Robinhood paid $65 million over misleading payment-for-order-flow disclosures and execution failures
Company: Robinhood Markets, Inc.
Summary
SEC found Robinhood Financial repeatedly misstated or omitted information about its receipt of payment for order flow and failed to satisfy its duty to seek the best reasonably available execution terms. The SEC said inferior execution prices deprived customers of $34.1 million even after considering commission savings. Robinhood agreed to pay $65 million to settle the charges. Source: https://www.sec.gov/newsroom/press-releases/2020-321