"Investing" and "Stock Trading" are incompatible in the same sentence, unless combined with a phrase like "does not involve".
You can buy and hold, or "Invest", on any platform which, in my opinion, has to meet three minimum requirements: It should offer commission-free trading on a variety of low-cost index funds, it should offer a variety of investment account types (at minimum, taxed accounts, Traditional IRAs, and Roth IRAs), and it should be stable.
Robinhood only meets one of these three criteria. There are dozens of other brokerages out there which do meet all of these criteria: TDAmeritrade, Schwab, Vanguard, and Chase are four great ones.
Robinhood is on the same level as a betting app for sports; so, fine; use it if that's what you want. But do not even mention the word "Invest" in the same sentence as Robinhood; its grossly irresponsible.
I agree, this is how I started. It was well worth a couple hundred dollars in losses 2 years ago to learn the fundamentals. I considered it the cost of learning that I've more than recovered.
Now I have a much larger account, and I'm trading / investing with a much lower risk profile, because of what I learned on my >$1000 account. I consider that the exact opposite of wasting time.
> Investing under $1000, especially with commission-free trades, is a good way to learn the basics mechanics of stock trading
Individual investors are at a huge disadvantage when it comes to intraday trading.
For everything other than a child's hobby account, intended to teach emotional stability through gains and losses, a <$1,000 stock-trading account is value destroying.
paulgb|6 years ago
013a|6 years ago
You can buy and hold, or "Invest", on any platform which, in my opinion, has to meet three minimum requirements: It should offer commission-free trading on a variety of low-cost index funds, it should offer a variety of investment account types (at minimum, taxed accounts, Traditional IRAs, and Roth IRAs), and it should be stable.
Robinhood only meets one of these three criteria. There are dozens of other brokerages out there which do meet all of these criteria: TDAmeritrade, Schwab, Vanguard, and Chase are four great ones.
Robinhood is on the same level as a betting app for sports; so, fine; use it if that's what you want. But do not even mention the word "Invest" in the same sentence as Robinhood; its grossly irresponsible.
zigzaggy|6 years ago
Now I have a much larger account, and I'm trading / investing with a much lower risk profile, because of what I learned on my >$1000 account. I consider that the exact opposite of wasting time.
JumpCrisscross|6 years ago
Individual investors are at a huge disadvantage when it comes to intraday trading.
For everything other than a child's hobby account, intended to teach emotional stability through gains and losses, a <$1,000 stock-trading account is value destroying.
tedunangst|6 years ago
spiderjerusalem|6 years ago
EDIT: It seems it's completely removed now. https://www.interactivebrokers.com/en/index.php?f=4969
unknown|6 years ago
[deleted]
hoffs|6 years ago