I was/am thinking of using Robinhood for trading as I paid over $2000 in commissions in 2018.
The question I have is not about security of my money. I know they are insured.
The question I have is what happens in the case they are bought out or close up shop. If I have hundreds of small positions in various stocks, would I be given time to close these out? What if I didn't want to close them out for tax reasons? Would I have to pay $49 or some ridiculous charge to transfer the stock to another broker...for each stock? What about covered calls? If I had 100 shares of XYZ with a call sold against it, what would happen to this covered call if the broker closed up? Would there be a fee to transfer it?
Is this a reasonable thing to consider or am I being paranoid?
The question I have is not about security of my money. I know they are insured.
The question I have is what happens in the case they are bought out or close up shop. If I have hundreds of small positions in various stocks, would I be given time to close these out? What if I didn't want to close them out for tax reasons? Would I have to pay $49 or some ridiculous charge to transfer the stock to another broker...for each stock? What about covered calls? If I had 100 shares of XYZ with a call sold against it, what would happen to this covered call if the broker closed up? Would there be a fee to transfer it?
Is this a reasonable thing to consider or am I being paranoid?