Summary List Placement
Trading platform Robinhood warned day traders on Thursday night to raise their cash buffers on “several widely-held stocks” hours before market open, or they could face an account deficit.
The trading platform said it would increase the minimum amount required to be held in user accounts from October 16 onwards to “help protect” customers from increased election volatility.
“If you hold any of the affected stocks on margin, your buying power may decrease or your account may be in a deficit after these changes go into effect,” Robinhood said.
“If you do not resolve the margin call, we may need to sell off some or all of your stock to cover the call,” it said.
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Retail trading platform Robinhood warned users late on Thursday to raise their cash reserves on “several widely-held stocks,” hours before market open.
The company, which has spearheaded commission-free stock and ETF trading, said it would increase the margin maintenance requirements for those stocks affected by election volatility. It maintains the move would help protect customers from increased election volatility.
Packy McCormick, a day trader, posted the warning in a tweet at 9.42 pm ET on Thursday, minutes after receiving it. Regular …read more
Source:: Businessinsider – Finance