[jakenberg]

Just because RH is in legal/regulatory trouble does not mean your money is just going to disappear. It's a fiduciary, not an ICO. Financial firms must have disaster plans that involve giving or transferring all of your assets back to you if it all ends. Selling your positions because of this would be a misinformed decision.

[tenpies]

> Selling your positions because of this would be a misinformed decision.

That is why I specified moving. That should not be parsed as "sell everything".

My concern would not be losing my money/positions. My concern is Robinhood losing its license and then being stuck on a comically long cue while they hire 5 under-motivated temps to handle hundred of thousands of account transfers. Their customer support is already terrible now. I can only imagine what that incompetence + financial collapse + end of operations would look like.

I am assuming the prospect of being locked out of your accounts for several weeks/months would be stressful, not to mention the monumental task that may be involved in getting certain records back in place for tax season.

[0xjmp]

I worked at a fiduciary that went down so feel confident speaking to this. You're still not getting it. It's not like other startups that fail where you just get some temps and hope it solves itself. You have a specific timetable from the moment you lose your license to transferring every cent out. Past that window, there are penalties and further legal problems with the SEC. It's safe to say anybody – even slimy companies – are in full overdrive as this is going down.

ACAT is not that simple. Most brokerages charge you a fee of upwards of $50 to do it. If the brokerage is going down and they must invoke an ACAT for you, they eat the fee. Again, it's misinformed to be incurring charges and even potentially taxable events because of your philosophical beliefs in the success or failure of a company.

[diminoten]

Layperson here, but isn't that called a run, and aren't those legally mandated disaster plans there to prevent runs?

[awinder]

point of clarification, you don't need to sell any positions to perform a ACATS transfer