Robinhood app review & Loyal3 app review -- Free stock trading? // Stock trading tips, Options 101 welcome to looking at the markets with David Moadel today i wanted to review or
discuss two apps that offer free stock trading that means the stocks are not
free of course but I mean commission-free and that is very
appealing especially if you have if you make a lot of trades ok if you're paying
between five and ten dollars a trade which is typical then you know if you
buy a stock that's between five and ten dollars
often times and then then you have to sell it if you want to get your money so
you can spend your money and then that's another five to ten dollars and so you
could be spending between ten and twenty dollars every time you buy and sell a
stock
and.and as well as options to you're going to run up Commission's options
stocks forex whatever commodities whatever your trading and so commit the
idea of commission free stock trading is it really it's a great idea and it
democratizes the stock trading for retail traders and investors so I think
it's a good thing I think it's positive but is it all it's cracked up to be
and are there are disadvantages well first let me say that the most popular
one by far is robin hood and and this is a nap so it its use it on your phone
and i'm on the Robin Hood website right now and the the web address is up here
if you want to go there
and here's here's a problem with with the Robin Hood app at least a problem
for me it says right here on the Robin Hood website you can trade over 5,000
securities on Robin Hood including most US equities and ETFs listed on major US
exchanges
okay that's good so maybe not every single stock in the etf you can think of
but a lot of them over 5,000 thats that's good enough for most or for many
retail traders but if you're advanced if you're it
you know if you're more advanced trader or investor then this probably isn't for
you is not for you because it says here we do not yet support the following but
hope to in the future and first of all that they don't currently support
over-the-counter OTC equities and in other words penny stocks
ok so if you're into penny stock penny stock trading then Robin Hood is
probably not for you and options
that's what bothers me alright what what if you're what what if you buy a stock
and then you want to sell some covered calls on that stock
well can't right now you cannot do that on Robin Hood or or if you want to you
know it's instant instead of placing a limit order to buy a stock at a certain
price instead you sell you sell a put option
ok again that that's not a choice here or what if you want to buy some stocks
and then protect those stocks from a from a market crash by buying some
inputs as protection
you can't right now you cannot do that on Robin Hood also mutual funds and
bonds are not currently available on Robin Hood and so it's it's limited I i
want to also talk about another app that offers commission-free trading and
that's that's not as well known as Robin Hood it's called loyal three
and again the the web address is up here on the address bar and loyal three is
kind of similar again it's an app that you download but loyal three is even
more limited than Robin Hood in terms of what you can what you can buy as far as
stocks go again yet they do not offer options trading it's it's really just
it'sit's stocks and ipos that's what loyal three offers as far as training
goes and I counted
excuse me accounted 7171 different stocks you can buy
and you know if Robin Hood has over 5,000 securities and meanwhile loyal
three offers it was at least on this page here on the stock list they show 71
stocks and they have the most popular ones they have apple and they have Intel
and they have amazon and so on and so forth
yahoo and walmart target but 71 that that's not a whole lot of choices
now they do also offer ipos you can you can get in on an initial public offering
when a company starts offering stock to the public so that's that's great that's
that's fine but it's still pretty limited and also there's a page here on
the loyal three website that says we match orders and typically execute them
once a day
the price you receive may be higher or lower than the price at the time you
place your order and that bothers me you know i mean stocks can move quickly
during the day and so if I biased if i buy or sell a stock i want the price
that it's selling or selling at right now I I don't want it at some other time
during the day so that's to me that's a problem
alright so that's my review of robin hood and loyal three and obviously i got
to know if you could tell but I I don't use them much I just just from looking
at their websites i know everything that I need to know about them and I know
that they're too limited for my taste
now it if you're looking to just save money on commissions than these could be
for you
but for me there they're way too limited and so I'm not going to personally
recommend using them for more advanced traders alright then speaking of trading
and investing if you like some help putting together trading plan or if you
just have questions about about finance stocks options and anything like that
feel free to contact me my name is David Modell and you can contact me at David
Modell @ gmail.com if you like this video please give it a thumbs up on
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also please by all means leave comments I like to read your comments so thank
you so much i hope this was helpful and i'll talk to you soon