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On Reddit I've been trying to ask this ELI5: Why would you use RH instead of a normal, mainstream brokerage like Vanguard, Fidelity, etc that already has (1) a
by vbtemp 7y ago
On Reddit I've been trying to ask this ELI5:
Why would you use RH instead of a normal, mainstream brokerage like Vanguard, Fidelity, etc that already has (1) an app and (2) commission-free trades?
- lkbm 7y agoEasy answer: As someone who's used Vanguard for index funds and the like for a couple decades now, I had no idea they had an app or commission-free trades. They don't market this at all. As a secondary answer, normal, mainstream brokerages have pretty bad tech, tbh. I don't expect it to be worse than Robinhood in terms of things like security, and I expect UX to be worse. (Side note: I just discovered that Vanguard actually has a secret security key option hidden under Account maintenance, so I can finally switch from sms 2fa. +1 to Vanguard.)
- infinite8s 7y ago> Side note: I just discovered that Vanguard actually has a secret security key option hidden under Account maintenance, so I can finally switch from sms 2fa. +1 to Vanguard. It looks like you still need security codes setup: "You'll need to register for both security codes and security keys, however. That's because keys and codes go hand in hand—if you lose your key or don't have it, we'll need to send you a code in order for you to log on. In addition, you'll always need a code to access your accounts from a mobile device." If an attacker can skip the security key you might as well not use one.
- fny 7y agoMy brother has a Fidelity account and apparently even he was blocked from putting in orders online last Thursday, so I'm not sure they're immune either.