"Getting fees for routing comes at the cost of getting the best price for your purchase orders"
That's implying everyone else does it, but if it was legal and standard practice, Robinhood wouldn't have gotten in trouble for it. The dynamic seems similar to being taken in by a crooked politician - the pol says "everyone else is a crook", people vote for him, he is proven to be a crook, it doesn't matter because people continue to believe everyone else is just as bad.
"the real opportunity isn’t for people like me and you, but for brokerages that are roping us in"
Haha not necessarily:
"The price of the May 2020 contract dropped to an unprecedented negative price of $37.63...Several Interactive Brokers LLC (“IBLLC”) customers held long positions in these CME and ICE Europe contracts, and as a result they incurred losses in excess of the equity in their accounts. IBLLC has fulfilled the firm’s required variation margin settlements with the respective clearinghouses on behalf of its customers. As a result, the Company has recognized an aggregate provisionary loss of approximately $88 million."
That's implying everyone else does it, but if it was legal and standard practice, Robinhood wouldn't have gotten in trouble for it. The dynamic seems similar to being taken in by a crooked politician - the pol says "everyone else is a crook", people vote for him, he is proven to be a crook, it doesn't matter because people continue to believe everyone else is just as bad.
"the real opportunity isn’t for people like me and you, but for brokerages that are roping us in"
Haha not necessarily:
"The price of the May 2020 contract dropped to an unprecedented negative price of $37.63...Several Interactive Brokers LLC (“IBLLC”) customers held long positions in these CME and ICE Europe contracts, and as a result they incurred losses in excess of the equity in their accounts. IBLLC has fulfilled the firm’s required variation margin settlements with the respective clearinghouses on behalf of its customers. As a result, the Company has recognized an aggregate provisionary loss of approximately $88 million."