Robinhood has announced the acquisition of Pluto Capital, an AI-powered investment research firm, to enhance its trading platform with advanced AI tools. This move aims to provide Robinhood users with more informed trading capabilities through personalized investment strategies and real-time insights.
Enhancing Trading with AI
Following the acquisition, Pluto’s AI technology will be integrated into Robinhood’s platform. This integration will offer traders personalized investment strategies, data analytics tools, and real-time insights, enabling them to make informed decisions quickly and confidently. Robinhood highlighted these benefits in its July 1 statement.
Jacob Sansbury, Pluto’s founder and CEO, will join Robinhood to assist with its product roadmap and AI integrations. The AI tools will optimize investors’ portfolios by assessing each user’s risk tolerance, investment objectives, and past trades.
Advanced Insights and Analytics
Pluto’s large language models will provide real-time insights on global financial data, including stock prices, news articles, company financials, and SEC filings. This capability will allow for the quicker identification of trends and opportunities, giving investors a competitive edge.
“This means quicker identification of trends and opportunities, providing investors with a competitive edge,” Robinhood stated.
Also Read: Robinhood’s Crypto Trading Soars 224%
Robinhood’s Strategic Moves
Robinhood has been expanding its offerings and capabilities. Last month, the company acquired cryptocurrency exchange Bitstamp for $200 million, aiming to serve institutional clients in the United States. This acquisition is subject to regulatory approval and is expected to be finalized in the first half of 2025.
Robinhood’s CEO, Vlad Tenev, emphasized the transformative potential of cryptocurrency on the financial system, stating that it will “fundamentally reorganize the financial system.”
Robinhood’s Growth and Market Position
As of now, Robinhood has 23.9 million funded customers, 13.7 million monthly active users, and $130 billion in assets under custody. Robinhood’s stock (HOOD) was trading at $22.97 on June 1, reflecting a 0.35% increase for the day, according to Google Finance.
