Robinhood Markets, Inc. has disclosed chosen month-to-month working knowledge for Might 2023, which depicts a posh portrait of development and decline in person engagement and buying and selling actions.
Robinhood reported a rise in internet cumulative funded accounts (NCFA) to 23.1 million on the finish of Might, up roughly 20,000 from the earlier month.
Notably, nevertheless, the buying and selling platform skilled a lower in month-to-month lively customers (MAU), which fell to 10.6 million in Might, representing a drop of roughly 900,000 from April 2023.
The corporate’s property below custody (AUC) exhibited constructive development, amounting to $81.8 billion on the finish of Might, a 6% enhance from the earlier month.
Correspondingly, internet deposits have been reported to be $1.6 billion in Might, reflecting a 25% annualized development fee relative to April 2023 AUC. During the last twelve months, Web deposits have been $16.5 billion, translating to an annual development fee of twenty-two% relative to Might 2022 AUC.
Buying and selling volumes in Might noticed an increase for equities and choices however a decline for cryptocurrencies. Fairness notional buying and selling volumes have been $49.4 billion, marking an upswing of 27%.
Choices contracts traded got here in at 97.5 million, up 29% from April. In distinction, crypto notional buying and selling volumes noticed a big drop to $2.1 billion, a lower of 43% from the earlier month.
Margin balances remained constant at $3.1 billion, mirroring the April 2023 figures. In the meantime, money sweep balances noticed a considerable hike, ending at $11.2 billion on the shut of Might, a 16% enhance from the top of April 2023.
Whereas Robinhood’s newest metrics point out a blended efficiency, the distinction between rising whole property and declining lively customers factors to a difficult dynamic for the platform.
The uptick in funded accounts and property below custody, coupled with falling person engagement, recommend Robinhood might want to proceed to innovate to keep up and develop its person base to remain a worthwhile enterprise.
This month-to-month knowledge, as reported by Robinhood, is unaudited and preliminary, based mostly on the corporate’s estimates, and topic to the completion of monetary closing procedures.
Ultimate outcomes for the newest fiscal quarter may differ from the data on this launch, as reported in Robinhood’s quarterly and annual filings with the U.S. SEC.