Retail investors, once an afterthought in financial markets, are now reshaping brokerage operations, pushing for real-time tools and constant market access.
This shift was a central theme at the recent Benzinga Fintech Deal Day & Awards event, where a panel of experts explored the growing demands of Main Street investors and the technology adapting to meet them.
“Retail is now about half of the U.S. equity market volume,” said Brandis DeSimone, moderator and vice president at Nasdaq. She noted that the growth of retail trading has transformed it into a force capable of influencing the markets, a far cry from its marginal role just a decade ago.
Eric Krueger, CEO of GTN Americas, reflected on how this change has made investing accessible to everyone. “When I started, my first trade was $1,000 worth of Microsoft, and I paid $100 in commission,” he said. Today, retail investors can trade seamlessly on mobile apps with zero fees. “The barrier to entry has disappeared.”
Stephen Sikes, COO of Public, highlighted how modern retail investors demand more than accessibility. They want real-time pricing, instant alerts, and meaningful tools,” Sikes said. Driven by the fast-paced digital age, investors have come to expect information at their fingertips.
Beyond tools, Sikes noted the influence of social media on investor behavior.
“They’re not turning to traditional outlets like CNBC. They’re getting their information from influencers and platforms like TikTok,” he explained, emphasizing the need for brokerages to adapt to these new trends.
Daniel Pipitone, CEO of TradeZero, stressed the importance of education in addressing this shift. “We focus on working with trusted educators to provide unbiased content,” he said. “It’s about teaching risk management and smart strategies without giving specific advice.”
See Also: Retail Investors Reshape Financial Markets: How Wall Street Is Catching Up
Krueger discussed how personalized tools are helping investors make smarter decisions. “We’re using data to create personas based on trading habits, watchlists, and activity,” he said. This allows platforms to deliver education and resources tailored to each investor’s needs, reducing common mistakes like failing to use stop losses or overtrading after a loss.
Sikes shared an example of Public’s recent success with its bond account feature. “We had bonds available for eight months, but uptake was minimal,” he said. When the company repackaged bonds into a user-friendly format, trading volumes surged. “It’s about presenting complex products in ways that are easy to understand.”
The panel also explored the global demand for U.S. equities.
“About 90% of trading volume from our international clients goes into the U.S. market,” said Krueger. He attributed this to the strong performance of U.S. companies and the widespread recognition of brands like Tesla and Amazon.
Yoshi Yokokawa, CEO of Alpaca, noted similar trends. “We see a huge appetite for U.S. equities from clients in over 35 countries,” he said, adding that platforms are adapting to serve these markets efficiently while keeping costs low.
As retail investors continue to shape financial markets, brokerages are stepping up to meet their demands. By focusing on personalization, education, and accessibility, the industry is closing the gap between Wall Street and Main Street.
“Retail investors have matured,” Sikes said. “They’re not just chasing trends anymore — they’re looking for tools and strategies that work for them.” With technology evolving rapidly, the retail investing revolution shows no signs of slowing down.
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