Robinhood Markets Bundle
Who owns Robinhood Markets?
Understanding Robinhood Markets' ownership is key to grasping its strategy and accountability. A major shift occurred with its IPO on July 29, 2021, opening ownership to public investors.
Founded in 2013, Robinhood has democratized trading, reporting $2.95 billion in net revenues for 2024 and serving 25.8 million funded customers by Q1 2025.
The ownership journey includes founders, venture capital, and now public and institutional investors, all influencing its path. This includes understanding its competitive landscape, as detailed in a Robinhood Markets Porter's Five Forces Analysis.
Who Founded Robinhood Markets?
Robinhood Markets, Inc. was established in April 2013 by Vladimir Tenev and Baiju Bhatt, who previously developed high-frequency trading platforms. Their aim was to create an accessible, user-friendly mobile app for investing, democratizing market access for a wider audience.
| Founder | Early Ownership Stake (Approximate Voting Power) |
|---|---|
| Vladimir Tenev | 26.1% |
| Baiju Bhatt | 38.9% |
Founding Vision
Tenev and Bhatt sought to simplify investing with a mobile-first approach. Their goal was to remove barriers and make financial markets more approachable.
Multi-Class Share Structure
Robinhood implemented a structure with Class A, B, and C shares. Class B shares carry 10 votes, significantly concentrating control with early stakeholders.
Post-IPO Voting Power
Following its IPO, the co-founders, through their entities, retained substantial voting power. This structure ensured continued leadership influence.
Early Funding Rounds
Significant funding was secured through multiple rounds, including a $363 million Series D in May 2018 and a $323 million Series E in July 2019. A Series F in May 2020 valued the company at $8.3 billion pre-money.
Founder Economic Interest
At the time of the IPO, Vladimir Tenev and related entities held approximately 7.8% economic interest, while Baiju Bhatt and related entities held approximately 7.1% economic interest.
Key Investors
DST Global was a lead investor in early funding rounds, including Series D and E. Sequoia Capital led the Series F round, and D1 Capital Partners led the Series G funding.
The ownership structure at the time of Robinhood's Initial Public Offering (IPO) was characterized by a multi-class share system designed to maintain founder control. Class B shares, held exclusively by the co-founders, Vladimir Tenev and Baiju Bhatt, and their associated entities, carried significantly more voting power than Class A shares. This arrangement meant that despite holding a smaller percentage of the total economic interest, the founders wielded a disproportionate amount of voting control, influencing major corporate decisions. Understanding the Target Market of Robinhood Markets is crucial to appreciating the company's growth trajectory and its impact on retail investing.
Founders' Control
Vladimir Tenev and Baiju Bhatt, through their Class B shares, held concentrated voting power. This allowed them to maintain significant influence over the company's direction even after becoming a publicly traded entity.
- Class B shares: 10 votes per share.
- Class A shares: 1 vote per share.
- Class C shares: No voting rights, except as legally required.
- Founders' entities held all Class B shares at IPO.
- This structure ensured founders' continued control.
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How Has Robinhood Markets’s Ownership Changed Over Time?
Robinhood Markets became a public entity with its Initial Public Offering (IPO) on July 29, 2021, listing on the Nasdaq under the ticker 'HOOD'. This event raised nearly $2 billion, valuing the company at approximately $32 billion.
| Shareholder Type | Percentage of Ownership (as of March 30, 2025) | Number of Shares (as of March 30, 2025) |
|---|---|---|
| Institutional Investors | 68.33% | 575,420,807 |
| Retail Investors | 62.75% | N/A |
| Insiders | 1.37% | N/A |
As of July 2025, Robinhood's ownership is a mix of institutional and retail investors, alongside company insiders. Institutional investors collectively own a significant majority, holding approximately 68.33% of the outstanding shares. Among these, The Vanguard Group, Inc. is a major holder with 8.41%, followed by BlackRock, Inc. at 4.58%, and FMR LLC at 3.83%. Retail investors also maintain a substantial stake, representing about 62.75% of the stock. Insiders hold a smaller portion, around 1.37%.
Key Stakeholders and Voting Power
The co-founders, Vladimir Tenev and Baiju Bhatt, retain considerable control through their Class B common stock holdings. This structure ensures their influence on company direction.
- Vladimir Tenev holds 5.2% of shares and 24% of voting power (as of 2024).
- Baiju Bhatt holds 7.8% of shares and 40% of voting power (as of 2024).
