There has recently been a trending story amongst traders that Robinhood investors are the reason the markets have rebounded so...
According to The Information fintech startup Robinhood has big plans for fundraising rounds in the near future; the publication says...
Robinhood has quickly become one of the hottest fintechs in the world during the pandemic as they added more than...
In this conversation, we talk with Brian Barnes of M1 Finance, about finance “super apps”, the cost-efficiencies of robo-advisors, fractionalized share trading, and tackling the titans of the Wealth Management industry. We also discuss the nuts and bolts of the financial infrastructure making this possible.
M1 Finance bundles together roboadvisory, neobanking and lending into a single “super app”, allowing for combined pricing power (i.e., charging nothing on asset allocation). The firm currently has $3 billion in AUM, a growth of 50% in the past four months and tripling their total in just over a year. Notably, the company has its own broker/dealer and offers fractional shares, and partners with Lincoln Savings bank on the deposit accounts. That makes for a compelling business model from securities lending, interchange, and order flow.
The new round puts a valuation on the company of $5.6 billion; they are now the second most valuable private...
Upstart’s AI Lending Platform Expands to Auto Loans On Deposit Solutions’ launch in the U.S. with CEO Philipp von Girsewald...
Robinhood has announced details of its latest funding round which raised $110 million for the firm giving it fintech unicorn status with a valuation of $1.3 billion; investors in the Series C funding round included DST Global, NEA, Index Ventures, Ribbit Capital, Thrive Capital and Greenoaks Capital; the firm also announced that it now has over two million users; the firm says: "Our two million users have transacted over $50 billion and saved nearly half a billion dollars in commission fees. Robinhood Gold, our margin and extended hours service, is also experiencing significant growth, with signups surging 17% month over month."; the firm plans to use funds from the Series C funding round for expansion of the platform's products and services. Source
Following a company-wide meeting Tuesday afternoon, CEO Vlad Tenev of the retail trading app Robinhood announced a 9% cut of staff.
We are syndicating a deep conversation across roboadvice, high tech and payments, and fintech bundling that we had with Craig Iskowitz of Ezra Group Consulting.
Check out Ezra Group Consulting here to learn more about digital wealth and Craig’s consulting practice. He is one of the sharpest software consultants in the RIA space, and his firm works with wealth management firms and fintech vendors to provide technology strategy and market research.
We had a lot of fun in this conversation and cover TD & Schwab, Wealthsimple, M1 Finance, Ant & Tencent, and Robinhood, among others. The full transcript is provided along with the recording — worth a read for the illustrations alone.
Despite its best efforts to the contrary, Robinhood did end up stealing from the rich and giving to the poor.
Melvin Capital, the $8 billion hedge fund that didn’t find GameStop funny, lost 53% of its portfolio in January ($7 billion) trying to short against the rallying cries of the Reddit Capitalist Union. Gabe Plotkin also faces the embarrassment of having to get bailed out by your old boss.
Speaking of, New York Mets owner and former name-on-the-door of SAC Capital, known most recently for its insider trading fine of $1.8 billion, Steven A. Cohen, put $2.8 billion of capital into Melvin’s fund.
Ken Griffin, owner of the Citadel hedge fund (an investor in Melvin), and Citadel Securities (a massive market maker and buyer-of-order-flow for Robinhood), is seeing capital losses in the former and Washington cries for scrutiny into market structure in regards to the latter.
Robinhood itself — which for goodness sake is *not Wall Street*, but as *Silicon Valley* as it possibly gets — raised $1 billion immediately to protect itself from class action lawsuits, DTCC capital calls, and a now-rapidly-closing IPO window. That means Yuri Milner of DST Global chipping in yet again.
That’s at least 4 people that have had a very bad, no good day.