Robinhood Markets Inc. reached a $640,000 settlement with Vermont regulators over outages on the brokerage’s trading platform and lax supervision of accounts.
The firm is still grappling with the fallout from a series of disruptions on its brokerage app in March 2020, when trading volumes surged at the onset of the pandemic. The Vermont Department of Financial Regulation said at least 40 customers in the state complained to the regulator or Robinhood, according to a statement Thursday.
Regulators also found that Robinhood’s automated process for approving investor applications wasn’t rigorous enough to determine which customers should have access to advanced options and margin trading, features that increase financial risks.
Shares of Menlo Park, California-based Robinhood climbed 7% to $13.67 at 1:54 p.m. in New York. The stock has tumbled 64% since its initial public offering in late July.
“The settlement resolves historical matters that do not reflect Robinhood today,” said spokeswoman Jacqueline Ortiz Ramsay.
Voya Financial adds private equity, credit and real estate options to its AMA program, building on support for looser federal investment rules in retirement accounts.
Shannon Reid, president of Osaic and the network’s number two executive, has plenty of challenges, industry executives said.
Auditors flagged the commingling. The COO allegedly knew. Investors kept getting the pitch
The advisors on the move include two brothers leading a family practice in Connecticut, and a husband-and-wife tandem working with business owners in the West Coast.
Business owners and their heirs may be making assumptions instead of having conversations, creating challenges for succession planning, according to new research.
Dan Biagini of American Equity says the steady decline of pensions, longer lifespans and a reset in interest rates are rewriting how advisors build retirement income
Direct indexing is on pace to outgrow ETFs and mutual funds. Northern Trust's Ken Lassner explains why the advisors who get it wish they had started sooner.
