Robinhood's CEO sees users shifting to passive investing, leading to strong financial growth

Robinhood CEO Vlad Tenev noted a shift from meme-stock trading to passive investing among users. The platform attracted both active traders and long-term investors during the pandemic. Tenev described two main user groups as “motorheads” and “folks that buy minivans.” Robinhood’s assets under custody in retirement accounts soared by 600% to over $13 billion last year. Additionally, net revenue grew by 58% to nearly $3 billion, leading to a $1.1 billion profit in 2024. The stock price of Robinhood has quadrupled in the past year, reaching a market value of over $80 billion. With bullish retail investors and new products, the stock price surged after announcing tokenized investing in Europe.

Read more at Yahoo Finance: Robinhood is known for its meme-stock and crypto traders. Its CEO says users are embracing passive investing too.