The company transformed commission-free trading in the US and is set to launch its desktop platform for UK investors.
Options trading serves as an alternative to stock trading; it involves buying and selling financial contracts that grant the buyer the right to purchase or sell an underlying asset, like stocks or ETFs, at a predetermined price within a specified timeframe. Investors may engage in options trading to protect themselves against a decline in stock prices or to speculate on the future value of an investment.
According to Robinhood officials, many UK investors have faced barriers to options trading due to high fees, complex platforms, and a lack of educational resources. It aims to make options trading in the UK easy to access, simple to understand, and affordable.
Robinhood made its debut in the UK in March 2024, promising zero commission fees and no foreign exchange fees on trades involving over 6,000 US stocks, while also offering 5% interest on uninvested cash. Since then, it has introduced various other investment products, such as share lending and margin trading.
Representatives from Robinhood mentioned that the company plans to continue introducing existing US products as well as tailored UK offerings on its app, highlighting the example of stock and share ISAs. One US product that is expected to make its way to the UK is the desktop platform designed for active traders. This platform, named Robinhood Legend, was launched in the US in October 2024 and features advanced trading tools along with real-time data.
In January 2024, Robinhood released a localised version of its trading app for customers in Spain, marking a significant step in its European expansion.
This initiative followed the company's recent efforts to grow within Europe, aligning with the implementation of the EU’s Markets in Crypto-Assets regulations. Furthermore, the firm aimed to stay attuned to the needs, preferences, and demands of its clients in a constantly changing market, while also prioritising compliance with industry regulations and laws.
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