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Reply to "Robin Hood just ended trading on GameStop and AMC"
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[quote=Anonymous][quote=Anonymous][quote=Anonymous]Robinhood is a broker dealer. Full stop. It is heavily regulated. Full stop. They are required to stop trading because they do not have the resources to back it. They have to have a certain percentage of the total volume in dollars to support the trades in case people don't pay or something else happens. When the volume spiked, they needed to have billions more to make the trades flow. This is a math issue. Not big guy little guy. In any event, RH is the little guy.[/quote] RH should have halted both buying and selling if they had no choice. Full stop. Don't just ban buying but still allow selling and closing of accounts while allowing hedge funds and institutional investors to freely buy and sell (which allowed hedge funds to reduce their losses). The problem is RH only banned buying and only for retail investors. Full Stop.[/quote] RH only has retail investors.[/quote]
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