Robinhood, the online trading app heralded by some as a democratizing force to empower small investors, has spent the past few years nurturing a close relationship with one of Wall Street’s biggest players and building ties with some of the most powerful institutions in Washington.
The Silicon Valley-based trading platform makes a large amount of revenue from Citadel Securities, a Chicago-based financial-services giant. Robinhood’s regulatory filings show the company charges large investment firms called “market makers” fees to access real-time information about which stocks its users are buying and selling, a practice some regulators and industry watchers have seen as a potential conflict of interest.
Robinhood routes more than half of its customer orders to Citadel, by far its largest market-making partner by volume, Robinhood disclosures show. The app also works with Virtu, G1 Execution Services, Wolverine and Two Sigma.
Robinhood’s relationships with these investment firms is likely to face new scrutiny after the online broker took the extraordinary step Thursday of limiting trading of certain stocks that were propelled to meteoric heights by conversations on Reddit message boards. After the trading halt, Reddit users accused Citadel and its billionaire founder, Ken Griffin, of pressuring Robinhood to limit trading of certain stocks, a move that may have prevented further losses for the short-sellers that lost billions betting against GameStop.
太几把傻逼了。今天华盛顿邮报揭发Robinhood背后的推手其实是citadel资本，也是最大获益者。
以前机构还不敢直接煽动散户pump垃圾股票，自从有了疮逼保护越发胆大妄为。
Robinhood, the online trading app heralded by some as a democratizing force to empower small investors, has spent the past few years nurturing a close
relationship with one of Wall Street’s biggest players and building ties
with some of the most powerful institutions in Washington.
The Silicon Valley-based trading platform makes a large amount of revenue
from Citadel Securities, a Chicago-based financial-services giant. Robinhood’s regulatory filings show the company charges large investment firms
called “market makers” fees to access real-time information about which
stocks its users are buying and selling, a practice some regulators and
industry watchers have seen as a potential conflict of interest.
Robinhood routes more than half of its customer orders to Citadel, by far
its largest market-making partner by volume, Robinhood disclosures show. The app also works with Virtu, G1 Execution Services, Wolverine and Two Sigma.
Robinhood’s relationships with these investment firms is likely to face new scrutiny after the online broker took the extraordinary step Thursday of
limiting trading of certain stocks that were propelled to meteoric heights
by conversations on Reddit message boards. After the trading halt, Reddit
users accused Citadel and its billionaire founder, Ken Griffin, of
pressuring Robinhood to limit trading of certain stocks, a move that may
have prevented further losses for the short-sellers that lost billions
betting against GameStop.
任何一个市场散户太多绝不是好事。