Robinhood broker shares slide 12% as frenzy fades among US small traders

Investor frenzy vastly boosted the stock market value of tiny companies such as retailer Gamestop.         

Shares of Robinhood Markets fell 12% as the US fee-free broker's warning about a slowdown in trading raised concerns about its reliance on a pack of small-time investors to sustain a frenzy in stocks, options and cryptocurrencies. That frenzy vastly boosted the stock market value of tiny companies such as retailer Gamestop.             

In its first results as a public company, Robinhood said the crypto trading mania this year helped double its second-quarter revenue, but also warned it expected retail investors who trade on its popular app to take a breather in the third quarter.