Robinhood shares monthly trading data for first time, blows away competitors
Aug. 11, 2020 5:07 AM ETTD Ameritrade Holding Corporation (AMTD-OLD), IBKR, SCHW, ETFC, HOODETFC, AMTD-OLD, SCHW, IBKR, HOODBy: Yoel Minkoff, SA News Editor63 Comments
- The retail bros appear to be at it again as Robinhood (RBNHD) joined the rest of brokerage industry by publishing monthly trading data.
- The startup saw 4.3M daily average revenue trades (DARTs) in June, outperforming all of the publicly traded, incumbent brokerage firms. TD Ameritrade (NASDAQ:AMTD) was the next highest monthly total at 3.84M DARTs, Interactive Brokers (NASDAQ:IBKR) saw 1.8M DARTs, followed by Charles Schwab (NYSE:SCHW) and E-Trade (NASDAQ:ETFC) at 1.8M and 1.1M, respectively.
- Robinhood's DARTs during Q2 more than doubled compared to the prior three months, while all three of its top days based on trading volume, happened in June.
- The new disclosures come just days after Robinhood announced it was taking aggregated customer trading data off of its website and restricted access to its API. The trading data had been used by third-party sites, for example to analyze which stocks were seeing the largest increase in the number of Robinhood accounts holding them.
- Robinhood has also gained 3M new customer accounts in the beginning of 2020 and closed a Series F funding round that pushed its valuation to $8.6B.
- The high level of trading activity of Robinhood accounts has attracted criticism that it incentivizes its customers to overtrade. See Three poorly-rated stocks Robinhood investors are buying, and a suggestion why.