Yahoo Finance story that ran not a month ago, not a week ago, but yesterday:
Robinhood, which is responsible for popularizing both
commission-free trades and fractional investing, has long had the
goal of democratizing investing. In an interview with Yahoo
Finance, CEO Vlad Tenev explained that the investing climate of
the past few days has illustrated a key problem in the world of
investing — inequity.
“Retail investors and individuals have felt like they’ve been
talked down to. Lots of them felt like they haven’t been taken
seriously,” he said. “There’s this term ‘sophisticated investor’
that’s been thrown around, so there’s an idea that they’re
“I think people are seeing now that [retail investors] now have
the ability to invest and they’re empowered,” Tenev said.
Yesterday: Robinhood customers are empowered.
Today: Robinhood customers can’t buy the stocks they want to buy.
I don’t see how Robinhood ever recovers from this reputation-wise. Who would ever trust them after this? Their slogan was literally “Let the people trade.” They’re already in legal trouble too.
★ Thursday, 28 January 2021