The Entrepreneur Forum | Startups | Entrepreneurship | Starting a Business | Motivation | Success

Anyone here use Robinhood?

  • Thread starter
  • Admin
  • #1

MJ DeMarco

Administrator
Staff member
EPIC CONTRIBUTOR
FASTLANE INSIDER
Read Millionaire Fastlane
I've Read UNSCRIPTED
Summit Attendee
Speedway Pass
Jul 23, 2007
29,508
102,870
3,751
Fountain Hills, AZ
Kinda hard to beat ZERO cost trades in either options or stocks.

Robinhood

I made a small deposit there but haven't traded anything because the interface isn't really that great. But then again, maybe a wonky interface is better than spending a fortune on commissions, which I'm doing at a variety of other places.

With this platform, there is really no excuse to start building your passive income money system.

upload_2018-9-30_18-54-5.png
 

Don't like ads? Remove them while supporting the forum. Subscribe.

Solais

Bronze Contributor
Read Millionaire Fastlane
I've Read UNSCRIPTED
Speedway Pass
Sep 14, 2018
100
182
153
Kinda hard to beat ZERO cost trades in either options or stocks.

Robinhood

I made a small deposit there but haven't traded anything because the interface isn't really that great. But then again, maybe a wonky interface is better than spending a fortune on commissions, which I'm doing at a variety of other places.

With this platform, there is really no excuse to start building your passive income money system.

View attachment 21950
Been using it since 2016. Not good for day traders IIRC but useful if you're "trade once every month" type
 
G

Guest3722A

Guest
There's a Facebook group called "Robinhood Stock Traders 2018". You'd need to filter through the stock picks and things like that to get to the various pros and cons of the service. From a quick glance just now it appears they're not offering buy orders on certain stocks like Aurora. I've also heard horror stories in the past of replies taking days with their email based customer service. This concerns me because if say a sharp correction occurs and if for some reason the system goes down, I get the feeling that alot of people would take unnecessary losses. I think they also have an upgrade service for a fee, but I don't know anything with that. On the positive side, they seem to have many satisfied customers. I haven't funded my account there yet, but if you use them, I'd be interested in hearing your experience with them. Have you looked into Tastyworks? Very low commissions and fees and the platform is designed by the same guy who did ToS and is specifically developed for options trading. They offer stocks, futures and options on both. From my personal experience, I like them alot. My communications with them has also been email based, but they're on it like blue bonnet.

Options Commissions | Check Out tastyworks' Commission Structure


Tastyworks.platform.png Tastyworks.platform.2.png
 

lludwig

Silver Contributor
FASTLANE INSIDER
Read Millionaire Fastlane
I've Read UNSCRIPTED
Speedway Pass
Aug 18, 2018
291
897
309
New York
Order flow? What's that?
Letting others (hedge funds, actively managed mutual funds, etc.) know the buy and sell info of customers on Robinhood. They can legally use it to "front run" the orders ahead of you and pick up a few cents on the trade.

Believe it or not, I'm actually ok with this for the small trades the individuals who use their system.

Net-net Robinhood customers come out ahead compared if they were to pay say $4.95 per trade.

If you were making large trades (ie in the millions) the selling of the order info could wind up costing you more.

Overall high frequency trading and the outright selling of the order info helps the little guy since the bid/ask spread is lower. Overall helps with liquidity of a stock/ETF.

The bigger problem IMHO is their crappy customer service and issues with placing orders.

But hey it's free! In the end TSNSTAAFL. Someway/Somehow you are paying for it.
 
Last edited:

Jaden Jones

Igloo Builder
FASTLANE INSIDER
Read Millionaire Fastlane
I've Read UNSCRIPTED
Speedway Pass
Aug 22, 2018
272
344
174
Canada
I found the options to not pay as well on Robinhood, not sure why. When doing my spreads on think or swim, they seem to pay a couple cents better than Robin Hood. I found think or swim payed better than a few other ones as well. Depending on how much your trading, it may or may not be worth your while. Best to just run both and compare trade for trade. There always seems to be a catch with free, although many people may not notice or care depending on what they trade.
 
OP
OP
MJ DeMarco

MJ DeMarco

Administrator
Staff member
EPIC CONTRIBUTOR
FASTLANE INSIDER
Read Millionaire Fastlane
I've Read UNSCRIPTED
Summit Attendee
Speedway Pass
Jul 23, 2007
29,508
102,870
3,751
Fountain Hills, AZ
Have you looked into Tastyworks?
Been a customer since it launched. Interface is OK. I'm pretty fluent on TOS and it is my preferred go-to.
 

Don't like ads? Remove them while supporting the forum. Subscribe.

lludwig

Silver Contributor
FASTLANE INSIDER
Read Millionaire Fastlane
I've Read UNSCRIPTED
Speedway Pass
Aug 18, 2018
291
897
309
New York
I found the options to not pay as well on Robinhood, not sure why. When doing my spreads on think or swim, they seem to pay a couple cents better than Robin Hood. I found think or swim payed better than a few other ones as well. Depending on how much your trading, it may or may not be worth your while. Best to just run both and compare trade for trade. There always seems to be a catch with free, although many people may not notice or care depending on what they trade.
Makes perfect sense.

