Robinhood is a US-based stock and cryptocurrency broker that is popular globally.
- Free trading services, including zero commissions and spreads. There is also no transaction charges or inactivity fees
- No minimum deposit requirement
- Easy-to-use and modern design platform to improve your experience
- Over 18 million registered clients, proving its credibility
- No desktop trading
- No demo account
- Available in the US only
Although the company only serves the US traders, its plan to expand internationally is underway. The broker is safe since tier-one authorities like the Securities and Exchange Commission (the SEC) oversee its activities in the US. In addition, Robinhood encourages safe cyber security habits by featuring a 2-factor authentication login to safeguard your data.
Robinhood – Who Are They?
Robinhood was founded in 2013 as an American fintech brokerage firm. To date (Novemeber 2021), the company has attracted over 18 million clients, most of whom are active traders in various financial markets
Note that Robinhood only offers mobile trading and there is no desktop version. You can easily download and install the app on your mobile device to enjoy the broker’s services. The best element about mobile trading is that you can manage your trading activities anytime, even when you are away from your trading station.
Another unique feature of Robinhood is that it is free for usage. For instance, there is no minimum deposit required to trade on Robinhood. Additionally, you will neither pay commissions nor spreads. Making deposits and withdrawals is also free and there is no inactivity fee for inactive traders. The only sources of revenue for Robinhood are interests from margin lending and customers’ funds. This feature has made the company attract millions of traders, including the low-budget ones.
Robinhood is among the safest US-based brokers with licenses from FiNRA and the Securities and Exchange Commission (SEC). It also has a 2-factor login procedure that helps in safeguarding your data. The instruments offered to trade are stocks, ETFs, and cryptocurrencies. Remember, there is no forex trading neither does it offer a demo account.
Compare Robinhood Features With Other Brokers
Our Opinion About Robinhood
We are impressed with what Robinhood has achieved since its establishment in 2013. By attracting over 18 million clients, it is evident that online trading, especially when using mobile devices, is proving to be efficient. In addition, Robinhood’s user-friendly platform is loaded with adequate learning resources to help you improve your skills quickly. Undoubtedly, Robinhood is one of the best mobile trading apps in the US.
We also like the fact that this broker doesn’t charge commissions or spreads, and there is no minimum deposit requirement. No wonder it keeps attracting new traders, especially those who were sceptical about trading in the first place.
It is disappointing that Robinhood only serves US clients, and we hope to see its presence not only in the UK but other global countries. Having it add more financial instruments to its existing list will also be a plus for Robinhood since no trader will be limited from enjoying what it offers.