Robinhood is without doubt one of the hottest on-line brokerage companies as we speak, particularly amongst youthful traders who actively commerce. Throughout COVID, Robinhood famously restricted buying and selling in 13 shares on January 28, 2021. Consequently, 1000’s of traders have been unable to purchase or promote, and billions of {dollars} in worth swung throughout the freeze.
Robinhood doesn’t cost buying and selling commissions. As an alternative, it sells order circulation to hedge funds and different institutional traders. Its app additionally gamifies investing, which attracts engagement however can encourage extreme buying and selling. Watch out. Traditionally, lively buying and selling has been a dropping technique in comparison with disciplined long run purchase and maintain investing.
No matter you consider Robinhood’s practices, the corporate has created important shareholder worth since its mid 2021 itemizing. The inventory went from $35 to $8 after which to over $70. Credit score to the Robinhood crew for constructing a extremely worthwhile and resilient enterprise.
As traders, nevertheless, we should differentiate between investing in Robinhood the corporate (HOOD) and investing in Robinhood merchandise. That distinction issues when evaluating the itemizing of Robinhood Enterprise Fund I (RVI) and its potential influence on Fundrise’s enterprise capital itemizing (VCX), by which I’m an investor.
Fundrise is a long-time sponsor of Monetary Samurai as our funding philosophies are aligned. All opinions are my very own and this text has not been learn or vetted by Fundrise earlier than publication.
Over the previous few weeks, I’ve spent over 15 hours writing and excited about how I ought to proceed and what may happen after the itemizing. In the case of investing in threat belongings, there are not any ensures. Due to this fact, we should suppose in possibilities and at all times keep humble.
I shall be updating this publish all through the day and coming days. Keep tuned.
The Robinhood Enterprise Fund I Providing
Though Robinhood launched its enterprise fund after Fundrise launched theirs, Robinhood’s bigger buyer base and platform attain are producing extra consideration round its deliberate NYSE itemizing.
That creates an attention-grabbing dynamic. Fundrise traders get to look at how Robinhood Enterprise Fund I trades earlier than Fundrise’s product lists. In poker phrases, Fundrise and its traders have place. We get to see how the market reacts to the same car, however with completely different holdings, earlier than deciding whether or not to purchase or promote.
Shares of RVI shall be provided by way of an IPO course of on Robinhood’s platform, permitting retail traders to request allocations immediately. The anticipated providing value is $25 per share. Like Fundrise’s enterprise product, participation doesn’t require accredited investor standing or massive minimal commitments, making it broadly accessible.
The fund will cost an annual administration payment of roughly 2 %, diminished to 1 % throughout the first six months after launch. There isn’t any efficiency payment. The portfolio will adhere to diversification tips, with particular person holdings capped at 20 % of belongings. As a result of its Databricks place exceeds that threshold, RVI intends to buy further shares of Stripe to rebalance publicity.
Why This Itemizing Issues For Fundrise Enterprise
The central query is straightforward. Will the market assign a premium, par worth, or low cost to a retail accessible closed finish fund that owns excessive demand personal progress firms?
If RVI trades at a premium to NAV, it alerts sturdy retail urge for food for scarce personal belongings wrapped in a public construction. That will materially enhance the likelihood that Fundrise Enterprise trades at par or higher.
If RVI trades flat or at a reduction, then expectations for Fundrise Enterprise ought to be recalibrated.
When it comes to market circumstances, we’re in a tough one proper now with the conflict, excessive rates of interest, and heightened volatility. So the timing for RVI’s launch is not superb, perhaps a 3.5 out of 10, with 1 being the worst and 10 being the very best. So if RVI can handle to commerce up, I believe that may be a giant win.
Robinhood priced the IPO at $25 per share and bought 12.6 million shares, elevating much less than initially focused of as much as 40 million shares. In order that’s a unfavorable signal for preliminary demand. Additionally, I am undecided if $25/share was the true NAV of the fund, or whether or not it was priced at a premium or low cost.
At any price, RVI turns into a reside market take a look at for the way retail traders value illiquid personal publicity as soon as it trades day by day on the NYSE.
Replace: Right here’s is the outcome after the primary day of buying and selling, down 15.8%. It’s a disappointing debut in a really tough market.
Robinhood Enterprise I Holdings (RVI)
RVI’s largest holding is Databricks at about 23 %. Databricks helps firms arrange, clear, retailer, and analyze large quantities of information to allow them to construct AI functions. It’s an infrastructure layer that makes AI attainable for enterprises, which is why it ought to be a core holding for individuals who imagine in AI’s progress.
