Robinhood pays $65M to settle SEC charges for past ‘inferior’ pricing execution, misleading customers

Today, American securities watchdog the SEC announced that Robinhood, a free-to-trade broker that has grown rapidly in recent years, has paid a $65 million fine to settle charges relating to some of its historical business practices. The actions at issue occurred between 2015 and 2018, with the SEC alleging that the company “made misleading statements and omissions in customer communications” about how it generated “its largest revenue source” — specifically, payment for order flow.

More on: https://techcrunch.com/2020/12/17/robinhood-pays-65m-to-settle-sec-charges-for-past-inferior-pricing-execution-misleading-customers