Robinhood Confirms Investment of About $100 Million in Trump Accounts in 2026

Key Facts

Robinhood expects to invest about $100 million in Trump accounts during 2026, an estimate Chief Financial Officer Shiv Verma said remains within the same range for the full year. During the third-quarter earnings call, Verma said the company expects to continue investing in the program. He said stakeholders "are asking us to do more," prompting the company to keep spending. Robinhood also expects additional expenses related to the accounts in the fourth quarter. Verma did not provide an estimate of the program's cost in 2027, saying the company would complete its annual planning before sharing its full plan for the following year in January and February.

The investment estimate came as Robinhood's operating expenses rose 16% year over year to $739 million in the third quarter. The company attributed the increase to higher credit-loss provisions as its credit-card loan portfolio grew, expenses for Trump accounts and Rothera, and marketing and growth investments. It thus identified Trump accounts as one of several factors that lifted quarterly expenses, without attributing the entire increase to them. Verma said the expansion of the credit-card business would be another source of expenses in the fourth quarter, alongside spending on the accounts. Meanwhile, Robinhood lowered the high end of its 2026 outlook for adjusted operating expenses and stock-based compensation by $25 million. The range is now $2.675 billion to $2.75 billion, and the company said the reduction reflects ongoing efficiency gains across its business.

Robinhood does not provide a 2026 outlook for total operating expenses; its adjusted outlook excludes items such as credit-loss provisions and potentially significant regulatory expenses. The investment estimate for Trump accounts therefore remains separate from the adjusted expense range whose high end the company lowered. The company reported record third-quarter revenue of $1.42 billion, up 12% year over year, while net income fell 14% to $476 million. On other revenue, Robinhood said it rose 61% year over year to $142 million, driven mainly by revenue from Trump account services and an increase in Robinhood Gold subscriptions. Second-quarter results show that account-related services revenue had also contributed to growth in other revenue, which rose 54% to $143 million at the time.

The program's reach has expanded since its official launch on 4 July. Robinhood said when it reported second-quarter results that the program had surpassed 7 million sign-ups, with deposits of nearly $1.5 billion as of 29 July. The Treasury Department announced on 1 October that automatic enrollment for eligible children had been completed, while a parent or guardian still needed to claim the account to manage it. Robinhood said on 27 October that automatic enrollment had created accounts for about 70 million children nationwide. It added that 25 million children had $250 invested, thanks to Michael and Susan Dell's $6.25 billion commitment. Under the program's rules, eligible citizen children born between 1 January 2025 and 31 December 2028 may qualify for a one-time federal contribution of $1,000, if they meet the program requirements.

Robinhood is developing and operating the accounts' technology infrastructure in partnership with BNY, while Robinhood Securities serves as custodian and lead broker for the accounts; the Treasury Department selected BNY as financial agent. The company classifies Trump accounts as traditional individual retirement accounts subject to special rules under Section 530A of the Internal Revenue Code. In a separate update on flows, the CFO said net deposits in October exceeded $13 billion as of 27 October, including $6 billion from the Dell family's contribution to Trump accounts. EL7 data showed HOOD shares closed at $94.56 on 27 October, compared with a close of $92.84 in the previous session. In premarket trading on 28 October, the stock fell 8% after third-quarter earnings came in below Wall Street expectations, with cryptocurrency revenue down 55% to $120 million. Diluted earnings per share were 51 cents, down 16% year over year and below analysts' estimate of 55 cents, according to LSEG data cited by Reuters.