Yes, this is a legit broker! https://robinhood.com/ Lots of people asking about Robinhood because it sounds too good to be true, a zero commission broker? Yes, they charge zero, but be aware, you will get what you pay for. Meaning, if the market is going to shit and you need to get on the phone to call your broker because you cell phone is dead (at the moment they are only on mobile devices, but web based is coming soon), you are not going to have much luck reaching a representative in time at Robinhood. If you are trading in size and need perfect and swift executions, you need a more serious broker like interactivebrokers.com or thinkorswim.com. If you are dabbling in the markets and are putting in $100-$5000 into a position that is not being daytraded, then robinhood.io is perfect for you.
Has any one you know tried to transfer money out of robin hood? The site says 75.00 fee which is fine. I am just looking to see how easy it would be?
I haven't tried yet, I think I should try to withdrawal a small amount in the future. I don't think they charge fee for the ACH withdrawal. If you transfer your account to another brokerage, then they would charge your $75. I probably wouldn't use them if they charge me $75 every time I try to transfer some money back to my bank lol
I use Robinhood - works great so far, I have an algorithm hooked up to it. Have not tried to withdraw yet, but I'm up 18% so far this year!
I only have about 300 to put it. But I have been watching your other thread the $3000 one, looking pretty decent.
non commission trading sounds great for you then if you only have 300. You can buy just about anything any other broker provides - Robinhood does not provide shorting or options - and I would stay away from margin.
Day trading is only limited for people with less than 25,000 in their portfolio. They can only do 3 day trades a week. Since I'm not a day trader this doesn't bother me.
If it weren't for Robinhood, I wouldn't be here..... Everybody gotta start somewhere Only limitation is no OTC... Which, since it's targeted at beginners, is a good thing Instant deposit is nice too!... Can do auto deposits weekly, bi-weekly or monthly... I just deposit daily, and there it is... No week n a half wait like other brokers I believe you can short sell if you upgrade to Gold (monthly fee).. But I won't... Not for a good while
I understand that Robinhood makes money by selling order flow and consequently the spreads (diff between bid and ask) are not always the best for the trader. I expect though, for long term and swing traders, sticking to stocks with good liquidity, that factor is negligible compared to the savings on typical commissions.
Here's a couple of articles from Investopedia on Robinhood. Is Robinhood Safe? Here's How It's Regulated Robinhood And Scottrade: What's The Big Difference?
First complaint Twice now I've had stop loss orders not filled.. That's worrisome! It wasn't a liquidity issue, because when I went in and manually placed a market sell, I was filled instantly Good thing I was paying attention... But what if I'm not next time??
"YOU HAVE BEEN MARKED AS A PATTERN DAY TRADER, YOU CAN NOT MAKE ANY MORE DAY TRADES UNTIL YOU DEPOSIT $25,000" So I guess a stop loss is considered a "day trade"?? Whatever... I'm out.... I don't need to be scolded by my broker I closed out all my positions today and I know there's a 3 day settlement period before the funds can be withdrawn... But does anyone know yet about that $75 fee??.... It was mentioned above, but no one had tested it yet So now I gotta wait 3 trading days to pull it out, and 6 trading days after depositing it back into my TDA account.... Looks like I'll be paper trading for a couple weeks, to get my fix
It's not Robinhood spanking your butt. It's a FINRA rule, your broker can be fined for not upholding it. Sorry you had issues, but a stop loss is a sale anyway you look at it. Hopefully you can slip in before being labeled a PDT by the other brokers.
Yea, I learned that in the other thread Oh well, I'll just have to play accordingly with TDA... Already withdrew everything from R, good news is, no fee
The bigger brokers have more to offer in the long run. I'm with Schwab now and love it, longer Pm/Ah sessions, I can even play OTC if I decide to. Glad it worked out for you.
My final thought is that Robinhood is going to be a novelty that we don't hear about in 1-2 years. They attracted a lot of buzz on social media last year with their free trades, but after using their service, I was pretty disappointed. Also there is some disadvantages for me, as: Not easy for managing your holdings (couldn't see holding 5-10 positions with the app) No support for Quicken, Mint, or Personal Capital Too basic charts and data
