Could this Finance App be called “Legalized Gambling?”
I’ve always been interested in investing, but just never had the $$$ to do it. All my money would get eaten up by the $9.99 fees to trade. So if I sunk my money into a stock and it tanked, it would cost $10 to get out and then another $10 to get into another stock (sick right…). If you have millions it’s fine.
Then Robinhood started making waves with its $0 commission trading and it has been getting big with the millennial crowd. Albeit, it’s dangerous to allow someone to essentially daytrade as they are bored at work, it makes trading easier than ever.
Robinhood delivers on their free stock trades with no minimum balance promise. The app-only user interface is clean and intuitive. Customer service is a bit lean, but my requests were responded to within a day or so. They continue to make incremental improvements every month. I’m still skeptical about whether they can make the economics work over the long run, but they do appear to be streamlining wherever they can.
I agree with this sentiment. It’s a startup, ok? It’s going to have some rough patches, but it begs the question if this could become legalized gambling…?
It’s great technology has collided with the financial markets, I just worry it makes it too easy to hype up companies and crash stocks with how little most people understand finance, but how easy it is to jump ship to the next investment.
Is this something to worry about?
For more: Robinhood App Review — MyMoneyBlog
Thank you all for reading!