- This dual-class share system is crucial for understanding who controls Robinhood Markets company.
- The voting power distribution is key to the Robinhood company owner dynamic.
- Understanding the Revenue Streams & Business Model of Robinhood Markets can provide context for ownership motivations.
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Who Sits on Robinhood Markets’s Board?
The Board of Directors at Robinhood Markets, Inc. includes co-founder and CEO Vladimir Tenev. While specific details regarding other board members' affiliations to major shareholders or independent seats are not publicly detailed for 2024-2025, the board's composition is designed to oversee the company's strategic direction and governance.
| Director | Role | Key Affiliation |
|---|---|---|
| Vladimir Tenev | Co-founder, CEO, Director | Founder and significant voting power holder |
| Baiju Bhatt | Co-founder, Director | Founder and largest voting power holder |
| [Independent Director Name] | Independent Director | [Affiliation if known] |
| [Major Shareholder Representative] | Director | [Affiliation if known] |
Robinhood Markets employs a multi-class stock structure that significantly shapes its ownership and voting power dynamics. The company has Class A, Class B, and Class C common stock. Class A shares each carry one vote, while Class B shares have ten votes per share. Class C shares do not have voting rights, barring legal requirements. The founders, Baiju Bhatt and Vladimir Tenev, along with their associated entities, hold all outstanding Class B shares. This dual-class system ensures that the founders retain substantial control over company decisions. As of 2024, Baiju Bhatt commands approximately 40% of the voting power, and Vladimir Tenev holds around 24% of the voting power. This arrangement allows them to maintain significant influence even if their economic ownership is diluted through future equity offerings. Shareholders can participate in voting, often through proxy, but their voting rights can be affected if their shares are on loan, for instance, when using margin. Robinhood facilitates shareholder engagement through platforms like Say Technologies, enabling shareholders to submit and vote on questions for management, though this does not alter the core voting power distribution. The introduction of tokenized stocks in the EU, which do not include voting rights, further clarifies the separation between economic participation and governance control, reinforcing the existing hierarchy.
Understanding Robinhood's Voting Power
Robinhood's ownership structure is heavily influenced by its dual-class share system. This system grants founders disproportionate voting power, ensuring their continued control over the company's strategic direction.
- Class B shares, held by founders, have 10 votes per share.
- Class A shares have 1 vote per share.
- Class C shares have no voting rights.
- Baiju Bhatt holds approximately 40% of the voting power as of 2024.
- Vladimir Tenev holds approximately 24% of the voting power as of 2024.
- Shareholder engagement is encouraged via platforms like Say Technologies.
- Tokenized stocks in the EU do not confer voting rights.
- Learn more about the company's journey in our Brief History of Robinhood Markets.
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What Recent Changes Have Shaped Robinhood Markets’s Ownership Landscape?
Over the past few years, Robinhood Markets has undergone significant shifts in its ownership landscape, driven by strategic business decisions and market dynamics. These developments offer insights into who owns Robinhood and how its shareholder base is evolving.
| Shareholder Type | Number of Holders | Total Shares Held |
|---|---|---|
| Institutional Investors | 1,414 | 575,420,807 |
| Insider Ownership | Varies (Co-founders retain significant voting control) | Significant voting power |
| Retail Investors | Large and active base | Substantial number of shares |
Recent strategic moves by Robinhood Markets, including a substantial share repurchase program and expansion into new services, are shaping its ownership trends. These actions reflect a growing confidence in the company's trajectory and its appeal to both institutional and retail investors.
Share Repurchase Program
In May 2024, a $1 billion share repurchase program was authorized, with $257 million repurchased by February 12, 2025. This indicates a commitment to returning value to shareholders and potentially consolidating ownership.
Growth in Premium Services
Robinhood Gold subscribers grew to over 3.2 million by March 2025, showcasing increased engagement and a stronger revenue base. This growth can influence the overall investor profile and demand for Robinhood stock ownership.
Financial Performance and Expansion
Total net revenues for 2024 reached $2.95 billion, a 58% increase year-over-year. The acquisition of Bitstamp in 2025 further signals expansion, potentially attracting new institutional investors interested in the crypto market.
Leadership and Voting Control
Co-founder Vlad Tenev remains CEO, and the dual-class share structure ensures founders retain significant voting control, with Tenev holding 24% and Bhatt 40% of voting power as of 2024. Understanding this structure is key to grasping who controls Robinhood Markets company.
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