Robinhood Markets Inc. agreed to buy TradePMR, a custodial and portfolio management platform for registered investment advisors, as the online brokerage seeks to target a wider swath of wealthier investors.
The deal — for about $300 million in cash and stock — is expected to close in the first half of next year, Robinhood said in a statement.
Through the acquisition, TradePMR’s registered investment advisors will be able to access Robinhood’s clients, who will be able to easily connect with RIAs, it said.
Robinhood has expanded its offerings in the highly-competitive retail investment space by boosting its available cryptocurrencies, rolling out a credit card and even offering traders the option of betting on election outcomes.
It’s also targeting clients with more established levels of wealth as it seeks to challenge incumbents such as and Charles Schwab Corp. and Fidelity Investments in the fast-growing wealth management space.