If you are an active trader, even though Robinhood is trying to set themselves up for the active trader you won't get the best pricing by any means.

On a side note, I find it ironic that they named themselves "Robinhood". Perhaps stealing from the poor to give to the rich?
 

andyhaus44

Bronze Contributor
FASTLANE INSIDER
Read Millionaire Fastlane
I've Read UNSCRIPTED
Speedway Pass
May 17, 2017
205
317
181
35
St. Charles, MO
Kinda hard to beat ZERO cost trades in either options or stocks.

Robinhood

I made a small deposit there but haven't traded anything because the interface isn't really that great. But then again, maybe a wonky interface is better than spending a fortune on commissions, which I'm doing at a variety of other places.

With this platform, there is really no excuse to start building your passive income money system.

View attachment 21950
MJ, thank you so much for sharing this! My boy is 20 months old and have been wanting to buy him stock in PBS and Disney but wasn’t sure which brokerage account to go with. Last night I opened a Robinhood account and did just that. Rep+
 

Bryan James

Bronze Contributor
I've Read UNSCRIPTED
Speedway Pass
Jul 1, 2018
182
312
172
Texas, USA
I know a lot of people who use Robinhood and I hear good things from them. Personally I don't use it (not because of any red flags I've perceived but because I've been with a separate brokerage for some years before I ever even heard about RH) but they seem to really like it.
 
OP
OP
MJ DeMarco

MJ DeMarco

Administrator
Staff member
EPIC CONTRIBUTOR
FASTLANE INSIDER
Read Millionaire Fastlane
I've Read UNSCRIPTED
Summit Attendee
Speedway Pass
Jul 23, 2007
29,508
102,870
3,751
Fountain Hills, AZ

Kak

Incubator Enrollment OPEN
EPIC CONTRIBUTOR
FASTLANE INSIDER
Read Millionaire Fastlane
Summit Attendee
Speedway Pass
Jan 23, 2011
5,533
22,531
4,554
Robinhood tempts savers with 3% interest on checking accounts — should consumers hand over their cash?

Again, really no reason why young people can't get started on their money system early. Wish I had these tools when I was 19.

FYI: I canceled my Robinhood account as loathed the interface, but it still looks like a great deal for anyone looking to start.
I saw that this morning in WSJ. Very interesting. I think it will pioneer a different fee structure for the rest of the industry to chase.

Personally, I don’t like the name. Robin Hood is a communist criminal.
 

ApparentHorizon

Gold Contributor
Speedway Pass
Apr 1, 2016
836
2,454
553
Greenville, SC
Robinhood tempts savers with 3% interest on checking accounts — should consumers hand over their cash?

Again, really no reason why young people can't get started on their money system early. Wish I had these tools when I was 19.

FYI: I canceled my Robinhood account as loathed the interface, but it still looks like a great deal for anyone looking to start.
Be aware this is insured by SIPC not FDIC

Every Robinhood account is SIPC insured up to $250,000 in cash

--

(SIPC) is a nonprofit membership corporation that was created by federal statute in 1970.

SIPC does not provide blanket coverage. Instead, SIPC protects customers of SIPC-member broker-dealers if the firm fails financially. Coverage is up to $500,000 per customer for all accounts at the same institution, including a maximum of $250,000 for cash.

SIPC does not protect investors if the value of their investments falls. When you think about it, this makes sense. After all, market losses are a normal part of the risk of investing.

I read your account can be affected by market fluctuations. Anyone with experience can expand?

--

Users of Robinhood Checking and Savings earn 3% interest annually on each of their Checking and Savings balances. Robinhood does not charge account maintenance, account minimum, overdraft, ATM, transaction, foreign transaction, transfer, or card replacement fees for Robinhood Checking and Savings. Robinhood Checking and Savings is offered through Robinhood Financial LLC. Robinhood Checking and Savings is an added feature to existing Robinhood accounts and is not a separate account or a bank account. The Robinhood Debit Card is issued by Sutton Bank pursuant to a license from Mastercard International, Inc. Neither Sutton Bank nor Mastercard International, Inc. are members of FINRA or SIPC.
 

lludwig

Silver Contributor
FASTLANE INSIDER
Read Millionaire Fastlane
I've Read UNSCRIPTED
Speedway Pass
Aug 18, 2018
291
897
309
New York
Be aware this is insured by SIPC not FDIC

Every Robinhood account is SIPC insured up to $250,000 in cash
SIPC isn't exactly like FDIC and is to cover fraud ONLY!

With either program, it's a backstop and I would recommend always as the last resort. It can take months in some cases years before you get your money back and more so with SIPC. During 2008 it never came to FDIC since the FED got involved and found buyers for the larger institutions. For the smaller ones they had the reserves to give instant money back.

So while you may not lose your money could, in theory, be tied up for years.

