How to Invest in Figure AI Pre-IPO

Is Figure AI publicly traded?

As of April 2024, Figure was not a publicly traded company, so people interested in investing in it must look for other options. Although Figure stock is unavailable to most investors, several recognizable companies have picked up equity stakes.

In February 2024, Figure announced it had raised $675 million during a Series B funding round, valuing the company at $2.6 billion and earning it unicorn status. Microsoft (MSFT +0.17%), OpenAI, Nvidia (NVDA -0.71%), Jeff Bezos, and ARK Invest, among others, participated in the funding round.

When will Figure AI IPO?

Having completed its Series B funding round, Figure had not disclosed any plans for a public offering as of April 2024. While investors may be disappointed that Figure isn't on the 2024 IPO calendar, a variety of other companies plan IPOs in 2024, leaving investors with plenty of other options to buy IPO stocks.

Who can invest in Figure AI stock?

Figure AI is unavailable to most investors. However, people who qualify as accredited investors may be able to gain exposure to Figure before its IPO through a platform like Forge Global (FRGE -1.36%).

Those who aren't accredited investors but whose interests are piqued at the prospect of buying Figure stock may be disheartened to learn that the investment option is unavailable. Still, there are other opportunities they may find appealing. Here are a few alternatives to consider.

Investing in Figure AI alternatives

Here's how you would go about investing in those other options:

1. Open your brokerage app: Log in to your brokerage account where you handle your investments.
2. Search for the stock: Enter the ticker or company name into the search bar to bring up the stock's trading page.
3. Decide how many shares to buy: Consider your investment goals and how much of your portfolio you want to allocate to this stock.
4. Select the order type: Choose between a market order to buy at the current price or a limit order to specify the maximum price you're willing to pay.
5. Submit your order: Confirm the details and submit your buy order.
6. Review your purchase: Check your portfolio to ensure your order was filled as expected and adjust your investment strategy accordingly.

Is Figure AI profitable?

Because Figure isn't held to the same standards as publicly traded companies, investors don't have a true sense of the company's financial situation based on regulatory filings. In January 2025, however, Brett Adcock provided a peek into the company's financial status in a LinkedIn posting, revealing that the company had begun generating sales.

Should I invest in Figure AI?

Without holding an IPO, Figure is not an investment option for retail investors. If the company takes steps toward an IPO, it will be required to submit regulatory filings that will provide investors with a better sense of its financial situation, enabling them to make informed decisions about whether the stock is right for them.

Accredited investors, though, may be able to gain exposure to Figure now. But since the company isn't generating revenue and its financial situation isn't well known, an investment in Figure should only appeal to people comfortable with substantial risk.

ETFs with exposure to Figure AI

Since Figure isn't a publicly traded company, no exchange-traded funds (ETFs) provide exposure to the stock. But investors aren't completely out of luck. Some AI ETFs provide investment opportunities that will grab investors' attention.

1. First Trust Nasdaq Artificial Intelligence and Robotics ETF (ROBT +0.01%): With 101 holdings, the First Trust Nasdaq Artificial Intelligence and Robotics ETF is a great choice for investors interested in gaining broad exposure to companies paving the way forward in AI and robotics. The fund has a 0.65% expense ratio and contains many semiconductor stocks that assist with AI leanings found in robotics.

Palantir (PLTR -0.04%), an AI stock, and Valeo (OTC:VLEEY), a designer and manufacturer of automotive parts and systems, represent the largest and second-largest holdings, respectively. True to the ETF's name, there are also robotics-focused stocks, like Intuitive Surgical and Cognex (CGNX +2.03%), a leading developer of machine-vision systems.

2. Global X Robotics & Artificial Intelligence ETF (NASDAQ:BOTZ): People wanting more concentrated exposure to industry leaders Nvidia and Intuitive Surgical may find the Global X Robotics & Artificial Intelligence ETF appealing. Nvidia is the largest position in the ETF, accounting for 12.5% of its assets, while Intuitive Surgical represents 11.2%. The ETF has a 0.68% expense ratio and makes semiannual distributions.

3. ARK Autonomous Technology & Robotics ETF (ARKQ -0.30%): If you're interested in a more aggressive selection of holdings in your robotics ETF, this one is the answer. Cathie Wood's ETF includes industry stalwarts like Tesla (TSLA -1.08%), its largest holding, and AI-focused semiconductor manufacturers like Nvidia, Taiwan Semiconductor (TSM -1.07%), and Advanced Micro Devices (AMD -1.06%).

But the ETF also holds a number of smaller growth companies, such as launch services specialist Rocket Lab (RKLB -2.90%), drone manufacturer AeroVironment (AVAV +3.61%), and air mobility specialist Archer Aviation. The ETF has a 0.75% expense ratio.

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