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Transfer Stocks Out of Your Robinhood Account

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Re: Transfer Stocks Out of Your Robinhood Account

#111

Post by JohnJamesRambo »

ditonal wrote: post #13

The RH apologists are going on long winded explanations about clearing houses (and to some extent there’s elements of “it’s too complex for your little brain”). But even to the extent it’s true, if I put in 5k from my checkings into RH and buy stock, why does Rh need all this liquidity to get orders filled? I understand turning margin accounts off, but that’s it . Past that, at best robinhoods business model is highl…

https://www.wsj.com/articles/robinhood-faces-sec-probe-relat...

They've been defrauding people for quite some time already. I remember reading this on HN in September.

Re: Transfer Stocks Out of Your Robinhood Account

#112

Post by fny »

B4CKlash wrote: post #99
ditonal wrote: post #13

The RH apologists are going on long winded explanations about clearing houses (and to some extent there’s elements of “it’s too complex for your little brain”). But even to the extent it’s true, if I put in 5k from my checkings into RH and buy stock, why does Rh need all this liquidity to get orders filled? I understand turning margin accounts off, but that’s it . Past that, at best robinhoods business model is highl…

https://finance.yahoo.com/video/heres-why-robinhood-restrict... It sounds like FINCEN requirements require a 2-day settlement period. This period allows fractional trading to work (they pool orders and execute on day 2). Those same restrictions also appear to restrict a broker/dealer from using customer funds to cover this float. From there it's pretty easy to interpret the end results - risk rises, fees rise, and su…

Ask yourself: why didn't they just freeze trading these securities instead of forcing liquidations across retail brokerages and putting everyone in sell only mode?

They're covering for the market makers and shorts who are on the hook for all the options bought and shares shorted.

Institutions could enough to ameliorate their pain while the only option given to everyone else was sell.

They should have instead stopped trading so everyone could borrow whatever they needed to pay for the bets they lost.

Re: Transfer Stocks Out of Your Robinhood Account

#113

Post by OiNG »

kahrl wrote: post #75
OiNG wrote: post #21

there is a lot of misinformation out there about what happened today. its starting to to look like this all happened due to default concerns and the resulting changes in necessary collateral. I have no skin in this game (neither GME or Robinhood), but lets try to stay informed and not grab pitchforks based on non proven allegations.

Robinhood lost trust when they initially lied to their investors about why buying was halted. (Saying they cared about the little guy and these stocks were too volatile for them to handle) Then they came out and said it was a liquidity issue. If it was simply a liquidity issue, why weren't just margin orders halted? Why did they stop people with cash in their hand from buying stock? None of Robinhood's statements pro…

Their initial statement is clearly a lie, full agreement there.

Also there are still outstanding questions regarding liquidity issues: why did they not first disallow margin buying, then possibly with unsettled funds? did these knobs not exist? was there some sort of mismanagement on their side?

I think there is plenty of room for RH to come out of this poorly even if the citadel story ends up being false and it was in fact a liquidity issue.

Re: Transfer Stocks Out of Your Robinhood Account

#114

Post by eachro »

fny wrote: post #112
B4CKlash wrote: post #99

Earlier quoted context omitted.

https://finance.yahoo.com/video/heres-why-robinhood-restrict... It sounds like FINCEN requirements require a 2-day settlement period. This period allows fractional trading to work (they pool orders and execute on day 2). Those same restrictions also appear to restrict a broker/dealer from using customer funds to cover this float. From there it's pretty easy to interpret the end results - risk rises, fees rise, and su…

Ask yourself: why didn't they just freeze trading these securities instead of forcing liquidations across retail brokerages and putting everyone in sell only mode? They're covering for the market makers and shorts who are on the hook for all the options bought and shares shorted. Institutions could enough to ameliorate their pain while the only option given to everyone else was sell. They should have instead stopped…

Who is "they" here?

Re: Transfer Stocks Out of Your Robinhood Account

#115

Post by ericpauley »

fny wrote: post #112
B4CKlash wrote: post #99

Earlier quoted context omitted.

https://finance.yahoo.com/video/heres-why-robinhood-restrict... It sounds like FINCEN requirements require a 2-day settlement period. This period allows fractional trading to work (they pool orders and execute on day 2). Those same restrictions also appear to restrict a broker/dealer from using customer funds to cover this float. From there it's pretty easy to interpret the end results - risk rises, fees rise, and su…

Ask yourself: why didn't they just freeze trading these securities instead of forcing liquidations across retail brokerages and putting everyone in sell only mode? They're covering for the market makers and shorts who are on the hook for all the options bought and shares shorted. Institutions could enough to ameliorate their pain while the only option given to everyone else was sell. They should have instead stopped…

So you're arguing that, instead of just disabling buying, they should have disabled buying and selling? That would expose them to far more substantial and direct liability than disabling new positions.

Re: Transfer Stocks Out of Your Robinhood Account

#116

Post by cma »

koolba wrote: post #85
mike00632 wrote: post #81

Earlier quoted context omitted.

