(CTN News) – Robinhood, the online investments app, announced on Thursday its plans to launch its platform in the U.K. in early 2024. This will be the company’s third attempt at expanding internationally.
Ribbonhood is currently established in the U.S. and giving incredible services. The Company’s third-attempt is highly awaited with many hoping it will rank among top United Kingdom brokers. Anticipating UK traders have a green light to check out Ribbonhood market trades without any doubts. The market news is quite promising regardless of previous failures.
The platform will offer a range of features, including the ability to choose from 6,000 U.S. stocks and 24-hour trading five days a week.
Currently, Robinhood already offers 24-hour trading in the U.S., allowing trades to take place outside of regular market hours. However, initially, the U.K. version will not include U.K. stocks, options, and other derivatives. These may be added later as the platform expands its product offerings.
Jordan Sinclair, Robinhood’s U.K. chief, believes that the availability of 24-hour trading will be popular among users, as it allows them to trade based on market-moving news.
According to Sinclair, customers can take action on market news by making trades and selecting their investment strategy, rather than just waiting after reading the news headlines in the morning.
Robinhood attempted to expand into the UK twice, with a waiting list in 2019 that garnered over 300,000 sign-ups but ultimately canceled its plans due to high demand at home during the pandemic.
The company also tried to acquire Ziglu, a British crypto-trading app, but the deal fell through and resulted in a $12 million impairment charge. Robinhood is now launching a waitlist in the UK, allowing Brits to sign up for early access and incentivizing users to share referral links to increase traction.
Tenev expressed his ambition to become one of the largest employers in England, emphasizing that nothing would bring him greater joy. He also highlighted the abundance of exceptional talent in the country, suggesting that it could potentially serve as a center of excellence for Robinhood.
According to Dan Moczulski, the U.K. managing director of EToro, the increased competition in the retail trading market is an exhilarating development for the industry.
Moczulski believes that more competition will always benefit investors. As one of the leading trading and investing platforms in the UK, he acknowledges that it keeps them on their toes and motivates them to continuously innovate and expand their product offerings for their users.
Robinhood CEO Vlad Tenev is confident about the firm’s upcoming launch in the UK, stating that they have taken care of all necessary details and built a more robust platform.
Tenev emphasized the strong relationship Robinhood has with the Financial Conduct Authority (FCA). Regulators are concerned about brokerage apps like Robinhood, eToro, and Public, which use stimulating features that may encourage excessive trading.
Robinhood assured that customer cash will be held in segregated accounts protected by the US Federal Deposit Insurance Commission insurance. Unlike in the US, Robinhood will not implement payment-for-order-flow (PFOF) in the UK. Critics argue that PFOF can create conflicts of interest.