Robinhood Markets has taken a significant step to democratize investment opportunities by launching a $1 billion fund aimed at allowing retail investors access to private companies prior to their public offerings. This initiative is embodied in the newly established Robinhood Ventures Fund I (RVI), which is currently on its IPO roadshow for a public offering of approximately $1 billion in common shares, expected to be listed on the New York Stock Exchange under the ticker symbol RVI.
Retail investors will have the chance to acquire IPO shares at an anticipated price of $25 each, with the offering comprising 40 million shares—35 million from the fund and 5 million from Robinhood Markets itself. The underwriting process is being managed by Goldman Sachs, which has an option to purchase up to 6 million additional shares within 30 days of the offering.
The RVI fund plans to invest in a select group of prominent private companies, including Databricks, Revolut, Airwallex, Boom Supersonic, Mercor, Oura, and Ramp. Additionally, the fund has secured an agreement to acquire shares of Stripe following its IPO. These companies span various sectors such as fintech, software, consumer technology, and aerospace, enabling individual investors to gain exposure to high-growth businesses that have traditionally been accessible only to venture capitalists and accredited investors.
According to Robinhood CEO Vlad Tenev, the initiative aims to provide retail investors with earlier access to companies that often experience significant growth prior to going public. This move aligns with Robinhood”s strategy to diversify its revenue streams, especially in light of mixed performance reported in its latest earnings, which indicated a decline in crypto trading revenue during the fourth quarter of 2025.
The timing of the RVI launch also reflects Robinhood”s response to a broader trend of decreasing trading activity in both stocks and cryptocurrencies. As trading volumes across the board have slowed, the company is seeking new avenues for revenue generation beyond its traditional platforms for stock and crypto trading.
Market reaction to the announcement has been cautious, as evidenced by a 0.70% decline in Robinhood”s stock (HOOD) over a 24-hour period, with trading volume falling by 27.47% compared to the previous session, hitting $2.37 billion. This drop suggests that investors are wary, particularly as Robinhood ventures into private market investing amid a backdrop of overall subdued retail trading activity.
