The RobinHood.com Is a free trading platform that is ideal for the investor, who is looking for the ability to purchase a wide selection of stocks, ETF’s, and options and not necessarily pay commissions or fees per trade.
While is free, there are some trade-offs to be knowledgeable about. RobinHood.com lacks some of the more full-service options online trading platforms provide. However since it started has kept expanding its offerings, The most notable lacking trading option is mutual funds for example.
Robinhood.com plans to take the offerings it currently has and expand upon them in 2019 to include cash management, however as of writing these details have not been officially announced.
Robinhood.com is fantastic for:
- Mobile users
- Margin accounts
- Frequent stock traders
- Option traders
- ETF traders
- and for those looking to try out the stock market without paying a lot for fees per trade.
What I really like Robinhood.com is that it is free to trade stocks, options and ETF’s on their platform. As opposed to other services that occupy the same space such as Ally Invest which charges $4.95 per trade, or E*TRADE that charges $6.95 per trade with the minimum account of $500. Those are great when you get to be bigger, but for people looking to start out it doesn’t make sense.
Robinhood.com – What makes it good
Commissions: is perhaps where Robinhood.com is leaps and bounds above other people, at no fee… its a solid win. This boils down to significant savings for the investor who does significant ratings, or for the investor who is starting out who doesn’t have much invested, and not wanting to spend five dollars per trade. In addition they keep adding on additional features that increase the overall offering of the platform.
Minimum account balance: Just like fees, Robinhood.com doesn’t have any. This takes down the often high bar that most brokers charge of having $1000 minimum to open account.
In addition, Robinhood.com this year start to allow trading of crypto currencies for select states, more are being added over time.
The ease of use: If you know how to use a smart phone then you could probably figure out how to navigate Robin Hood’s app fairly easily. Adding funds and making orders is pretty easy and they give you great on-screen information about various companies you are investing into.