What is the catch with Robinhood?

>>1801481
Read the fucking FAQ

>>1801481
the catch is you suck ass at trading and lose all your money haahahahahahah

ok

>>1801481
The catch is it really isn't as feature rich as other brokerages and there's no desktop version. So effectively you ONLY get to find and buy stocks with it, seeing only average price and up to a 5 year chart. They recently enhanced the financial information displayed a bit but it's still very sophomoric.

I recommend having another brokerage account with it like E Trade, or at least use a research and screening site to find your stocks...you basically have to. I have an E Trade account that I filter money in to and make large purchases and most long positions there. I treat Robinhood as more fluid and make smaller more regular investments there.

You don't have to trade to be in stocks. If you haven't, you'd be smart to at least own some slow growth/dividend stocks so you at least have some valuable assets in the market without a ton of risk.

>>1801481
>>1801524
Me again. Also, the price at which you purchase is not always exact unless you set a Limit order.

They also have a paid service you can use which is a flat fee per month, I think like 10 bucks, which lets you use margin and some other things but I've kind of ignored it.

>>1801481
The catch is you have to pay taxes

You have limited day trades every week, slight delay from the actual market, you can only do basic things like buying and selling

Robinhood works to sucker in poor people making them think theyre gonna get rich quick from their neetbux, honestly the only good use for it is as a mini savings account or practice before going to an actual broker.

>>1801481
No catch really, at least in the sense you're implying. You can literally buy and sell stocks for free. You are limited in the number of day trades you can do within a 5-business day period (unless you have $25+k in there), and some big boy trading features (that you'd find on other brokers) aren't available. And it's only a mobile app (no desktop version).

But in the sense of just buying and trading stocks on a smartphone, you can't really beat it.

>But how do they make money?
They themselves invest the cash in your account that you haven't invested in stocks yet. In other words, they buy and sell stocks with your money and then give you back your money when you decide to buy a stock.