Robinhood says in 'strong position' to face unlikely market events
Reuters
Published Jan 26, 2022 10:22
(Reuters) - Robinhood Markets Inc (NASDAQ:HOOD) on Tuesday highlighted steps it had taken over the past year to avoid imposing trading restrictions and said it was in a "strong position" to support customers through unlikely market events.
The online trading platform, which helped pioneer commission-free trading, said in a blog post its net capital position was $2.7 billion, more than twenty-five times what is currently required by the U.S. Securities and Exchange Commission (SEC).
Robinhood, in January 2021, had enacted temporary limits on GameStop (NYSE:GME) and other so-called "meme stocks" amid a social media-fueled rally.
Early this year, the company asked a federal judge in Miami to dismiss a lawsuit alleging it engaged in fraud and market manipulation when it restricted trading in the stocks.
Robinhood last year also said it had increased the size of its customer support team and introduced 24-hour customer phone support, seven days a week.
Get The App
Written By: Reuters
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.