Traditionally, securities brokerages charge a fee per order. Stock brokerages are authorized to fulfill the orders of clients. Robinhood is classified as a securities brokerage, which means that the firm can buy and sell different stocks on behalf its clients. Heck, you can even trade cryptocurrency, if you want. You can download Robinhood, and access no investment minimums and fee-free trading.
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Instead, you can own a percentage of your desired stock.ĭo you own an Apple or Android smartphone (of course, you do)? With fractional shares, you don’t need to buy an entire stock.
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You can take your $5 to the stock market (via Robinhood) and invest in Apple, Amazon, Google, or any company you desire! So, what does this look like in practice?Įveryday people can invest, regardless of current knowledge or wealth. Robinhood has built the backbone of the company off of the idea that investing should be for everyone. You are about to find out (in less than 5 minutes!). However, with any great idea, there are always skeptics.Īfter all, high cash entry points and steep trading fees are staples of the American stock market. You can now invest without paying commissions and with virtually no money. People that would have never invested are now investing (especially you so-called “Millenials”). Robinhood lets people move money with elegantly designed systems and apps. The primary focus of Robinhood is to make the stock market simple.īut how does Robinhood make the stock market simple? Since 2013, Robinhood has grown into a household name with millions of investors. Zero commission? Is this is a Robinhood scam? …commission-free trades and a $0 starting point. That opportunity was to gift the next generation of traders precisely what they were looking for…
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That's right - two roommates from Stanford went on to build separate investment hedging software solutions in New York City.īaiju and Vlad founded Robinhood because they saw an opportunity. Robinhood was born out of the friendship of Baiju and Vlad. CLICK HERE TO LEARN ABOUT OUR #1 RECOMMENDED BROKER FOR NON-U.S.
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citizen? If not, then you will unfortunately not be able to sign up for a Robinhood account.
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