FREE Stocks, Come and Get 'em!
Get a piece of the action! There are so many stock brokerages out there, and all charge a commission – except for one, Robinhood. Robinhood is a free stock trading app for mobile devices. If you have always considered investing in stocks, now is your opportunity to begin creating an additional revenue stream with your idle cash.
If you are entirely new to investing and would like some tips, check out An Insider's Guide to the Basics of Investing. I wrote a small article which breaks down the jargon of Wall Street into plain-English.
There are several Pros and limited Cons to trading using Robinhood. First, the Pros.
Refer a Friend for a FREE Stock
If you click on one of the hyperlinks, you come to a page that says “GET FREE STOCK” and I promise, if you click the “Get Your Free Stock,” you will receive a stock upon opening an account. If you refer a friend, you and that friend will receive a free stock. So full disclosure, if you get a free stock, I will as well. Good deal, huh!? I have been researching other mobile-investing apps and there are no other applications that offer free shares of stock. If you have further questions on your FREE stock, check out Robinhood’s website and click on “Learn More.”
Absolutely FREE Trading
Free trading refers to $0 commissions for self-directed individual cash or margin brokerage accounts that trade U.S. listed securities via your mobile device. The rationale behind free trading is to give everyone the opportunity to increase their wealth. Quick recap, there are no commissions and Robinhood gives some users (see above) a free stock – sounds like a WIN WIN – I’m in! If you want to learn more about the fees that the other brokers charge, click “Compare brokerages”. There is a thorough analysis of Robinhood’s fees versus the other broker-dealer member’s fees.
No Account Minimums
There are no account minimums, and no fees for having an account. Some other brokerages force you to have a certain amount of money deposited before you can trade. You could drop $1 into Robinhood and find a penny stock to trade if that is your desire. If you want to throw a few thousand dollars in your account, it will not incur any sort of fee – unlike some of the other brokerages. Some other investment apps, like Acorns, charge a fee once you reach certain levels of funds in their account, but you will never run into that with Robinhood.
Easy to Use
The app is very user friendly. Each time you open it up, you see your total investment with some clean figures and a chart which tracks your progress over the entire time you have had your account. The basic way to buy or sell a stock is to simply hit the respective buttons. From there, I would recommend setting limit orders so you purchase or sell your shares at your desired price, rather than letting the law of supply and demand determine your price. You just type in your price and the number of shares you plan to transact, and that’s it. You’re in the market! Also, did I mention that it’s on your phone?! So instead of looking at some social media, look at your stock portfolio! The convenience is unparalleled!
Like I said, the Pros definitely outweigh the cons. The main con to this app is that it does not provide detailed news. Another objection to this app is that it is overly simplistic. As someone who has been investing for several years, the functions are at times limiting. Robinhood is ideal for those first time investors that want to begin building wealth. I mean, come on, leaving your money sit in a bank account is actually hurting your bottom line due to inflation. Put your money to work! Finally, no brokerage can guarantee gains. So as a disclaimer, the past does not guarantee future results.
At this point, Robinhood should be a no-brainer! ….Especially if you don’t have any retirement savings socked away in a 401(k) or IRA. There are many perks and tax savings available in 401(k)’s and IRAs, but unlike both of those tools, in Robinhood you may make unlimited withdrawals and deposits into the account.
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