Jane Street’s ETF Dominance in Taiwan Sparks Goldman Challenge

Jane Street Group LLC’s dominance in a lucrative and booming corner of the exchange-traded fund world is drawing big-money challengers including Goldman Sachs Group Inc.

The prize: $93 billion of ETFs listed in Taiwan that mostly invest in US corporate debt and Treasuries. A huge wave of demand from the East Asian island’s insurance companies and retail investors — driven by regulatory incentives and a hunt for yield — has caused this market to more than double in assets in less than three years, with trading volumes multiplying even more.

New York-based Jane Street has capitalized the most from ...