Has anyone heard about Robinhood? Apparently they charge zero fees for trading stocks. This could be a real industry changer, but I am a little sceptical. Do you have any views or thoughts on it? Robinhood.com
Is it really free? Or do they charge a wider spread? Or make you a market and then make a profit by getting a better price from the exchange?
I have heard of them but seeing as I do a few buys per month and my commission are extremely low already, I haven't really looked deeply into them. The thing is, they have to get money somehow and if it's not by commission then it's by other means.
Thanks for the post! It looks like they plan on making money from margin accounts and premium features in the future. This should be an excellent tool for day trading for trading on small margins as long as the margin rates aren't a lot more. Once you subtract the trade fee, I doubt it could be more expensive!
It looks like a really great tool, hopefully can help beginners like me get into hang of things as far as investing with stocks and such go. Just waiting on their 2015 android release now, hopefully it comes out soon! And I do agree it could be a real game change if it continues to grow, its launch went pretty well from what I could tell, so things seem bright for their future.
It does look quite interesting. I tried to download it today on my old ****** 4 but wasn't able to because I don't have the newest IOS. Off topic, but that is something that really annoys me about these tablets and smart phones, always having to install the newest operating system update. Last time I had to delete everything from my phone because the update was nearly 6 gb... Like others have said, money needs to be made somewhere. I will try to download again once I finally get my phone updated.
If you are doing low value trading, this can be useful, but for most investors, I don´t know that you should trust a business with your money that has an unproven business model. If you are new to investing and want to buy $100 worth of something, this is your opportunity because going with a real broker will take too high of a percentage.
Zero commission? Really? I'm going to look into this to find the small print. It's either an attempt at a quick land grab to get loads of people signed up or they're going to find different ways to get their money, like a wider bid-offer spread. I might dip my toe in simply to see how it works, but I'm a little wary about any early adopters of such an approach.
Sounds a lot like Loyal3, which offers zero trading fees on buy and sell orders, too. I'd consider using the platform, but I haven't heard anything about it up until this point, and I'm perfectly content to use the trading platforms I'm already with right now. If someone tries the service, then be sure to provide an in-depth review because I'd be far more interested after reading a decent review on RobinHood.
I cannot say that sounds legit. Might want to do some research on this company before doing anything. You have to pay to trade so how would they give you something for free.