RVI’s different three main holdings are Revolut at roughly 14 %, Mercor at about 14 %, and Airwallex at 7 %. The mixed whole of those 4 holdings is about 59 %.
RVI is a fintech payments-heavy fund, which I am undecided is essentially the most promising or fascinating combine. For them so as to add one other fintech firm in Stripe would not appear to be good diversification.
Fundrise Enterprise Product (VCX)
Fundrise Enterprise, in contrast, has the 2 dominant AI pillars in its prime 4: Anthropic at 20.7 % and OpenAI at 9.9 %. The Databricks holding of 17.7 % roughly cancels out RVI’s holding of Databricks at 23 %, which goes under 20 % after RVI purchases Stripe, one other funds fintech firm.
Given all the debacle withe Anthropic, OpenAI, and the Division of Battle earlier than launching strikes towards Iran, all the AI LLM area has elevated its profile. Claude by Anthropic turned the #1 downloaded app within the Apple Retailer for over per week from #6. OpenAI swooped in to land a $200 million DoW contract and sure many extra kind the federal government.
General, the AI pie will proceed to develop, which is one motive actual property in cities like San Francisco ought to carry out effectively. Apart from investing in publicly listed funds that personal personal AI progress firms, one of many best methods to revenue from AI’s progress is to purchase actual property in cities the place these firms are primarily based.
Which Would You Quite Personal?
That results in the strategic query.
Which mixture is extra prone to command investor consideration, long run influence, and sustained profitability: Revolut and Mercor, or OpenAI and Anthropic?
From a market psychology standpoint, OpenAI and Anthropic carry way more model recognition and narrative energy. They sit on the heart of the AI transformation. Retail demand typically follows familiarity and perceived dominance. Revolut and Mercor are much less extensively identified amongst United States traders, which can restrict enthusiasm.
Revolut gives on-line multi-currency accounts for particular person and enterprise clients, forex change and cash switch companies, in addition to a variety of instruments to funds, save, and make investments. Additionally it is a London-based fintech firm, which can dampen U.S. investor demand, as we’ve got seen with Pershing Sq. Holdings.
In contrast, Mercor is predicated in San Francisco and connects human experience with AI improvement wants. It pays expert professionals to finish structured duties corresponding to filling out types, writing detailed reviews, or evaluating AI outputs. Mercor acts because the middleman: AI labs and tech firms pay for entry to tailor-made, human-generated knowledge, and Mercor compensates the freelance specialists.
Distinction Market Capitalizations
Revolut (~$75 billion valuation) and Mercor (~$10 billion valuation) are far smaller firms than OpenAI ($740 billion valuation) and Anthropic ($380 billion valuation). Due to this fact, there could possibly be higher proportion upside in Revolut and Mercor.
Nonetheless, I fear that OpenAI and Anthropic may simply disintermediate Mercor’s intermediary enterprise. As for Revolut, I’m undecided why I would like to carry and change 28+ fiat currencies or use a Revolut card to make ATM withdrawals or spend money on shares and crypto, as they market.
Personally, as a fund investor and never an angel investor, I might quite personal the gorillas – OpenAI and Anthropic – than the smaller upstarts which have a higher probability of going out of enterprise. I wish to spend money on lasting long-term traits, and AI is a ten+-year development.
Evaluating The #4 Holding: Airwallex versus Anduril
I used to be already feeling fairly good about proudly owning OpenAI and Anthropic by way of Fundrise after the Division of Battle debacle. Finally, I believe Anthropic will work one thing out with the federal government given the federal government wants Anthropic to win the AI world race. In the meantime, OpenAI goes to proceed successful massive contracts, though it is at the moment going by way of a PR disaster due to its CEO.
Nonetheless, on March 3, 2026, Anduril, Fundrise Enterprise’s 4th largest holding, introduced it had raised $4 billion and a $60 billion valuation. That is double its $30 billion valuation in June 2025. With the Iran conflict breaking out, Anduril’s enterprise of constructing AI-powered autonomous army techniques – issues like drones, surveillance networks, autonomous submarines, and software program that coordinates them – has develop into entrance and heart.
In the meantime, Airwallex is one other monetary know-how firm that helps companies transfer cash internationally, handle a number of currencies, and settle for funds globally. I assume that is good. However RVI already has Revolut and shortly to personal Stripe. Airwallex merely doesn’t have the identical influence of Anduril on this present time.
Due to this fact, if we examine every fund’s #4 holding, I really feel like Fundrise Enterprise simply wins.
