Robinhood is reportedly setting aside 35% of its IPO shares for retail investors

Rafael Henrique/SOPA Images/LightRocket via Getty Images

Robinhood is planning to allocate 35% of its IPO shares to retail investors, according to the Wall Street Journal.
The trading platform launched a program to "democratize" IPOs for Robinhood customers.
Robinhood’s expected market debut would come during one of the hottest-ever IPO seasons.
Sign up here for our daily newsletter, 10 Things Before the Opening Bell.
Robinhood is planning to allocate more than a third of its IPO shares for individual investors as it launches a new effort to "democratize" IPOs, according to a new Wall Street Journal report.
The Journal, citing people familiar with the matter, reports that as much as 35% of shares sold in Robinhood’s forthcoming IPO will be set aside for individual investors, a much higher proportion than most market debuts.
Robinhood didn’t comment on the Journal story.
The news comes weeks after the trading platform launched a program to "democratize" IPOs. The initiative, dubbed IPO Access, attempts to channel IPO shares to Robinhood customers, irrespective of account size or order value.
So far, only a few IPOs have been available to Robinhood users, including airport-biometrics firm Clear Secure, language app Duolingo, and scrubs maker Figs. Clear Secure jumped as much as 43% during its public debut on Wednesday.
Robinhood’s expected market debut would come during one of the hottest-ever IPO seasons. US-listed IPOs are expected to raise $40 billion this summer, up from an already-elevated $32 billion in summer 2020, according to Dealogic data cited by the Journal.
Read the original article on Business Insider

Source: https://www.businessinsider.com/robinhood-ipo-retail-investors-initial-public-offering-access-2021-07

Join the Discussion

  • BrokerEUR/USD
    FX Pro 0.91pips. (variable) margin: 3.33%
    LCG 0.3pips (variable) margin: 3.33%
  • Back to top