There are a decent number of people who eschew free products support by advertising. Such providers are daemonized for "selling your data" (or even "stealing your data"). You'll hear some quips as "if the product costs nothing, you are the product".
What I find fascinating is these same people think nothing of the downside of Robinhood being commission-free. It's no secret that one way Robinhood makes money is by selling their order flow and choosing the exchange to fill your order that makes them the most money. Oh and that order flow goes to Capital. This enables frontrunning of retail orders.
How can you have issues with privacy and user data and be OK with being monetized by Robinhood, which literally costs you money through poorer trade prices and reporting on customer trades to a party who seeks to profit off that information?
So it's not a bad idea to transfer your shares out but the reasons for that predate GME.
Oh and if you look at the likes of Schwab as a replacement, which is also commission free. They also sell order flow.
Sometimes it's just better to pay for a service. At least then your interests are largely aligned (although with brokerage the provider has an incentive to encourage churn).
What I find fascinating is these same people think nothing of the downside of Robinhood being commission-free. It's no secret that one way Robinhood makes money is by selling their order flow and choosing the exchange to fill your order that makes them the most money. Oh and that order flow goes to Capital. This enables frontrunning of retail orders.
How can you have issues with privacy and user data and be OK with being monetized by Robinhood, which literally costs you money through poorer trade prices and reporting on customer trades to a party who seeks to profit off that information?
So it's not a bad idea to transfer your shares out but the reasons for that predate GME.
Oh and if you look at the likes of Schwab as a replacement, which is also commission free. They also sell order flow.
Sometimes it's just better to pay for a service. At least then your interests are largely aligned (although with brokerage the provider has an incentive to encourage churn).