The paper involves an in-depth analysis of the business case “Robinhood and the DEI Movement in Fintech” (posted in iCollege). You willwork on the case and do these things 1) Review the fintech industry and Robinhood’s competitive positionwithin the industry. 2) Answer the two assignment questions below.3) Draft a 5 page report making recommendations for the finance group atRobinhood.
Resources:
https://investors.robinhood.com/static-files/575bee57-0ea3-47ec-bc02-4bfc215a8d43
https://investors.robinhood.com/static-files/cb8dfd1b-57cc-4aab-b2bb-8038464bc984
https://investors.robinhood.com/static-files/b5c62a30-623d-4beb-9b6e-7affc1b3de15
Questions that need to be answered:
1.Review Robinhood’s 2022 2nd quarter earnings announcement, the earnings press release with detailed financial statements, and the earnings call with the CEO, CFO, and VP of Investor Relations (See links below). What numbers in the GAAP financial statements reflect the firm’s financial challenges and what valuable information is missing?
2.In an article published in 2025 in the Journal of Applied Corporate Finance, Bartley Madden and Douglas Stevens extend Madden’s Pragmatic Theory of the Firm by incorporating shared values and social norms. How does their theory address the inherent weaknesses of both the traditional theory of the firm and the DEI movement in fintech?