Robinhood Company Preso

1. Robinhood Markets, Inc.
Ameya Khare

2. Problem
Investing can be expensive and I don’t know where to start!
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Commission $0 $6.95 $6.95 $4.95 $4.95
Cost to borrow $2k $10 $15.83 $15.41 $13.87 $14.16

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5. History
Founded by Vlad Tenev and Baiju
Bhatt (co-founders and co-CEOs)
Mission to democratize access to
financial markets
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Founded Apr 2013

6. History
Application launches on iOS and
Android
People begin to get off the waitlist
Doesn’t cost anything!
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Founded Apr 2013
App Launch Dec 2014

7. History
Instantly deposit up to $1,000
Instantly use funds from sale to
purchase
Doesn’t cost anything!
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Founded Apr 2013
App Launch Dec 2014
Instant Feb 2016

8. History
Pre and after trading hours, larger
instant deposits
Access to leverage
Costs between $10 - $50
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Founded Apr 2013
App Launch Dec 2014
Instant Feb 2016
Gold Sep 2016

9. History
Robinhood options do not cost money to trade, exercise, or assign
Crypto does not cost a trading fee (fees associated with blockchain exist)
4M users have transacted $100B in volume and saved $1B in fees
Q: When will I get off of the waitlists? A: Soon™
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Founded Apr 2013
App Launch Dec 2014
Instant Feb 2016
Gold Sep 2016
Web, Options, Crypto
Nov 2017, Dec 2017, Feb 2018

10. Finances
Dec 2013: Seed Round $3M
Sep 2014: Series A $15M
May 2015: Series B $50M
April 2017: Series C $110M @ $1.3B valuation
Celebrity Investors: Snoop Dogg, Nas, Jared Leto, Ashton Kutcher
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11. Finances
Q: Is the company profitable?
A: It should be!
Robinhood Gold has seen 17% month/month growth
Revenues should be ~$30M annually but will only grow
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12. Business Model
Monetize users through
Robinhood Gold
Monetize users through
collecting interest on any
uninvested capital
Monetize market through
providing trades to brokerage
services
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13. Secret Sauce
“Why? Why? Why? Why? Why? Why? Why? Why? …”
- Anonymous, 2018
Robinhood understands its user base: millennials, with a median user
age of 28 and an average account value of only $2,000
Robinhood isn’t trying to replace traditional brokerages and doesn’t
spend money on brick and mortar stores, advertising, or promotion
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14. Competition (Online Brokerage Industry)
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Zero Commission ✓
Access to Many
Markets
✓ ✓ ✓ ✓
Extensive Platform and
Research Depth
✓ ✓ ✓
Simple features for
beginner investors
✓ ✓

15. Prediction
I think the company will be successful
The Good
Innovative business model, extremely qualified and lean team,
tremendous month/month growth, understanding of customer
The Bad
Smaller team results in lower iteration, resulting in waitlists and
customer support hiccups
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16. References
https://robinhood.com/
http://blog.robinhood.com/
https://techcrunch.com/2017/04/26/robincorn/
https://www.crunchbase.com/organization/analyst
http://fortune.com/2018/01/25/bitcoin-millennials-robinhood-
cryptocurrency/
https://www.fastcompany.com/40437888/how-brokerage-app-
robinhood-got-millennials-to-love-the-market
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17. Questions?
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