Robinhood Probed by SEC Over Payments From High-Speed Traders (Bloomberg)

 

“Robinhood Markets faces a U.S. regulatory probe into whether the firm properly informed brokerage clients that it sold their stock orders to high-frequency traders and other Wall Street firms, according to a person with direct knowledge of the matter.  The Securities and Exchange Commission scrutiny is focused on Robinhood’s disclosures prior to 2018, when the company altered its website to make information on how it earned money easier to find, said the person who asked not to be named because the review isn’t public. The SEC probe was first reported by the Wall Street Journal, which said Robinhood may pay a fine exceeding $10 million to settle the investigation.” – Matt Robinson, Sophie Alexander and Annie Massa

Full report here.

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