I think this article sums it well.

FDIC vs SIPC: Are they the same?

"What SIPC does cover is any sort of shenanigans that a broker might play on you. If they screw up and delete your account, or give your money to someone else, or close up shop and head to Grand Cayman, SIPC ensures that you will get your money back. But it does not cover investment losses."
 

YoungPadawan

Miles to go before I sleep
Read Millionaire Fastlane
I've Read UNSCRIPTED
Speedway Pass
Nov 7, 2015
420
1,060
374
26
Robinhood tempts savers with 3% interest on checking accounts — should consumers hand over their cash?

Again, really no reason why young people can't get started on their money system early. Wish I had these tools when I was 19.

FYI: I canceled my Robinhood account as loathed the interface, but it still looks like a great deal for anyone looking to start.
Yeah I just got that email a while back. It is really tempting to switch over from Schwab.
 

Don't like ads? Remove them while supporting the forum. Subscribe.

Primeperiwinkle

Platinum Contributor
FASTLANE INSIDER
Read Millionaire Fastlane
I've Read UNSCRIPTED
Speedway Pass
Nov 30, 2018
998
2,776
643
Started the thread all “Yasss I’ve been using them for over a year”

Ended the thread “Dammit”

Thanks people who do all the research things... I’m gonna go get my five hundred bucks and put it somewhere else.
 

GPM

Platinum Contributor
Read Millionaire Fastlane
I've Read UNSCRIPTED
Summit Attendee
Speedway Pass
Oct 25, 2012
674
2,867
670
Canada
Saw the CEO in the WSJ this morning.

This picture tells me all I need to know.

What an irreverent and unprofessional way to represent your FINANCIAL INSTITUTION.

View attachment 22856
Yea but he is "edgy" and "disruptive", so that means it is cool to look that way, right? That is the latest bandwagon. In 20 years we are going to look back at these clowns and wonder why it was ever hip to look like a slob.
 
OP
OP
MJ DeMarco

MJ DeMarco

Administrator
Staff member
EPIC CONTRIBUTOR
FASTLANE INSIDER
Read Millionaire Fastlane
I've Read UNSCRIPTED
Summit Attendee
Speedway Pass
Jul 23, 2007
29,508
102,870
3,751
Fountain Hills, AZ
What an irreverent and unprofessional way to represent your FINANCIAL INSTITUTION.
Unless that "look" resonates with market you are targeting.

I will argue they are -- young people with not a lot of disposable cash. I doubt a guy with a 3 piece suit will appeal to the millennial with $420 to their name, no double entendre intended. ;)
 

Kak

Incubator Enrollment OPEN
EPIC CONTRIBUTOR
FASTLANE INSIDER
Read Millionaire Fastlane
Summit Attendee
Speedway Pass
Jan 23, 2011
5,533
22,531
4,554
Unless that "look" resonates with market you are targeting.

I will argue they are -- young people with not a lot of disposable cash. I doubt a guy with a 3 piece suit will appeal to the millennial with $420 to their name, no double entendre intended. ;)
LMAO at the $420.

I still don't see unprofessionalism as a marketing strategy unless you're talking about "Dick's Last Resort." But I digress. Certainly not for me.
 

lludwig

Silver Contributor
FASTLANE INSIDER
Read Millionaire Fastlane
I've Read UNSCRIPTED
Speedway Pass
Aug 18, 2018
291
897
309
New York
Unless that "look" resonates with market you are targeting.

I will argue they are -- young people with not a lot of disposable cash. I doubt a guy with a 3 piece suit will appeal to the millennial with $420 to their name, no double entendre intended. ;)
Agreed, but you should always dress better than your clients. At least a sportjacket in this guy's case.
 
OP
OP
MJ DeMarco

MJ DeMarco

Administrator
Staff member
EPIC CONTRIBUTOR
FASTLANE INSIDER
Read Millionaire Fastlane
I've Read UNSCRIPTED
Summit Attendee
Speedway Pass
Jul 23, 2007
29,508
102,870
3,751
Fountain Hills, AZ

ApparentHorizon

Gold Contributor
Speedway Pass
Apr 1, 2016
836
2,454
553
Greenville, SC
The lack of competence by the company makes me uncomfortable to keep any money on their platform.
It's nothing new from the silicon valley types. Incompetence disguised as creativity and innovation.

At least they were smart enough to read the writing on the wall...err...blogs. Before people lost their shirts, and they could have been in deep doodo.
 

Create an account or login to comment

You must be a member in order to leave a comment

Create account

Create an account on our community. It's easy!

Log in

Already have an account? Log in here.

Sponsored Offers

  • Sticky
MARKETPLACE Lex DeVille's - Advanced Freelance Udemy Courses!
I bought 4 of his courses about freelancing / copywriting. I'm halfway through the first. The...

Fastlane Insiders

View the forum AD FREE.
Private, unindexed content
Detailed process/execution threads
Monthly conference calls with doers
Ideas needing execution, more!

Join Fastlane Insiders.

Top Bottom