Robinhood Expands Services to Keep Up with Growing Customer Base

Robinhood, the brokerage that rose to prominence with meme stocks and crypto trading, is now positioning itself to serve an evolving clientele.

As its customers age and their financial needs become more complex, the company is expanding its offerings, ranging from wealth management services to high-yielding savings accounts.

The company announced Wednesday that it plans to introduce a suite of new services designed for a more mature demographic, including wealth-management tools, personalized investment portfolios, and bank accounts. Robinhood’s average customer age has increased to 35, up from 31 over the past five years, reflecting a shift in its user base toward more seasoned investors.

Robinhood has long capitalized on the mobile-first mentality, and it is bringing that approach to its new financial services. Some of the perks planned for bank account holders include discounts on helicopter rides and the ability to have cash delivered directly to their homes, mirroring the convenience of platforms like DoorDash.

CEO Vlad Tenev remarked on this shift in consumer habits, stating, “We’re uniquely positioned at the epicenter of this massive cultural and financial shift” from traditional banking and brokerage models to a more DIY approach to managing finances from home.

The company’s rapid growth began during the pandemic, when zero-commission trades and a booming stock market attracted a new generation of retail investors. However, Robinhood has faced challenges since its IPO in 2021, including periods of strain on its platform during times of high trading volume.

The latest expansion is a clear indication that Robinhood is aiming to move beyond the retail-investing boom of the early 2020s, setting its sights on larger competitors like Charles Schwab, Fidelity Investments, and Merrill Lynch. As traditional financial firms face pressure to lower fees, many have turned to higher-touch services, such as wealth management, to maintain profitability. Robinhood’s new offerings are designed to fill this gap with a more accessible approach to wealth management.

A standout service, Robinhood Strategies, offers a mix of exchange-traded funds (ETFs) and individual stocks with a management fee of 0.25%, capped at $250 annually for premium Robinhood Gold subscribers. The service provides a balance between robo-advisors—automated, algorithm-driven investment tools—and traditional, in-person wealth management.

Later this year, Robinhood will launch Robinhood Banking, offering checking and savings accounts with a 4% annual percentage yield (APY) and FDIC insurance coverage of up to $2.5 million. The new platform will include unique perks such as the ability to book discounted private jet or helicopter rides, as well as access to exclusive events like the Oscars and Met Gala. These offerings cater to users looking for a premium banking experience typically reserved for high-net-worth individuals.

The company also plans to introduce Robinhood Cortex, an AI-powered investment tool set to launch later this year. This tool will provide real-time market insights, offering explanations for stock movements and suggesting potential options trades based on individual predictions.

Robinhood’s push into wealth management and private banking services follows the success of its Robinhood Gold subscription, which costs $5 per month and provides additional features like margin investing and larger instant deposits. The company hopes these new services will continue to attract users and encourage them to deepen their engagement with the platform.

Additionally, Robinhood continues to expand its product lineup, having launched a credit card in 2024, which offers 3% cash back on all purchases. Over 100,000 users have adopted the card, and another 3 million people are on a waiting list.

The Verge, Reuters, and the Wall Street Journal contributed to this report.