Hacker News new | ask | show | jobs
by mushufasa 2383 days ago
FYI, Folio has been offering fractional shares for over a decade. They're terrible at marketing and don't have as slick an app, but they control their full stack down to the DTCC. They cover their traces in patents, so I'm not sure Robinhood is doing the same thing as Folio has battle-tested https://www.folioinvesting.com/folioinvesting/brokerage-feat...

(I do not work for Folio)
1 comments
Ambele 2383 days ago
M1 Finance already has fractional shares too. They're newer than Robinhood but they're built to be more of a long-term investing platform. Robinhood's UI feels more like a gambling platform to trade hourly on IMO. M1's "Pies" feature is very compelling. https://www.m1finance.com/how-it-works/invest/pies

(I do not work for either. I've used Robinhood for 4 years.)

link
awinder 2382 days ago
Problem that m1 is going to have imo now is the once a day trading window. The value proposition for this market has seriously changed with the big player move to free trades, and fractional shares are a good wedge since the bigger players don’t have that. But now m1 is a smaller player with more restrictions than m1, and it’s going to be tough.
link
hrez 2382 days ago
It's Apex Clearing that provides fractional shares ability to the bunch of discount brokerages and roboadvisors.

Edit: Looks like Robinhood moved out of Apex to their own clearing.

link