Right, but with Robinhood the hidden costs are actual money. They give their users inferior prices and then collect on the arbitrage.

> They give their users inferior prices and then collect on the arbitrage. That’s false. They’re legally required to get the national best bid or ask just like any other broker. Routing trade flow doesn’t change that, it just gives the recipient the ability to match or beat those prices. If there was a better price elsewhere they’re mandated by law to attain that price. If they’re not doing that the SEC would be en r…

Robinhood basically sells right of first refusal on "dumb flow," which is valuable. The buyer can route it to someone else if they don't like it, but they get to decide before them. Also they get information from retail investor orders before the rest of the market gets to see them and can adjust pricing on other offers in related symbols before others get to react.

Re: Transfer Stocks Out of Your Robinhood Account

#117

Post by nightski »

newacct583 wrote: post #88
yakz wrote: post #83

Earlier quoted context omitted.

Hopefully some (many) people will take it to heart that Robinhood users are suckers. This wasn't "just" privacy violations or psychological manipulation with ads, this was Robinhood deciding what to do with YOUR money to cover their ass. Whether they lent it to you or not doesn't matter, because if the bad trade were going the other way, then you, the sucker, would absolutely be on the hook. Whether it's fraud or fla…

> Hopefully some (many) people will take it to heart that Robinhood users are suckers. While this is all true (and realistically Robinhood has killed their brand and probably won't survive), those same users were also suckers for falling for this ridiculous GME pump. What Robinhood did was absolutely in self-interest, but it was trying to cover up a mess that fundamentally wasn't of its own devising. They were either…

I've been watching the market for years. Pump & dumps happen. They are usually over in a few hours max. Sometimes much quicker. This has been going on for days (the majority of the week) and shows no signs of stopping. In fact tomorrow could be the most volatile day yet.

I'm not sure what is making you think all of the RH users were suckers, many of them have made quite a bit off of this. I don't personally use RH currently (although I have in the past). Ideally the bag holder in this situation would be those covering their short positions. But there is no doubt some will get burned. It's far from over though and there has been plenty of opportunity to cash out. In fact it's way up in aftermarket again this evening.

Re: Transfer Stocks Out of Your Robinhood Account

#118

Post by EGreg »

newacct583 wrote: post #88
yakz wrote: post #83

Earlier quoted context omitted.

Hopefully some (many) people will take it to heart that Robinhood users are suckers. This wasn't "just" privacy violations or psychological manipulation with ads, this was Robinhood deciding what to do with YOUR money to cover their ass. Whether they lent it to you or not doesn't matter, because if the bad trade were going the other way, then you, the sucker, would absolutely be on the hook. Whether it's fraud or fla…

> Hopefully some (many) people will take it to heart that Robinhood users are suckers. While this is all true (and realistically Robinhood has killed their brand and probably won't survive), those same users were also suckers for falling for this ridiculous GME pump. What Robinhood did was absolutely in self-interest, but it was trying to cover up a mess that fundamentally wasn't of its own devising. They were either…

In the words of Zuck, his users are “dumbfucks”.

Facebook is free and supported by advertisers.

And Robin Hood is free because they sell your trade data to the hedge funds — ironic name, “Robin Hood”.

Guess who pays their bills. If their actual customers went bankrupt, how would they make any money? Think about it!

For more info see

https://intercoin.org/nothingisfree

Re: Transfer Stocks Out of Your Robinhood Account

#119

Post by lettergram »

ogre_codes wrote: post #10

It's been a while since I did this, but last time I transferred shares from one brokerage to another, it took several days. It seems to me that if you are holding GME, the last possible thing you want is being stuck in a position for a while. For this particular case, it might be a better choice is to liquidate your position, cash out and just open another brokerage account. I know this is the total opposite of what…

They aren't in it for the money exactly...

https://www.reddit.com/r/wallstreetbets/comments/l6omry/an_o...

Further, at the moment there are still 62m outstanding short positions (with 71m yesterday). However, there was only 50m (likely revolving) trading volume today on GME.

Honestly, it looks like the redditors are going to successfully cause a squeeze.

Re: Transfer Stocks Out of Your Robinhood Account

#120

Post by yakz »

newacct583 wrote: post #88
yakz wrote: post #83

Earlier quoted context omitted.

Hopefully some (many) people will take it to heart that Robinhood users are suckers. This wasn't "just" privacy violations or psychological manipulation with ads, this was Robinhood deciding what to do with YOUR money to cover their ass. Whether they lent it to you or not doesn't matter, because if the bad trade were going the other way, then you, the sucker, would absolutely be on the hook. Whether it's fraud or fla…

> Hopefully some (many) people will take it to heart that Robinhood users are suckers. While this is all true (and realistically Robinhood has killed their brand and probably won't survive), those same users were also suckers for falling for this ridiculous GME pump. What Robinhood did was absolutely in self-interest, but it was trying to cover up a mess that fundamentally wasn't of its own devising. They were either…

I'd honestly be surprised if "don't loan money to people that fall for a ridiculous GME pump" wasn't directly in opposition to some of Robinhood's objectives until it bit them right in the ass.
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