Payment for order flow is the money brokerage firms make by sending trade orders to high-frequency traders or market makers. When an individual investor places a trade, the brokerage firm sends the ...
Robinhood’s zero-commission trading model came under scrutiny earlier this year during the WallStreetBets-fueled trading frenzy in GameStop Corp. (NYSE:GME) and other so-called “meme” stocks. The zero ...
During the House Financial Services Committee's Thursday hearing on the recent GameStop stock frenzy, there was talk of a practice known as "payment for order flow" (PFOF). To anyone not fluent in the ...
If you're a curious observer of Robinhood Markets' (NASDAQ: HOOD) recent initial public offering, you've likely heard the term "payment for order flow." Market pundits continue to debate whether it ...
Payment for order flow became less lucrative for brokerages as their customers got less active over the past year, bruised by the market downturn and distracted from their trading apps by ...
Following the GameStop trading frenzy, the SEC is expected to take a fresh look at payment for order flow, a decades-old practice that’s at the heart of how commission-free trading works. WSJ explains ...