Kenneth Worthington's questions to Robinhood Markets Inc (HOOD) leadership • Q1 2025
Question
Kenneth Worthington of JPMorgan asked for better insights into the prediction market business, including the customer profile, expected penetration, and trading velocity compared to other products.
Answer
CEO Vladimir Tenev explained that the appeal of prediction markets is broad, with different customer groups engaging with different types of contracts (e.g., economic vs. sports). He noted that unlike options traders who might focus on one product, these customers engage across a wide spectrum of assets on the platform, with varied trading activity. This wide dispersion is a key characteristic of the user base.