Goldman Sachs Asset Management (GSAM) has introduced a new exchange-traded fund designed to replicate the performance characteristics of private equity portfolios, in partnership with MSCI, according to sources cited by Bloomberg.

The Goldman Sachs MSCI World Private Equity Return Tracker ETF (GTPE) began trading on Thursday, tracking an MSCI index composed of publicly listed equities structured to deliver “private equity-like returns.” The fund’s portfolio comprises approximately 1,500 global stocks, with both long and short positions, and carries an annual management fee of 0.5%.

The ETF seeks to mirror private equity exposures by replicating regional, sector, and style factors drawn from MSCI’s proprietary private company dataset, which spans about $7.7tn in private equity fund assets. The product is managed by Goldman’s Quantitative Investment Strategies team, led by Oliver Bunn.

“This is not private equity, this is private equity replication,” said Brendan McCarthy, Global Head of ETF Distribution at GSAM. “We think there is a demographic of buyers who still want the diversification of private equity, but there are operational hurdles – lock-up periods, documentation, capital calls – that make that diversification difficult. We think this is bringing further access.”

The ETF targets a wide investor base, including both institutional and retail clients. McCarthy described the collaboration with MSCI as the first initiative to create a public-market benchmark for private equity-style returns. “MSCI is in a great position to create a benchmark for asset owners and institutional wealth to think about private equity,” he said.

GTPE’s largest holdings currently include Microsoft, Eli Lilly, and Palantir. The launch adds to a growing trend of products designed to democratise exposure to private markets through listed, liquid structures.

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