Matthew Karic ’26 pitched Robinhood Markets Inc. (NASDAQ: HOOD) on September 30, 2025.
Robinhood is a leading digital brokerage platform that pioneered commission-free, mobile-first trading and has since expanded into retirement accounts, debit cards, credit, and crypto trading. With a rapidly growing user base among younger generations, Robinhood is positioned as a disruptive force in financial services, democratizing access to investing that was once exclusive to Wall Street and institutional players.
Matthew’s investment thesis centers on Robinhood’s expansion of the total addressable market, improving monetization, and ability to move upmarket. The company has multiple revenue levers, including payment for order flow, net interest income, margin lending, subscriptions, and crypto trading. Its Gold premium membership, IRA with contribution match, and Gold credit card position it to capture higher AUM clients as users mature. Additionally, Robinhood is innovating with AI-powered investment tools and rolling out prediction markets. Its global expansion into Europe and the crypto sector further strengthens its long-term growth potential.
SMIF executed the trade by selling 1,554 shares of XLF ($83,400) and reallocating into 600 shares of Robinhood at $139 ($83,400). To enhance returns and manage risk, the Fund also sold 6 covered calls at a strike price of $155, expiring November 21, 2025.
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