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SIPC Says It Has Serious Concerns About Robinhood's New Product

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Re: SIPC Says It Has Serious Concerns About Robinhood's New Product

#321

Earlier quoted context omitted.

there is little he can do, as cash in brokerage account is obviously protected by SIPC. Downvoters: you are confused. When you move cash to a brokerage account, it's protected by SIPC. It's a loophole, because this protection was not intended to be for permanent cash parking in an account - but there is nothing that can stop that protection from taking effect. SIPC statute is clear, cash in account is protected. You…

I think there's a lot the SIPC president can do if they believe a product doesn't fall under their jurisdiction. Specifically, he can decide SIPC won't act when the firm goes belly up. Disagree with that interpretation? Well the firm doesn't exist any more, they can't fight it. Feel free to mount your own legal offensive against SIPC. If you can get to your money. But that aside, here's the point you're missing: Robi…

ok, so if they changed the marketing and not the substance of their offering, then voila, it is covered by insurance and pays 3%? in that case, he can't do much, correct?

Re: SIPC Says It Has Serious Concerns About Robinhood's New Product

#322

Earlier quoted context omitted.

Didn't Uber's self-driving car hit and kill a jaywalker?

In Uber's defense, killing someone is pretty much always an "beg forgiveness" rather than "ask permission" situation

no, killing someone is what happens when you absolutely should have asked for permission. you don't get forgiveness for that.
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