How to Buy Robinhood Shares When It Goes Public | Finder NZ

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How to buy Robinhood stock when it goes public

Here's everything we know so far about the Robinhood IPO.

Robinhood logo

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Wednesday, March 23: Robinhood filed a confidential registration statement with the US Securities and Exchange Commission, indicating its plans to go public.

Robinhood is a popular trading app that offers commission-free stocks and ETFs. With its approachable interface and intuitive design, it caters to new investors looking to execute their first trades.

This commission-free trading platform may be planning an IPO as soon as this month. Bloomberg reported March 3 that the online broker is preparing papers ahead of filing for a March IPO. The company reportedly filed a confidential registration statement on March 23.

Some shares might be sold directly to users, the report said.

Here’s what we know and how investors can prepare.

What we know about the Robinhood IPO

The popular trading app has confidentially filed a registration statement with the US Securities and Exchange Commission, reports suggest, solidifying rumours that Robinhood plans to go public. Goldman Sachs will helm the deal and the company could be worth more than US$20 billion, according to Reuters.

In its September 2020 funding round, Robinhood raised US$460 million and was valued at US$11.7 billion. The Bloomberg report suggested the value could go much higher, up to US$30 billion.

We’ll continue to track this story and update this page with information as it becomes available.

How to buy shares in Robinhood when it goes public

Once Robinhood goes public, you’ll need a brokerage account to invest. Consider opening a brokerage account today so you’re ready as soon as the stock hits the market.

  1. Compare share trading platforms. If you’re a beginner, look for a platform with low (or no) commission fees, good reviews and investment tools to track your portfolio. Narrow down top brands with our comparison table.
  2. Open and fund your trading account. Complete an application with your personal and financial details, like your ID (a New Zealand passport worked) and bank information. Fund your account with a bank transfer, credit card or debit card.
  3. Search for Robinhood Find the stock by name or ticker symbol. Research its history to confirm it’s a solid investment against your financial goals.
  4. Purchase now or later. Buy immediately with a market order or use a limit order to delay your purchase until Robinhood reaches your desired price. To spread out your purchase, look into dollar-cost averaging, which smooths out buying at consistent intervals and amounts. Some share offer an auto-invest feature which allows you to do this automatically.
  5. Decide on how many to buy. Weigh your budget against a diversified portfolio that can minimise risk through the market’s ups and downs. You may be able to buy a fractional share of Robinhood, depending on your trading platform.
  6. Check in on your investment. Optimise your portfolio by tracking how your stock — and the business as a whole — performs in the long term. You may be eligible for dividends and shareholder voting rights on directors and management decisions that can affect your stock.

Compare trading platforms that provide access US stocks

To buy shares, you’ll need to open a share trading account. Compare your options using the table below to find the best fit for you.

Data updated regularly
Name Product Available Investment Types Min. Monthly Fee Currency Conversion Fee Available Markets
Hatch
Shares, ETFs
$0
0.5%
NASDAQ, NYSE
Invest in more than 3,900 US companies and exchange-traded funds (ETFs). No minimum investment or monthly fees.
Stake
Shares, ETFs
$0
1% ($2 min)
NASDAQ, NYSE, BATS, Chicago Stock Exchange, and more
Sign up through Finder and use referral code "FINDERNZ" for a free stock. Trade more than 3,800 US-listed stocks and ETFs through Stake with $0 fees on trades.
Sharesies
Shares, ETFs, Managed Funds, Index Funds
$0
0.4%
NASDAQ, NYSE, NZX, CBOE
Trade and invest in more than 3,000 companies, ETFs and managed funds across New Zealand and the US.
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Compare up to 4 providers

Disclaimer: This information should not be interpreted as an endorsement of futures, stocks, ETFs, CFDs, options or any specific provider, service or offering. It should not be relied upon as investment advice or construed as providing recommendations of any kind. Futures, stocks, ETFs and options trading involves substantial risk of loss and therefore are not appropriate for all investors. Trading CFDs and forex on leverage comes with a higher risk of losing money rapidly. Past performance is not an indication of future results. Consider your own circumstances, and obtain your own advice, before making any trades.

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