Is Robinhood commission free trading legitimate? Let’s talk about Robinhood, the new app for trading stocks. I have had an overwhelming number of people ask me my opinion on the commission free trading app Robinhood and today I will be doing a breakdown of what the app has to offer, the advantages of Robinhood and the disadvantages of it. First of all, what is Robinhood? It is a US based stock broker that allows individuals to invest in publicly traded companies and ETF’s listed on the US exchanges commission free. The company was founded by Vladimir Tenev and Baiju Bhatt utilizing the HFT algorithms they had built for others. HFT is known as high frequency trading. In a nutshell, HFT can allow for trading firms to effectively pay nothing to place trades and the discount can be passed down to the consumer. Robinhood launched in April of 2013 and by March of 2016 they had reached over one million customers. The app based trading platform is designed for millennial demographics and the average Robinhood user is 26 years old. Here are the ADVANTAGES of trading on Robinhood: Commission free trading. No minimum deposit. Real-time quotation, no delay. Instant fund settlement available. Instant availability of bank deposits. Greater possible diversification. Here are the DISADVANTAGES of trading on Robinhood: No advanced order types (Market, Limit, Stop-loss and Stop-limit only). No dividend reinvestment plan or DRIP. No retirement accounts. Line charts only, no candlestick charts or deep analysis. No real time volume. Robinhood makes money through the Robinhood Gold package. Basically, it allows investors to buy on margin for a set monthly rate, not on interest. This Robinhood Gold package also allows extended trading hours, instant fund settlement and instant availability of bank deposits. All in all, I think Robinhood is an excellent trading platform for beginners. I love everything about it. If you are a beginner looking to get your feet wet in the stock market, trade with Robinhood. However, if you are an experienced trader looking for complex charting and advanced order types, Robinhood is not for you. Robinhood is the trading platform for the common millennial. Website http://www.ryanoscribner.com Follow me on Twitter! https://twitter.com/RyanOScribner Facebook! https://www.facebook.com/ryanoscribner/ Personal Fitness Coaching http://www.ryanoscribner.com/shop Related Videos: Broker Review: Robinhood Trading App https://www.youtube.com/watch?v=17YP6ZGmH44&t=397s Robinhood App: How To Use The Robin Hood Stock Trading App https://www.youtube.com/watch?v=zlpon7Gb9bA ROBINHOOD APP│ Instant vs Cash Account https://www.youtube.com/watch?v=aC83uTV4qxk Related Articles: Robinhood Review 2017 https://www.nerdwallet.com/blog/investing/robinhood-review/ Robinhood Site https://www.robinhood.com/ If this video brought value to you, please leave a like! If you are looking to find out more about anything I discussed, drop me a comment or contact me on Twitter. Subscribe to be updated on my journey through life!
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