Goldman declined to comment. Make or Break. Market makers play a crucial role in the ETF ecosystem, providing continuous liquidity by being ready to buy or sell shares at any time. In return, they profit from the spread between bid and ask prices, a dynamic that has attracted several major Wall Street players. Jane Street serves as LMM for more than 800 ETFs across the NYSE Arca, Cboe and Nasdaq, Bloomberg reported. Meanwhile Virtu, Susquehanna and Citadel cover about 1,750 funds combined. As those numbers suggest, there's quite a lot of profit in the infrastructure of the ETF industry: In the first quarter of the year, Citadel generated $3.4 billion in trading revenue. Meanwhile, Jane Street was estimated to have garnered more than $7 billion from trading. No wonder Goldman wants back in. This post first appeared on The Daily Upside. To receive exclusive news and analysis of the rapidly evolving ETF landscape, built for advisors and capital allocators, subscribe to our free ETF Upside newsletter. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Bloomberg
25-07-2025
- Business
- Bloomberg
Goldman Returns as ETF Lead Market Maker After Eight-Year Exit
Goldman Sachs Group Inc. is back in the lead market-making game for exchange-traded funds, after an eight-year hiatus, reviving its presence in a corner of finance now dominated by fast-moving trading firms. The Wall Street firm has taken on the lead market-maker role for the $34 million CG US Large Growth ETF (CGGG), launched by Capital Group in late June. It marks Goldman's first public step back into a US activity it largely exited in 2017. The move is in response to growing client demand, according to a person familiar with the matter who asked not to be identified. The firm declined to comment.
Associated Press
26-06-2025
- Business
- Associated Press
Capital Group Launches New U.S. Growth and U.S. Value Equity ETFs For Model Portfolio Builders, and First High Yield Bond ETF
The $66B ETF manager has grown its total suite of ETFs to 25 in the U.S., with registered investment advisors comprising a fifth of its overall ETF business LOS ANGELES, June 26, 2025 /PRNewswire/ -- Capital Group, one of the world's largest and most experienced active investment managers, launched three new active exchange-traded funds (ETFs) that begin trading on the New York Stock Exchange (NYSE) today. These include the firm's first focused U.S. growth and large value equity strategies, designed for financial professionals constructing model portfolios for their clients, as well as its first high yield bond ETF. The three new ETFs are: 'With today's launch, we've introduced two new U.S. equity ETFs that provide highly focused growth and value exposures for model portfolio builders, powered by Capital's active, distinct investment approach including our deep research capabilities and multiple manager system. We've also brought our high yield (HY) investing capabilities into the ETF wrapper, drawing on our extensive experience managing more than $49B in HY assets1,' said Scott Davis, Head of ETFs, Capital Group. 'Following the launch of our ETF models earlier this year, this represents the next evolution of our ETF business in response to our clients' needs.' The launch of the three new strategies follows Capital crossing $66B in assets under management2, with approximately one-fifth of the overall business driven by sales to registered investment advisors (RIAs)3. 'We know RIAs are one of the biggest users of ETFs in the industry and are increasingly interested in active strategies,' said Eric Grey, Senior Vice President, Head of Financial Conglomerate and RIA Distribution, Capital Group. 'Our two new equity ETFs, CGGG and CGVV, are our solution to the clear need we've heard from RIAs and other financial professionals for U.S. growth and value-focused strategies they can use as asset allocators and builds on our growing offering for RIAs in recent years, including our online tools and resources hub, RIA Insider.' Launched in 2020, the RIA Insider online platform provides access to curated insights and industry news, a community of peers and thought leaders, and specialized resources including portfolio analysis consultations and Marketing Lab, which allows RIAs to customize and share Capital's client-ready thought leadership articles with their clients, branded with the RIA's logo. Capital Group now offers 25 ETFs in the U.S, and continues to be the fastest, organically grown suite of active ETFs in the market4, with over 6% market share of active ETFs.5 It also offers a line of all active Capital Group ETF model portfolios to help financial professionals and their clients pursue their long-term financial goals. About Capital Group Capital Group, home of American Funds, has been singularly focused on delivering superior results for long-term investors using high-conviction portfolios, rigorous research and individual accountability since 1931. As of March 31, 2025, Capital Group manages approximately $2.8 trillion in equity and fixed income assets for millions of individuals and institutional investors around the world. Capital Group manages equity assets through three investment groups. These groups make investment and proxy voting decisions independently. Fixed income investment professionals provide fixed income research and investment management across the Capital organization; however, for securities with equity characteristics, they act solely on behalf of one of the three equity investment groups. For more information, visit Media Contact: Sarah Christiansen [email protected] Investments are not FDIC-insured, nor are they deposits of or guaranteed by a bank or any other entity, so they may lose value. Investors should carefully consider investment objectives, risks, charges and expenses. This and other important information is contained in the fund prospectuses and summary prospectuses, which can be obtained from a financial professional and should be read carefully before investing. Statements attributed to an individual represent the opinions of that individual as of the date published and do not necessarily reflect the opinions of Capital Group or its affiliates. This information is intended to highlight issues and should not be considered advice, an endorsement or a recommendation. This content, developed by Capital Group, home of American Funds, should not be used as a primary basis for investment decisions and is not intended to serve as impartial investment or fiduciary advice. All Capital Group trademarks mentioned are owned by The Capital Group Companies, Inc., an affiliated company or fund. All other company and product names mentioned are the property of their respective companies. Use of this website is intended for U.S. residents only. Capital Client Group, Inc. © 2025 Capital Group. All rights reserved. 1Source: Capital Group High Yield Fixed Income Assets Under Management, March 31, 2025. 2Source: Morningstar Direct. U.S. ETFs only as of May 31, 2025. 3Source: Broadridge Firm Sales as of February 22, 2022 through April 30, 2025. 4Source: Morningstar Direct. U.S. ETFs as of May 31, 2025. 5Source: Morningstar Direct. U.S. ETFs excluding Mutual Fund-to-ETF conversions (or ETFs that were converted from mutual funds) as of May 31, 2025. View original content to download multimedia: SOURCE Capital Group Companies
