Robinhood investment app adds more AI features for investors with this one acquisition of artificial intelligence research platform Pluto Capital, Inc., was announced on Monday. The company says Pluto will allow Robinhood to add tools to more quickly identify trends and investment opportunities, help users guide their investment strategies and offer real-time portfolio optimization.
Founder of Pluto Jacob Sansbury will join Robinhood when the deal closes, but terms were not disclosed.
At Robinhood, Sansbury will be tasked with accelerating the adoption of AI technologies by the trading application. This will involve using Pluto’s data analytics capabilities to process and interpret market data using LLMs (large language models) that have real-time access to global financial and personal user data. Robinhood believes this will help its investors capitalize on new opportunities more quickly.
Additionally, Pluto will help Robinhood tailor its investment strategies to the individual user by analyzing things like risk tolerance, investment goals and historical behavior for more personalized recommendations.
Investors will also get real-time updates and insights thanks to Pluto’s integrations, helping them make informed decisions faster and optimize their portfolios for better results, Robinhood claims.
Founded in 2021, Pluto has raised $4 million in multiple funding rounds, valuing the company at $12 million (pre-funding), according to Pitchbook. The startup was backed by investors including at.inc/Switch Ventures, Caffeinated Capital and Maxime Seguineau.
“We are thrilled to welcome Pluto and Jacob Sansbury to Robinhood,” said Mayank Agarwal, VP of Engineering, in a statement shared by Robinhood. “They have built an impressive platform that is highly respected in the financial services industry. Importantly, their expertise in artificial intelligence combined with a passion for democratizing finance will complement our team’s drive to bring AI-powered tools to our clients,” he added.
“Robinhood is the ideal destination for building products that democratize access to financial services like wealth management and financial planning through the latest AI technology,” said Sansbury. “I look forward to innovating at the company that has inspired me and so many others,” he said.
