Robinhood — Commission-free Stock Trading & Investing

Why people choose Robinhood

Robinhood was built on one idea: financial opportunity should be available to everyone. The app removes traditional barriers — high fees, confusing interfaces, and minimums that lock people out — so you can focus on what matters: your money and your goals.

What you can trade on Robinhood

• Stocks & ETFs: Thousands of U.S. listed companies and ETFs — build a diversified portfolio or focus on what you know.
• Options: Trade options with clean, approachable interfaces. Options enable strategies from income to hedging — but they carry risks, so learn before you trade.
• Crypto: Buy, sell, and hold popular cryptocurrencies quickly and easily.
• Fractional shares: Invest any dollar amount in select stocks and ETFs.
• Recurring investments: Automate your contributions daily, weekly, or monthly to build long-term habits.

How Robinhood works — simple, step-by-step

1. Create an account: Sign up in minutes using your phone or web. Verify your identity, link a bank account, and you’re ready.
2. Fund your account: Transfer money instantly (or via ACH) and set up recurring deposits if you want steady contributions.
3. Pick an investment: Search for a stock, ETF, option, or crypto. Use price alerts, research data, and fractional shares to tailor your approach.
4. Place the trade: Tap to buy or sell. Robinhood shows clear order types and estimates so you know what to expect.
5. Monitor & adjust: Track performance, set stop-losses or limit orders, and re-balance when needed.

Safety, security, and trust

Security is a priority. Robinhood uses industry-standard measures to protect accounts, including two-factor authentication (2FA), encryption, and continuous monitoring. Customer accounts are held at regulated clearing firms and covered by protections where applicable. Remember: investing involves risk — always consider your risk tolerance and time horizon.

• Two-factor authentication: Add an extra layer of protection with SMS or authenticator apps.
• Encryption: Sensitive information is encrypted in transit and at rest.
• Regulated partners: Broker-dealer and custodian relationships are established to safeguard client assets.

Learn as you go — education & community

Robinhood isn’t just an app — it’s a learning platform. From quick explainers to deep dives on investment strategies, you’ll find content designed to make investing approachable. Community features, news feeds, and curated learn paths help you discover topics that matter.

Starter resources

• Quick guides: How stocks work, what ETFs are, and basics of risk management.
• Glossary: Clear definitions of trading terms and order types.
• Interactive help: Support articles and in-app prompts walk you through common tasks.

Pricing & account types

Robinhood’s core investing features — trading stocks, ETFs, and crypto — are commission-free. There are optional paid services for traders who want premium features.

Note: Some features, such as margin trading and certain order types, may carry fees or interest. Always review the account disclosures before enabling advanced services.

Who Robinhood is for

Robinhood is designed for a broad audience:

• New investors who want a simple, low-cost entry into the markets.
• Busy people who want to manage investments quickly from their phone.
• Active traders looking for fast execution and optional advanced tools.
• Budget-conscious investors who want to stretch small amounts of capital with fractional shares.

Investing best practices

Good investing is about process, not luck. Here are smart habits to adopt:

• Set goals: Define short-, medium-, and long-term objectives (emergency fund, down payment, retirement).
• Diversify: Spread risk across sectors and asset classes — don’t put all your money into a single stock.
• Dollar-cost average: Regular contributions reduce timing risk and build discipline.
• Know your risk tolerance: Match investments to how much volatility you can handle.
• Keep learning: Use research tools and educational content to make informed decisions.

Frequently asked questions

Is Robinhood really free?

Robinhood offers commission-free trading on stocks, ETFs, and crypto. Some optional features like margin or certain regulatory fees may apply. Always check the fee disclosures in the app.

Can I trade fractional shares?

Yes — fractional shares let you invest any dollar amount in select securities so you can own a portion of expensive stocks or ETFs.

Is my money safe?

Robinhood uses encryption, two-factor authentication, and regulated custodians to protect assets. While security measures reduce risk, investing always carries market risk and potential losses.

Do I need experience to use Robinhood?

No. The app is built for beginners, but it also supports advanced trading for experienced users. Start with small amounts, use educational resources, and consider paper trading or simulated practice if you're new.

Ready to start?

Robinhood makes investing accessible without the confusion or cost of traditional brokerages. Whether you want to buy your first stock, experiment with options, or build a long-term portfolio, the platform gives you the tools you need in a clean, mobile-first experience.