Robinhood is a stock brokerage that allows customers to buy and sell U.S. listed stocks and ETFs with $0 commission. We believe that everyone should have access to the financial markets and are on a mission to inspire a new generation of investors.
How are we able to offer commission-free trading while others charge up to $10 per trade? Robinhood was built from the ground up to be as efficient as possible. By cutting out the fat — hundreds of storefront locations, manual account management, expensive Super Bowl ads, etc. — we are able to maintain a lean bottom-line and pass the savings along to you, the customer.
Robinhood is an SEC registered broker-dealer and member of FINRA & SIPC. (The chart below is based on information published by brokerages as of April 18, 2017. For more information about Robinhood’s fees, please see our Commission and Fee Schedule.)
Robinhood’s story begins almost a decade ago at Stanford University, where co-founders Vlad Tenev & Baiju Bhatt were roommates and classmates.
After spending long nights toiling on problem sets together, the two decided to pack their bags and head to Wall Street to build a company that made trading platforms for some of the world’s largest financial institutions.
They soon learned that electronic trading firms pay effectively nothing to place trades on the market. On the other hand, everyday investors were taxed up to $10 per trade. Baiju and Vlad realized it was time to bring this advantage to everyone. By automating many of the costly duties that existing brokerages maintain as a holdover from the pre-Internet era, they could build a much more cost efficient and enjoyable brokerage.
Account Protection & Security
Robinhood Financial is an SEC-registered broker dealer and a member of the Financial Industry Regulatory Authority (FINRA) and the Securities Investor Protection Corporation (SIPC), which means securities in your account (i.e. stock and option investments) are protected up to $500,000 (including $250,000 for claims for cash). For details, please see the SIPC website. For more information on Robinhood Financial, you can check us out on FINRA Broker Check.
Keep in mind that cryptocurrency investments through Robinhood Crypto are not protected by SIPC and that Robinhood Crypto is not a member of FINRA or SIPC.
Robinhood uses bank-level security measures to protect your personal information. Your password, social security number, trades, and other sensitive data are fully encrypted, and our mobile and web applications communicate securely using SSL and modern encryption.
We don’t store your online banking credentials and never will. Your banking credentials are only used once to authenticate your identity with your bank so that you can initiate transfers and withdrawals with Robinhood.
You can secure access to your Robinhood account using TouchID, FaceID or a custom pin code. We also offer two-factor authentication with an external authenticator app or via SMS.
We’re hiring across multiple teams! You can check out our openings here.