[whoisjuan]

Could be way worse given the amount of existing brokerage alternatives and the fact that nowadays they are all basically the same.

I put a request to transfer today for just a single reason and it has nothing to do with me me being mad at them for halting trades. I simply don’t trust Robinhood anymore. I feel they are too leveraged and too exposed to the cross-winds of retail investors. Flashmob trading is officially a thing and Robinhood will be the most exposed brokerage when it comes to volatility and lack of liquidity.

After what happened today it’s clear they can’t be trusted with my securities and even less with my liquid cash.

I don’t want to have any kind of money in Robinhood because I have the weird feeling it could go down. That’s how much I distrust them at this point. If they really halted transactions because of lack of liquidity, imagine what could happen with them if we experience a bubble burst or any other major economic event that impacts public markets.

I’m certain I’m not the only one feeling like this. If I could I would sell and re-buy at another brokerage but I want to avoid a tax event.

[sprite]

I also put in a transfer request today, but from Merril Lynch->TDAmeritrade. ML blocked me from buying AMC this morning.

The message they displayed was:

Due to recent volatility in certain securities and to reduce risk of market volatility, we will be placing restrictions on certain securities, including increased margin requirements and/or limiting transactions. Game Stop (GME) and AMC Entertainment Holdings (AMC) are now blocked for opening transactions and they have also been moved to a 100% margin requirement for existing positions. Additionally, opening orders for GME and AMC will be cancelled including Day and Good-till-Cancelled (GTC) orders.