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Speaker 1: Bloomberg Audio Studios, podcasts, radio news. We welcome now our

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Speaker 1: Bloomberg Radio and television audiences. Robinhood is posting second quarter

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Speaker 1: revenue that beat Wall Street estimates, boosted my strength and

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Speaker 1: cryptocurrency trading. We're joined now by Robinhood, chairman and CEO

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Speaker 1: of lad Tenev and your backup on the day, you're

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Speaker 1: bringing your year to date gains for Robinhood closer and

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Speaker 1: closer to two hundred percent. Your stock has just soared

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Speaker 1: this year. Do you feel pressure at that valuation now

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Speaker 1: to increase your growth rate to meet investor expectations.

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Speaker 2: I think we're always challenging ourselves to serve our customers

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Speaker 2: better and consequently grow the business. But if you're asking

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Speaker 2: if I'm like looking at the stock and triving to

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Speaker 2: trying to drive that directly, no, I mean we're looking

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Speaker 2: at the inputs to our business and right now what

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Speaker 2: we're seeing is our customers are happy. Net promoter scores

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Speaker 2: are at a four year high. It's leading to net

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Speaker 2: deposits which have been very strong through July, and that's

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Speaker 2: leading to gains and market share across all of the assets.

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Speaker 2: And you're seeing that in revenue and EPs, which have

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Speaker 2: been very, very strong as well, and you know, we're

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Speaker 2: having these product events where we're announcing products that are

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Speaker 2: I think, far ahead of where the rest of the

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Speaker 2: industry is. So I don't think it's slowing down where

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Speaker 2: if anything, accelerating further.

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Speaker 3: By the way, more than four hundred and twenty percent

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Speaker 3: over the past twelve months, you're worth almost one hundred

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Speaker 3: billion dollars. You're now worth a lot more than Intel,

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Speaker 3: which for an old guy like me, that's that's a

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Speaker 3: real milestone. Where do you see the biggest growth? I

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Speaker 3: know you're expanding overseas. We talked to you last time

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Speaker 3: about tokenization. What's the biggest shooting star at Robinhood?

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Speaker 2: I think if you look long term, the big potential

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Speaker 2: that I see for Robinhood is how can we expand

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Speaker 2: across two different axis. One is from being US only

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Speaker 2: or US primary to being fully global available to billions

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Speaker 2: of people around the world. And the other is can

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Speaker 2: we go from being retail only and serving the full

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Speaker 2: wallet of a retail customer and being this sort of

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Speaker 2: like financial super app to a full platform that serves

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Speaker 2: not just retail but businesses and institutions. And you know,

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Speaker 2: we're getting into that through some of the acquisitions that

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Speaker 2: we're making and through organic platform expanse.

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Speaker 3: But by the way, could I live on Robinhood now?

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Speaker 3: I mean, could I have Bloomberg deposit my paycheck with

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Speaker 3: you and pay all my bills with you, and you know,

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Speaker 3: get a loan from you and do my trading with you.

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Speaker 3: Are you looking at that full suite and how fast.

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Speaker 1: Can you get there?

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Speaker 2: You can do the Lion's share of that. Robinhood Banking

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Speaker 2: is actually rolling out later this quarter. We're still on

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Speaker 2: track for that. It's now rolled out internally to our

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Speaker 2: thousands of employees and it's looking really good. So that'll

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Speaker 2: allow you to put in your paycheck, get checking savings accounts.

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Speaker 2: You don't have to go to the ATM. We figured

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Speaker 2: out how to get cash to you to where you are.

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Speaker 2: For those of others that still use cash, you can

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Speaker 2: do your estate planning. We have home loans partnership with

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Speaker 2: Sage that lets you have a mortgage at an industry

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Speaker 2: leading rate. And of course you're trading, you're investing your advisory,

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Speaker 2: so we can help you with the Lion's share of that.

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Speaker 2: I didn't even mention the credit card, but you saw

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Speaker 2: my credit card last time. I think it's the best

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Speaker 2: credit card on the market.

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Speaker 1: So you were talking about Robinhood Banking launching to a

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Speaker 1: broader audience soon, But what does that put you in

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Speaker 1: terms of your relationship to the broader banking industry. You

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Speaker 1: just saw about a day ago, JP Morgan and Coinbase

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Speaker 1: inking a deal to allow wallets to be more linked

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Speaker 1: to bank accounts.

