7 comments

[ 1050 ms ] story [ 670 ms ] thread
Is this a brokerage? At some point us it something other than a brokerage if they restrict use of funds?
Other brokerages are restricting lists of problematic stocks right now too. It's not just Robinhood. (disclaimer: I have never been a customer or an employee of Robinhood, nor worked for any other broker)
“Problematic”?
For example:

"We have placed some restrictions on the following securities. These restrictions will not prevent clients from making basic buy and sell transactions. This list is as of January 29, 2021, 4:30PM ET.

AMC, CVM, EXPR, FOSL, GME, NOK, BB, BBBY, FIZZ, GSX, IRBT, NCMI, TR, UONE, VIR, NAK, NAKD, DDS, KOSS

The following restrictions are in place:

Stocks - 100% holding requirement (not marginable)

Long calls and puts are allowed

Covered call and short put orders may only be placed with a broker. Please be aware that wait times to speak with a broker may be longer than normal due to current market conditions.

Covered calls only allowed if your account currently has the shares

Short puts only if you have the maintenance/cash to cover the entire exercise amount of the short puts

All other complex options orders will not be accepted

Please keep in mind that this list is not inclusive of every security restriction and may change at any time."

https://www.tdameritrade.com/td-ameritrade-trading-restricti...

I’m really excited about getting good investment advice from these brokerage houses, with them identifying “problematic” securities, that lets me know the others are all safe.