Robinhood raises trading limit on five companies (updated)
02/02/2021 16:51
(Adds details from blog, background)
Feb 2 (Reuters) - Online trading platform Robinhood said on
Tuesday it had raised trading limits on stocks of five
companies, including GameStop Corp GME.N and AMC Entertainment
Holdings Inc AMC.N .
The trading limit on GameStop shares was increased to 100
from 20, while restrictions on Express Inc EXPR.N , Naked Brand
Group Ltd NAKD.O and Nokia NOK.N were also eased, according
to an update on Robinhood's website.
The online broker, one of the hottest venues in last week’s
retail-trading frenzy, had put temporary buying restrictions on
a small number of securities as clearing house-mandated deposit
requirements for equities increased ten-fold.
The move had drawn the ire of retail investors who were
pouring money into certain stocks that were being heavily
shorted by hedge funds following calls by Reddit thread
WallStreetBets. urn:newsml:reuters.com:*:nL1N2K4076
However, Robinhood still recorded more downloads than any
other U.S. trading app last week, according to market research
data providers. urn:newsml:reuters.com:*:nL1N2K8002
(Reporting by Niket Nishant in Bengaluru; Editing by Aditya
Soni)
((Niket.Nishant@thomsonreuters.com;))