Robinhood To Offer Retail Investors Access To Private AI Companies Despite Bubble Concerns

Benzinga

Robinhood is launching a closed-end “Robinhood Ventures” fund to let retail investors access leading private AI companies. The structure limits withdrawals and carries higher lock-in risk, but CEO Vlad Tenev says demand remains strong and downplays AI bubble concerns. Analysts remain split on valuation after HOOD’s 230% year-to-date rally.

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00:00It's Benzinga, bringing Wall Street to Main Street.

00:03Robinhood will let retail investors invest in private AI companies,

00:06even as concerns grow over a potential sector bubble, the Financial Times reported.

00:11CEO Vlad Tenev said Robinhood will launch a Robinhood Ventures fund,

00:15letting traders invest in at least five top private AI companies. The closed-end fund

00:20limits withdrawals, posing high risk of capital lock-in, but Tenev said retail investors remain

00:26eager for such opportunities. Tenev dismissed AI bubble concerns, stressing AI's potential for

00:32wide-scale disruption and the need to give retail investors access to it. The move follows Robinhood's

00:37strong third-quarter results and record revenue, as the company diversifies into prediction markets

00:42and other ventures. Analysts remain divided on valuation, with one calling the stock

00:47significantly overvalued, after a 230% year-to-date gain. For all things money, visit Benzinga.com.

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