Robinhood Review 2025: Pros, Cons, Fees & How It Works

what is robinhood worth

Robinhood offers approximately 5,000 stocks to choose from and more than 250 global stocks not listed on American exchanges. Robinhood touts the fact that it offers commission-free trading. Some of the fees that may be charged include regulatory fees, OCC fees, and service fees. You should always review the fees before finalizing any investment. Most of these fees are only a few cents and some are waived for purchases of fewer than 50 shares. Robinhood changed the fin tech industry when the app launched in 2015 and it continues to be popular.

Market cap: $45.18 Billion USD

  • Order staging and simultaneous order entry options are also not available.
  • Robinhood continues to upgrade its offering, burnishing its credentials as an innovative upstart that gives customers what they want.
  • The average account size is an important metric that can provide insights into the demographics and behavior of Robinhood’s customer base.
  • Robinhood has worked on bolstering weak points such as customer service, where it offers phone and email options, as well as 24/7 chat functionality.
  • Zacks Trade is a broker that should appeal to active traders with its advanced trading platform and ample research offering.
  • Robinhood also offers a spending account that comes with a debit card and $250,000 in Federal Deposit Insurance Corporation insurance via agreements with partner banks.

Order staging and simultaneous order entry options are also not available. The platform allows traders to view up to 8 charts in a single window, with dozens of chart settings and access to several chart types, including equivolume, candle, Heikin Ashi, line, and more. Legend also features a host of project manager job description new technical indicators, provides many new drawing tools, and allows customers to view data in custom intervals down to the tick. Yes, Robinhood allows users to buy fractional shares of stocks and ETFs.

Market Cap History

And while Robinhood does offer commission-free trading, it earns money from your business in a number of ways. Robinhood was once a disruptive fintech player in the brokerage industry, helping young investors get into the market. In recent years, the company’s motives have been questioned, with issues centered around data, transparency, and trust. Both companies offer stocks, ETFs, and options, but unlike Robinhood, Fidelity offers automated investing and advisor-managed portfolios for hands-off investors, making it a better fit for true beginners. The brokerage also has a more extensive account and investment selection.

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  • According to Robinhood's support page, you'll also need to ensure the transfer you've initiated is an ACATS (automated customer account transfer service) transfer.
  • Charles Schwab is a great all-around broker, whether you’re just getting started investing or are more advanced, and it can bring the heat on almost anything you’re likely to need.
  • This is because Robinhood gets a limited amount of shares of each IPO.
  • Investingintheweb.com does not provide any offer or solicitation to buy or sell any investment products, nor does it constitute an offer to provide investment advisory services.
  • The broker is frequently criticized for encouraging irresponsible investing, a concern I share.
  • In other words, their interests aren't always aligned with retail investors, rarely indicating where the price of a stock could actually be heading.

Built from the ground up, Legend is a sleek and beautiful platform that brings active traders some of the more advanced research capabilities they've been seeking. Like some other brokers, including Interactive Brokers, Fidelity and Charles Schwab, Robinhood offers fractional shares. That means you can pay as little as $1 for a portion of a share, even if that stocks' full share price is in the hundreds of dollars. This feature makes it much easier to build a diversified portfolio — you're able to buy stock in many more companies, even if you don't have a lot of money to invest. M1 is more focused on overall portfolio management and even offers model portfolios that don’t have any additional fees (outside of the ETF fees, which is standard).

Robinhood customer reviews

Robinhood is a member of the Securities Investor Protection Corporation (SIPC), which protects its members up to $500,000, including $250,000 for cash senior compliance manager at invast global claims. Keep in mind that this only means that your assets are insured should Robinhood become insolvent; it does not mean that your investments are safe from dropping in value. In this review, I’ll dive into my own experience using Robinhood and share my thoughts on what I think investors should look out for when deciding on an investing app. It all starts with the user interface, which is very easy to understand and navigate.

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what is robinhood worth

Streetbeat is an online AI-powered trading platform suitable for hands-off investors and beginners. Although it doesn't offer much in terms of educational content, its accessible mobile trading platform provides easy trading and portfolio management features. Acorns is one of the best investment apps for beginners and hand-off investors who want to start investing but are forex investing strategies overwhelmed by the choices with other investing apps. This simple and easy-to-use platform offers a low investment minimum, portfolio diversification, and beginner-friendly charting tools. Acorns is more expensive than other zero-fee apps out there, but the ease of use may make it worthwhile for certain users. The list of available cryptocurrencies is much smaller than you'll find at a true crypto brokerage, but it's among the largest selections of any stock trading app we review.

That’s a real knock for investors who would like to expand their relationship but must use another broker for their other account types. However, Robinhood customers can trade company shares listed on the NASDAQ and NYSE whose stock price is currently below $1.00. Robinhood offers stocks, ETFs, options, and cryptocurrency trading.