Let's talk about the retail investor. Investing activity has been growing exponentially with retail investing flows rising by about 50% from 2023 to early 2025. That's according to new research from JP Morgan.From meme stock frenzies to the expanding influence of social trading platforms. Retail investors are no longer on the sidelines. They've become a powerful and disruptive catalyst.Joining me now with more on how retail investors are redefining market power. We've got Dan Ies back with us. Wedbush Secur ...

This was largely driven by profit-taking in Palantir, which saw shares fall on valuation concerns, despite a dominant quarter. Even the Alex Karp-led retail favorite couldn't escape.On Tuesday, with the tech-heavy Nasdaq down more than 2%, retail investors turned into net sellers of single stocks and dialed back ETF purchasesMeta specifically saw record buy-the-dip inflows after tanking on earnings last week. (Worth noting this didn't pay off: the stock fell 6% from last Friday through this Wednesday.)The M ...

Core Insights - TB Alternative Assets Ltd. disclosed a new position in Robinhood, acquiring 241,680 shares valued at approximately $34.6 million based on the stock's average price for Q3 2025 [1][3][10] - This new stake represents 5.2% of TB Alternative Assets' reportable U.S. equity holdings, bringing the fund's total reportable 13F assets to $668.39 million across 48 positions as of September 30, 2025 [3][4] - As of October 16, 2025, Robinhood shares were priced at $131.44, reflecting a remarkable 381.68% increase over the past year, significantly outperforming the S&P 500 by 374.73 percentage points [4][5] Company Overview - Robinhood operates a digital-first platform in the U.S. financial services sector, providing a commission-free trading environment for stocks, ETFs, options, gold, and cryptocurrencies [6][7] - The company reported a revenue of $3.57 billion and a net income of $1.79 billion for the trailing twelve months [5] - Robinhood's second quarter sales reached $989 million, marking a 45% year-over-year growth, with net income rising 105% to $386 million [10] Customer Engagement - The Robinhood Gold subscription service saw a significant increase, adding 1.5 million subscribers in Q2, a 76% year-over-year increase, bringing the total to 3.5 million [11] - The company's ability to attract customers through its low-cost investment opportunities is a key factor in its growth [7][11] Valuation and Market Position - Robinhood's stock has a high price-to-earnings (P/E) ratio exceeding 65, contrasting sharply with competitor Morgan Stanley's P/E multiple of 16, indicating a potentially high valuation [11][12] - Despite the high valuation, the diversification of revenue streams, including subscription fees, may have influenced TB Alternative Assets' investment decision [12]

Core Insights - Charles Schwab Corp. reported third-quarter earnings that exceeded estimates, driven by a surge in retail investing activity [1][3] Financial Performance - The firm reported $134.4 billion in total net new assets, a 48% increase from a year earlier, surpassing analysts' forecast of $130.2 billion [2] - Daily average trades grew 30% to 7.42 million, exceeding the expected 7.25 million [2] Growth Drivers - CEO Rick Wurster highlighted strengthening organic growth trends, increasing adoption of wealth solutions, and favorable macroeconomic conditions as key factors for record revenue and earnings per share [3] - Schwab has seen consistent interest from retail customers, with over 1 million new brokerage accounts opened for the fourth consecutive quarter [4] Market Positioning - The firm is focusing on attracting younger clients, with one-third of new retail households being Gen Z customers under 28 years old [5] - Schwab plans to introduce spot cryptocurrency trading in the first half of 2026, indicating a strategy to appeal to younger investors [5] Expansion Strategy - The company is investing in physical locations, planning to add 16 new branches and expand or relocate 25 existing locations [6] Industry Context - Schwab's earnings follow strong results from major Wall Street banks, which also benefited from heightened client interest in the stock market [7] - Schwab shares rose 0.5% following the earnings report, and the company repurchased 28.9 million shares for $2.7 billion during the third quarter as part of a $20 billion stock-buyback program [8]

Core Insights - SoFi Technologies has evolved into a comprehensive financial platform with 11.7 million members utilizing its services for borrowing, saving, spending, investing, and protecting their finances [1] Product Offerings - The company is introducing no-fee options products aimed at retail investors, particularly those new to the market, by eliminating fees associated with options exercise and assignment [2] - Eligible SoFi Invest members will soon have access to Level 1 trading with covered calls and cash-secured puts, while Level 2 strategies will also be available [3] - SoFi has expanded its offerings by adding alternative funds from ARK, KKR, The Carlyle Group, and Franklin Resources, covering private credit, real estate, and pre-IPO firms [4] - The company has relaunched its robo-advisor in partnership with BlackRock, incorporating portfolios that include alternative assets [4] Company Overview - SoFi Technologies began as a student loan refinancing company and has transformed into a digital financial powerhouse, operating across three segments: Lending, Technology Platform, and Financial Services [6] - With a market capitalization of $34 billion, SoFi provides a wide array of financial services, including loans, banking, investing, insurance, financial management, employee benefits, and marketplace solutions, supported by platforms like Galileo and Technisys [7] Stock Performance - Over the past 52 weeks, SOFI shares have increased by 212%, with a 156% rise in the last six months; however, the stock experienced a decline of over 4% on September 30 due to concerns about a potential U.S. government shutdown [8]

Core Insights - The story of Armando Vidal illustrates how unexpected wins can occur in both lottery and stock market investments [2][3] - Retail investing has surged, with nearly 40% of 25-year-olds now holding investment accounts, a significant increase from 6% in 2015 [4] - Many retail investors fail to recognize the full potential of their investments, often selling too early and missing larger gains [5][6] Group 1 - Armando Vidal, who had been homeless since 2008, purchased a $5 scratch-off ticket and unexpectedly won $1 million, which he plans to use for housing and investments [1][3] - The increase in retail investing participation indicates a shift in the demographic of investors, with more young individuals engaging in the market [4] - Retail investors often realize only a fraction of potential gains due to premature selling, similar to Vidal's initial misunderstanding of his lottery win [5][6] Group 2 - The phenomenon of "post-earnings drift" highlights how stocks with positive earnings surprises can continue to rise, yet many retail investors miss out by entering late or exiting early [6] - The Nasdaq's recent climb has seen many small investors capturing only a small portion of the gains due to their timing [6]

Core Viewpoint - The resurgence of meme stocks is driven by retail traders, reminiscent of the 2021 craze, with potential for even larger rallies as they mobilize online and disregard Wall Street skepticism [1][6]. Group 1: Retailer Performance - Retailers such as Kohl's, GoPro, Wendy's, and Krispy Kreme experienced significant stock rallies, with Kohl's up 32%, GoPro up 66%, and Krispy Kreme up 41% over the week [6]. - American Eagle Outfitters saw a 10% increase in shares after actress Sydney Sweeney was announced as the face of its marketing campaign [3]. Group 2: Market Dynamics - The current market environment, characterized by high trading volumes and speculative behavior, is conducive to meme stock rallies, similar to the conditions during the Covid era [6][10]. - The meme-stock phenomenon is often detached from traditional economic fundamentals, with investors supporting brands for emotional or ideological reasons rather than financial metrics [7][10]. Group 3: Community Influence - The wallstreetbets forum empowers retail traders to share research and ideas, leading to a decentralization of financial analysis and investment power [5]. - The community's influence is evident as retail traders push stock prices significantly, demonstrating the power of collective action [5]. Group 4: Cultural Impact - The meme culture surrounding stocks, such as Wendy's, illustrates how humor and social media can drive investment decisions, often independent of market fundamentals [8][10]. - The evolving landscape of finance, including the rise of blockchain and AI trading, reflects a shift in how retail traders engage with the market [4].