Since then, Robinhood has been aiming to democratize stock trading, or make it more accessible for anyone to trade stocks.
For more than a century, the now publicly traded company has expanded its offerings - allowing users to do far more than just buy shares of stocks. Today, its goal is simple: To democratize finance for all, according to CEO and co-founder Vlad Tenev, who was on the Fintech Stage at TechCrunch Disrupt.
We have been helping customers with their full range of financial needs for a number of years. So we see a world where we can not only help you trade (stocks or crypto), but we can help you save for retirement. And we can help you build up an emergency fund. And we can help you sort of manage your money holistically, regardless of what stage you are, and really help you achieve your financial goals and I think that that's been really resonating with customers, Tenev said.
Although Tenev acknowledges that a few years ago people might not have taken Robinhood seriously as a place to save for retirement, he believes the narrative around his company has changed.
In December, the startup of Menlo Park, California, launched a waitlist for its new offering, Robinhood Retirement, which it described as the 'first and only' individual retirement account with a 1% match on every eligible dollar contributed. For Gold members, the match increased to 3%. Some have argued that the move was part of a strategy to slow user attrition. But Tenev remains bullish.
Robinhood reached GAAP profitability for the first time last quarter, helped by higher interest rates.
The journey to this point was not without its ups and downs.
In 2020 and 2021, Robinhood's product roadmap took a backseat, Tenev said.
Tenev said he has been able to focus again on accelerating the product roadmap. The company acquired startup X1 earlier this year and plans to launch its own credit card. The firm is aiming to pursue international expansion.