Robinhood to pay US$65m to settle SEC claims it mishandled trades
17 Dec, 2020 05:39 PM
3 minutes to read
The Robinhood platform has been very popular among investors. Photo / Getty Images
Financial Times
The trading app Robinhood has agreed to pay US$65m (NZ$90m) to settle charges from US securities regulators that it failed to provide its customers with the best prices for trades on its platform. The Securities and Exchange Commission said that while Robinhood had promoted its services as commission free , its customers orders were processed at prices inferior to other brokers.
The commission also said the company failed to disclose payments it received from high-speed trading houses that process its orders, payments that may have influenced decisions over how Robinhood trades are executed.