Robinhood Debuts “Investor Index” with App’s Most-Owned Stocks

Since the brokerage app Robinhood launched in 2015, its seen more than its fair share of media attention. In addition to high-profile coverage of the company’s own missteps, there’s also been plenty of focus on what types of investments the app’s users are pouring their money into. Now, Robinhood has announced the launch of its Investor Index that will provide a bit more insight on that topic.

The new Investor Index tracks (in aggregate) the performance of the top 100 most-owned stocks on Robinhood. However, instead of being weighted by dollars, these investments are weighted in the index by “customer’s conviction,” which is the percentage of each investment in an account holder’s portfolio. According to Robinhood, the Investor Index will be updated once a month.

Accompanying the launch of the Index, Robinhood also released some initial observations. Among them, they noted that companies, such as Microsoft, Apple, and Amazon, have consistently been among the top holdings on the app. Also interesting is that, in addition to Tesla being a top pick, investors on Robinhood have supported other electric vehicle manufacturers, with Ford and NIO rising in the rankings. Overall, the Investor Index currently contains 75% large cap stocks, 16% mid cap, and 9% small cap companies. 

Get a Free Share of Stock

Not a Robinhood user? If you haven’t signed up yet just click the button to create an account and get a free share of stock just for opening an account with this Dyer News link.

Free Stock

In a blog post about the new feature, Robinhood wrote, “Over the last several years, we’ve seen our customers—and millions more like them—play an increasingly important role in the market. With the launch of the Robinhood Investor Index, we’re giving customers, and the world, a look at everyday investor positioning and performance on Robinhood.” Elsewhere in the post, the company also noted, “Contrary to what might have been heard in the news, our customers are similar to the OGs of investing. That is, they invest in what they know, understand and believe in for the long-term.”

Previously, third-party observers have kept track of Robinhood investor activity. In turn, headlines were often written about popular stocks among the Robinhood community. However, the company has hindered such efforts by shutting down an API that had provided most of the data to sites like Robintrack.

Although the new Robinhood Investor Index is sure to offer some interesting insights going forward, it seems unlikely that the platform will reach the levels of data previously offered by third parties. Additionally, while some customers may look to the Index for a bit of inspiration, it’s hard to imagine it being a game-changer for many. Nevertheless, it is notable to see Robinhood attempting to share their investor data considering how much a spotlight — and an often negative one — has been placed on such figures before.

Author

Jonathan Dyer

I'm a small town guy living in Los Angeles looking to make solid financial decisions. I write for a number of finance websites, including HuffingtonPost and Business2Community. I founded DyerNews.com in 2015 to focus on personal finance and the emerging FinTech markets.

Other Articles by Jonathan Dyer

X1 Opens Waitlist for New X1+ Credit Card

A neo-credit card issuer is looking to build upon its early success and expand its line-up. This week, X1 announced the upcoming X1+ card while opening a waitlist for the product. With the X1 being billed as "the world’s smartest credit card," this latest offering is being hailed as the only credit card for smart travel. The X1+ is expected to launch this spring and will carry an annual fee...

Bilt and Point.Me Partner for Award Flight Search Integration

With several credit cards, customers can earn points that can then be transferred to various travel programs and redeemed for flights or hotel bookings. Unfortunately, finding and booking the best award travel deals isn't always as straightforward as one might assume. To assist with that, Bilt has unveiled a new integration with Point.Me that will help its rewards members search for award flights on airlines that participate in Bilt's transfer...

Zurp Raises $5 Million for Creator Experience Rewards Credit Card

A FinTech looking to marry credit card rewards with the creator economy has just closed a fresh round of funding. This week, Zurp announced that it had raised $5 million to create a "credit card for experiences." New Form, MAGIC Fund, Launchpad VC, OVO Fund, Darling Ventures, and Animal Capital all participated in the pre-seed fund along with a number of strategic investors. Zurp is a startup looking to create...