Robinhood Targets Active Traders, Global Markets for Expansion

Robinhood has its eyes on new products and new markets as it builds for the future.

The stock trading and investing app is focused on winning the active trader market, increasing wallet share by deepening relationships with its existing customers, and continuing to expand internationally, Vlad Tenev, CEO and co-founder of Robinhood, said Tuesday (Feb. 13) during the company’s quarterly earnings call.

“Reflecting on the past four years, we’ve tripled our customer base and grown revenues nearly seven times,” Tenev said. “When we look at all that’s in front of us, we’re excited by the opportunity to continue growing Robinhood significantly from here.”

To appeal to active traders, Robinhood continues to build features meant for them, aiming to create a “pro trader web experience,” the company said in a Tuesday earnings release. The company also plans to add futures and index options.

Robinhood has been taking trading market share for some time and is winning net asset inflows from its major competitors, Tenev said during the call.

“For winning the active trader market, we’re going to continue to invest in our user experience on mobile, where we’re currently No. 1 in market share,” Tenev said during the call. “In addition, we will be expanding our selection of tradable assets in particular with index options and futures coming later this year.”

One recent move Robinhood has made to increase wallet share is its addition of bitcoin exchange-traded funds (ETFs), according to the release. The company added 11 bitcoin ETFs on Jan. 11, the first day they were available after being approved by the Securities and Exchange Commission (SEC).

Robinhood also plans to continue its global expansion after beginning that with the launch of brokerage in the United Kingdom and crypto in the European Union (EU), per the release. Following these moves, it plans to explore other opportunities to grow outside the United States.

“We have tens of thousands of international customers so far,” Tenev said during the call. “What we’re hearing from customers is that they want more of the full Robinhood product suite, so we’re working to build that for them. We’re also pursuing opportunities to expand into more jurisdictions.”