What's Good and Bad about Robinhood Investing?

Robinhood is a budget investment to say the least. It is completely free. It is free to open an account, it is free to buy a stock and it is free to sell a stock. This is a brand new concept is the world of trading stocks and could be either a trend starter or just be another what if. Being free is good and all but there are definitely some things that aren't good about Robinhood.

The Good:

Free

Minimum

Clean look

Good for beginners

Simple to use

Can take small profits

Ability to upgrade a little

The Bad:

Get into stock can be hard

Only buying and selling stocks

No tools

Only one type of chart

Market order is default

Not all stocks available

Only Mobil app

Robinhood is good for beginners. One thing I’ve learned about being a young investor is that being able to make 25 cents on a stock is better than taking a loss. Robinhood allows you to do this because they don’t charge fees. On other brokerages a 25-cent gain is a lost due to commissions. You don’t just have to be a beginner to take advantage of the free trading. Robinhood is good for people who are trying new strategies and don’t want to try with a small amount of money.

However, users should be aware of the bad stuff because there are no tools to come up with a strategy. Also, Robinhood, isn’t the best when it comes to getting into and out of stocks. This can be very frustrating. Also, you can’t short stocks on Robinhood which is very disappointing because there is a lot of money to be made in shorting the stocks.

I think Robinhood is best when you have other more high-tech brokerages to do a lot of the hard work and then make the trade on Robinhood. Robinhood is a great brokerage for beginners and hopefully more brokerages like Robinhood with force big brokerages to lower their cost and this would benefit everyone.