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Banning PFOF or Whatever
- totalZero 6y agoA few years back, Robinhood Markets Inc. had a crucial insight: Instead of charging a $5 commission and passing along 80% of the wholesaler’s discount to customers in the form of price improvement, it could charge no commission and pass along 20%, keeping the other 80% for itself. Robinhood didn't come up with the idea for PFOF. Bernie Madoff did. https://money.cnn.com/2000/05/29/investing/q_madoff/ https://money.cnn.com/2000/05/29/investing/q_madoff/