{"id":133840,"date":"2021-07-29T21:00:02","date_gmt":"2021-07-29T21:00:02","guid":{"rendered":"https:\/\/precoinnews.com\/?p=133840"},"modified":"2021-07-29T21:00:02","modified_gmt":"2021-07-29T21:00:02","slug":"interactive-brokers-ceo-welcomes-robinhood-to-big-leagues","status":"publish","type":"post","link":"https:\/\/precoinnews.com\/markets\/interactive-brokers-ceo-welcomes-robinhood-to-big-leagues\/","title":{"rendered":"Interactive Brokers CEO welcomes Robinhood to big leagues"},"content":{"rendered":"
Draper Associates founding partner and early Robinhood trader Tim Draper discusses the trading app’s IPO and bitcoin, arguing the cryptocurrency represents ‘freedom and trust.’<\/p>\n
Interactive Brokers CEO Thomas Peterffy started his firm in 1977 and while he is happy to see more competition in the marketplace, he’s not worried about Robinhood as a direct rival. <\/p>\n
"The Interactive Brokers customer tends to be a do-it-yourself, sophisticated person with a financial background and the average Robinhood customer is a young person," he explained to FOX Business. <\/p>\n
The average age of an IB customer is around 42 years old, compared to 31 for Robinhood. And with age and experience comes a bigger account balance that averages over $257,000 at IB, compared to $4,500-plus at Robinhood. <\/p>\n
AFTER IPO, ROBINHOOD MAY PLAN TWIST TO BUSINESS<\/strong><\/p>\n Even so, Interactive Brokers, among the leading online brokers as measured by daily average revenue trades, is ramping up their offerings for customers, with plans to roll out a cryptocurrency option very soon.<\/p>\n "You will be able to trade digital coins at Interactive Brokers before the summer is over," he revealed. It is unclear when the rollout date will be. <\/p>\n The offering comes as demand for cryptocurrencies explodes. Bitcoin’s market cap has soared to $746 billion as the largest crypto asset to date. Robinhood has been cashing in on crypto trading already, noting that it had "over 9.5 million customers trade approximately $88 billion of cryptocurrencies" in the first quarter of 2021, as listed in its IPO SEC filing. <\/p>\n CLICK HERE TO READ MORE ON FOX BUSINESS<\/u><\/strong><\/p>\n Robinhood’s initial public offering made its debut on Thursday, falling below its $38 per share offering price after the company raised over $2 billion in its offering. The broker is valued at around $32 billion. <\/p>\n ROBINHOOD IPO DETAILS<\/strong><\/p>\n It joins IB, Charles Schwab, and its Ameritrade arm, as well as Morgan Stanley’s E*Trade in the publically traded brokerage space, all potentially competing for institutional shareholder dollars. <\/p>\n Still, Peterffy credits the young firm with enticing a new crop of investors which, in his view, benefits the entire industry.<\/p>\n GET FOX BUSINESS ON THE GO BY CLICKING HERE<\/u><\/strong><\/p>\n "I have to give credit to Robinhood for including over 22.5 million young people into this business, it’s a fantastic achievement," he noted. <\/p>\n\n\n
\n \nTicker<\/th>\n Security<\/th>\n Last<\/th>\n Change<\/th>\n Change %<\/th>\n<\/tr>\n<\/thead>\n \n IBKR<\/td>\n INTERACTIVE BROKERS GROUP, INC.<\/td>\n 62.31<\/td>\n +0.66<\/td>\n +1.07%<\/td>\n<\/tr>\n \n <\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n \n\n
\n \nTicker<\/th>\n Security<\/th>\n Last<\/th>\n Change<\/th>\n Change %<\/th>\n<\/tr>\n<\/thead>\n \n HOOD<\/td>\n ROBINHOOD MARKETS, INC.<\/td>\n 34.82<\/td>\n -3.18<\/td>\n -8.37%<\/td>\n<\/tr>\n \n <\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n \n\n
\n \nTicker<\/th>\n Security<\/th>\n Last<\/th>\n Change<\/th>\n Change %<\/th>\n<\/tr>\n<\/thead>\n \n SCHW<\/td>\n THE CHARLES SCHWAB CORP.<\/td>\n 68.57<\/td>\n +0.72<\/td>\n +1.06%<\/td>\n<\/tr>\n \n MS<\/td>\n MORGAN STANLEY<\/td>\n 96.28<\/td>\n +0.91<\/td>\n +0.95%<\/td>\n<\/tr>\n \n <\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n