It’s been a while since we wrote about Robinhood, the broker to the millennials, so we figured we would give you an update on their latest run-in with the law.  Last week, Robinhood settled with FINRA for $1.25 million for “best execution violations related to its customers’ equity orders and related supervisory failures that spanned from October 2016 to November 2017.” Considering they sport a $7.6 billion valuation , you would think that they would do a better job with their compliance of FINRA rules. Here is what FINRA found: “FINRA found that for more than a year, Robinhood—which offers its (more…)

Sometimes people use the words “stock exchange” and lump all 13 US exchanges into the same category but that really isn’t fair.  There are the three families (NYSE, Nasdaq and Cboe) which are for-profit, public companies which seem to always create “innovations” that are designed to increase their own bottom line. And then there is that outlier stock exchange, IEX, which seems to always put investors first.   A perfect example of this difference is Cboe’s EDGA Liquidity Provider Delay Mechanism (a.k.a. asymmetric speed bump) vs IEX’s newly proposed D-Limit order. D-Limit According to Eric Stockland of IEX, this is the (more…)


Jun, 2019