Company type | Public |
---|---|
| |
Industry | Financial services |
Founded | April 18, 2013 |
Founders | |
Headquarters | , U.S. |
Area served |
|
Key people | Vladimir Tenev (CEO) |
Services | |
Revenue | US$1.865 billion (2023) |
US$−536 million (2023) | |
US$−541 million (2023) | |
Total assets | US$32.33 billion (2023) |
Total equity | US$6.696 billion (2023) |
Owners |
|
Number of employees | c. 2,200 (2023) |
Website | robinhood |
Footnotes / references [1] |
Robinhood Markets, Inc. is an American financial services company headquartered in Menlo Park, California. The company provides an electronic trading platform accessible via mobile app that facilitates commission-free trades of stocks, exchange-traded funds and cryptocurrency, as well as cryptocurrency wallets, credit cards and other banking services.[1] The company's revenue comes primarily from payment for order flow (53% of Q1 2024 revenues), net interest income (primarily from margin lending, interest earned on customers' cash balances, and credit cards; 41% of Q1 2024 revenues), and subscription fees (6% of Q1 2024 revenues).[2][1] The company has 23.9 million funded customers, 13.7 million monthly active users, and $130 billion in assets under custody.[2]
The company is named after Robin Hood, based on its mission to "provide everyone with access to the financial markets, not just the wealthy", with no commissions or minimum account balances.[3][4] The company has been credited for forcing the elimination of trading fees by several stockbrokers.[5][6][7][8] Robinhood has targeted millennials as customers; in 2022, the average age of its customers was 32.[9]
As the majority of the company's revenues are from payment for order flow, described as a kickback, the company has been criticized for routing orders to market makers that pay the most instead of those that offer the best order execution. It has also been criticized for undisclosed markups on cryptocurrency transactions.[10]