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Speaker 2: Are you going to be partnering with.

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Speaker 1: Banks or are you running in direct competition to them?

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Speaker 2: I think that as our companies become bigger and bigger

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Speaker 2: and just diversify into more segments, the relationship with counter

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Speaker 2: parties will be collaborative and will partner in some ways.

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Speaker 2: And of course, in the broad sense, every financial company

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Speaker 2: competes with every other one if your goal is to

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Speaker 2: get customer assets and greater wallet share. But yeah, I

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Speaker 2: think it's it's nothing. In the financial services industry, the

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Speaker 2: large companies have always like collaborated and competed across different axes.

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Speaker 1: So to mass point a little earlier, one year growing tremendously,

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Speaker 1: you have stock as currency to do so, you're became

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Speaker 1: worth more than Intel. How much firepower does that give

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Speaker 1: you for a transformative acquisition? Could you do something much

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Speaker 1: bigger and what are the types of places you'd.

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Speaker 2: Look Yeah, uh interesting, I've never I've never had Intel

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Speaker 2: brought up as a comp but I see what you

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Speaker 2: mean about that being historically you know, these companies that

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Speaker 2: you think of is very infrastructured.

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Speaker 3: NIC's an iconic company if you grew up with it

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Speaker 3: like me, you know, and then yeah, I mean, it

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Speaker 3: eclipsed it.

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Speaker 2: Even being in the same conversation as those brands is humbling.

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Speaker 2: I think We've always been very deliberate with acquisitions, so

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Speaker 2: we want to make sure it pencils and it makes

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Speaker 2: sense for the company. It gives us eighteen month acceleration

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Speaker 2: to the product roadmap. We get a team that's like

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Speaker 2: DNA culture aligned with us because we like to move fast,

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Speaker 2: and we have very very high bar for talent and

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Speaker 2: if all those are met. We've been pretty active, as

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Speaker 2: I'm sure you're aware, in the acquisition market. So I

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Speaker 2: wouldn't say, you know, I have a particular itch, but

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Speaker 2: we've got a great corp DEV team and we tend

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Speaker 2: to look at every opportunity that comes up.

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Speaker 3: You became a household name during the first wave of

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Speaker 3: retail trading post pandemic retail trading, and now we've seen

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Speaker 3: that pick up again. In fact, a lot of investors

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Speaker 3: or bankers come on this show and say, it's really retailed.

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Speaker 3: It's bought this thirty percent surge from the bottom of April,

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Speaker 3: and institutional investors have to catch up. Can that hold?

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Speaker 3: Have we seen a fundamental shift in the way people invest?

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Speaker 2: I think the fundamental shift is that if you think

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Speaker 2: about you know, institutional investing, all these fund managers, it's

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Speaker 2: very abstracted. So I think they tend to make decisions

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Speaker 2: about portfolio allocation based on macro factors. You know, tariffs,

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Speaker 2: geopolitical conflict, let me use that to rebalance the portfolio,

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Speaker 2: And so you end up having somewhat strange things where

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Speaker 2: a company that is unaffected or perhaps benefits from that

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Speaker 2: type of uncertainty could just get sold off because of

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Speaker 2: broader macro. Now retail doesn't think that way. Retail says,

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Speaker 2: I want to buy this stock because I believe in

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Speaker 2: this particular company, and so you see them doing very

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Speaker 2: very well in the scenarios where you know, broad market

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Speaker 2: activity affects companies that are otherwise doing very very well

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Speaker 2: and shouldn't be unaffected. But you know, institutions hands are

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Speaker 2: basically forced because they have to reallocate, and I think

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Speaker 2: that's a positive. It's a positive thing. We've gotten so

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Speaker 2: abstracted that I think we need to get back to

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Speaker 2: the basics of people buying stocks because they believe in

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Speaker 2: that particular company and not because of some sectual correlation

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Speaker 2: that may or may not actually exist.

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Speaker 3: Well, it's great to get some time with you, Glad,

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Speaker 3: especially here in New York on set with us Latin

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Speaker 3: of they're the CEO of Robinhood this.

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Speaker 2: Thanks for having me