Robinhood’s 24-hour trading platform records over $10 billion in overnight trading volume

Online brokerage firm Robinhood launched a 24-hour trading platform known as Robinhood 24 Hour Market last year, in 2023. The idea was to allow traders and investors to trade stocks and ETFs around the clock, and make use of new opportunities at any time of day or night, five days per week.

Now, however, the platform recorded a total overnight trading volume of over $10 billion since the platform’s launch.

Since we launched Robinhood 24 Hour Market last year, we’ve executed $10B in trading volume during overnight hours. On our busiest days, we’ve seen as much as 25% of the total daily trading volume come from outside of regular market hours.

— Vlad Tenev (@vladtenev) March 6, 2024

24-hour trading led to a shift in trading patterns

In its recent report, Robinhood said that its 24-hour platform saw a major shift in trading patterns. Trading activity outside of traditional market hours has seen a notable increase, with as much as 25% of daily trading volume occurring during the overnight session on the busiest of days.

After considering this data, Robinhood concluded that the demand for extended trading hours has started to grow. Initially, its 24-hour trading platform was introduced in May 2023, and at the time, it was only available for US clients.

However, after a trial period was over, Robinhood expanded access to all of its customers, which happened in July 2023. In its official press release, it said: “We believe the future of investing is here, and it’s around the clock. Over the past several weeks and months, we’ve seen a significant shift in 24-hour market trading activity and a notable increase in adoption by Robinhood customers outside of traditional market hours.”

Robinhood has seen a continuous increase in the volume of overnight sessions

Robinhood’s co-founder and acting CEO, Vlad Tenev, stated that more and more of the platform’s customers choose to react to market news regardless of the time of day.

More and more @robinhoodapp customers are reacting to market news regardless of the time of day. Check out the full list of over 900 stocks and ETFs available for overnight trading on Robinhood 24 Hour Market at https://t.co/9HopOjw4hO. Risks and limitations apply. pic.twitter.com/ArhIPKUlYm

— Vlad Tenev (@vladtenev) March 6, 2024

This led to the average daily trading volume for the overnight session growing consistently every month between September 2023 and March 2024. So far, Robinhood reported that February marked the highest average daily trading volume for the overnight session since the platform was created. It was 1.6 times higher than the January figures, and twice as high as December 2023 figures.

The evening of March 3 and early morning of March brought the single biggest trading day in overnight volume to date, suggesting that the platform’s popularity and traders’ interest in overnight trades continue to rise.

Robinhood noticed the growing figures a while ago, and it worked on expanding the number of symbols available for overnight trading in the US. At this point, the number sits at 922, which includes some of the most popular individual stocks and ETFs. The platform believes that 24-hour trading further democratizes the investment landscape, as it allows investors to operate at their own schedules.