How I Invested Pre Itemizing Of Fundrise’s Enterprise Product
After writing my preliminary publish on what Fundrise’s Enterprise product itemizing means for traders, I made a decision to speculate $3,000. 4 days later, I invested one other $2,000 after taking in additional suggestions and considering by way of the state of affairs additional.
After writing one other publish on why Pershing Sq. trades at a reduction to NAV, and one other publish on how numerous fund sorts commerce, I made a decision to speculate one other $2,000. The subsequent morning, I invested one other $5,000, which turned out to be the ultimate time I may make investments as a result of Fundrise closed the flexibility to speculate that night time. All informed, I invested a further $12,000.
Humorous sufficient, an electronic mail was despatched out on March 2, 2026 at 10 a.m. PST saying my window of alternative to speculate as much as one other $10,000 with no lock-up restriction was open , and I missed it. Why? As a result of I used to be enjoyable within the scorching tub and listening to music. After I lastly checked my electronic mail at 11:27 a.m. PST, I noticed a brand new message saying my window had already closed. Ah, this luxurious expense may find yourself costing me or saving me some cash.
If the window to speculate was solely open for about an hour, I’m assuming demand was extraordinarily sturdy. I even inquired with the help to see if they might let me make investments after lacking the window, they usually politely mentioned no. I did not wish to make a stink about it, since I already invested $12,000.
How Fundrise Enterprise Might Commerce Relying On RVI
If RVI trades up and at a premium to NAV (~20% probability), then Fundrise Enterprise will possible commerce at a premium as effectively. I like Fundrise’s holdings much better, however Robinhood is a a lot bigger and extra extensively identified platform. We now know this didn’t occur after the primary day’s buying and selling.
If RVI trades at par or at a reduction of as much as 10% (~50% probability and almost definitely state of affairs), then Fundrise Enterprise should still commerce at a slight premium given its superior holdings.
If RVI trades at a ten%–20% low cost to NAV (~30% probability), then I think Fundrise Enterprise will commerce flat to down 10%. Based mostly on the primary day of buying and selling of RVI, that is at the moment my base case state of affairs. Closed-end funds on common commerce at round a 7% low cost to NAV. Nonetheless, the everyday closed-end listed fund do now having 50% of their portfolio in Anthropic, OpenAI, and Databricks.
Within the state of affairs the place Fundrise Enterprise trades down 10% or extra, I’ll proceed to dollar-cost common with my money circulation, as I did with $2,000 – $5,000 investments when the announcement was first made.
With the ability to purchase Anthropic, OpenAI, Databricks, and Anduril at a reduction when they’re buying and selling at ~40% premium valuations in secondary markets is engaging. I see a possible for institutional traders, retail traders, and even Fundrise to purchase shares of VCX to slender any potential low cost.
Basically, I believe the highest holdings in Fundrise Enterprise will proceed to develop over the subsequent 5-10 years. Consequently, I wish to be a long-term investor in these names because the NAV for Fundrise’s enterprise product continues to develop. My intention has to at all times been to carry for 10+ years, and my objective stays the identical publish itemizing.
Readers, how do you suppose RVI will commerce? And the place do you suppose RVI shall be in per week, a month, and a yr from now? How do you suppose RVI’s efficiency publish itemizing will have an effect on Fundrise’s enterprise product?
Creator and Investor Background
I first began investing in Fundrise’se enterprise product in 2023 and at the moment have over $770,000 invested. Fundrise has been a very long time sponsor of Monetary Samurai as our funding philosophies are aligned.
My goal allocation to options is as much as 20 % of web price. Roughly 80 % of my web price stays in public equities and bodily actual property, if we exclude the worth of Monetary Samurai.
I retired from banking (equities) in 2012 after 13 years. After investing since 1995, I’m centered on preserving and compounding capital, not swinging for residence runs. That’s the reason I favor diversified enterprise funds over concentrated angel bets that principally go to zero.
Given my threat profile, I might quite pursue a fund that might return 25 % with a 25 % drawdown than one that might return 70 % with a 70 % drawdown. The extra capital you accumulate, the extra essential capital preservation turns into. Give my spouse and I haven’t got jobs (FIRE), we extra closely depend on our investments to cowl our residing bills.
I based Monetary Samurai in 2009 and helped kickstart the modern-day FIRE motion. Since then, this website has since been learn by greater than 100 million folks. My mission is that will help you obtain monetary freedom sooner quite than later, primarily based on actual world expertise and disciplined resolution making. Be part of 60,000+ subscribers to my free weekly e-newsletter the place I hold you abreast of a very powerful occasions.
