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Robinhood's venture fund, which gives investors access to private companies, tanks 11% on first day

CNBC
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Robinhood’s Venture Fund I (RVI) dropped 11% in its NYSE debut on Friday, closing near $22.17 after pricing its IPO at $25, signaling weak demand for high-risk private-market exposure. The fund, trading under ticker RVI, offers retail investors access to private giants like Revolut and Databricks, aiming to "blow open" traditionally closed private markets, per CEO Vlad Tenev. Geopolitical tensions, including escalating U.S.-Iran conflicts, drove broader market declines, pressuring RVI’s launch as investors fled riskier assets amid uncertainty. Structured as a closed-end fund, RVI lets retail traders buy shares like a stock, but its poor debut reflects skepticism about private-market valuations amid volatile public equities. The fund’s struggle highlights challenges in democratizing private investments, as retail appetite wanes despite Robinhood’s push to expand access beyond institutional players.
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In this articleRobinhood's Venture Fund I plunged 11% in its public market debut on the New York Stock Exchange on Friday, casting doubt on investors' appetite for riskier investment amid swirling geopolitical tensions. The fund, which is trades under the ticker RVI, offers exposure to notable private companies such as financial services firm Revolut and software company Databricks. It aims to democratize access to an area of capital markets that has often been off limits to retail investors, Robinhood CEO Vlad Tenev told CNBC's "Squawk on the Street" on Friday. "You have companies that are out there at valuations in the hundreds of billions, even getting into the trillions in private markets before retail investors get a chance to come in at all and this is happening more and more," Tenev said. "We're trying to solve this by not just opening the door to private markets but completely blowing them off the hinges so that they can never be closed."Retail investors can buy and sell shares of the closed-end fund, which is structured like an investment firm, much like they would shares of a traditional company. However, the launch comes during a tough time for public markets. The major U.S. stock averages are on pace for weekly declines as traders sell equities on fears the U.S.-Iran conflict could continue longer than anticipated.

Robinhood Ventures Fund priced its initial public offering at $25 per share. It opened at $22 and hit a low of $21 before trading around back around $22.12.RVI were last trading at $22.17 per share. Got a confidential news tip? We want to hear from you.Sign up for free newsletters and get more CNBC delivered to your inboxGet this delivered to your inbox, and more info about our products and services.© 2026 Versant Media, LLC.

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