Robinhood Stock Slips on $29.75M in FINRA Fine, Restitution Payments | Global News Avenue

robbery(hood) On Monday morning, stocks fell as the market had the first chance to announce Friday that the online trading platform had been fined Financial Industry Regulatory Authority (FINRA).

The independent regulator said Friday it fined $26 million for violations and said the company would pay an additional $3.75 million to select customers as a restored state.

FINRA said the violations include Robinhood Clearing technology system. Robinhood also provides clients with “inaccurate or incomplete disclosures” around their policy changes Market orders to limit ordersit will compensate for this issue.

Robini “happy to solve” the problem

“We are pleased to address these historical matters, many of which date back to 2014, and since then, Robinhood Securities and Robinhood Financial have been restored,” said Erica Crosland, deputy attorney for Robinhood, in a statement. Investopedia.

Finra said that when accepting the fine, the online trading platform did not acknowledge or deny any misconduct. Robinhood’s fine was announced last month No punishment From the Securities and Exchange Commission investigation Its cryptocurrency exchange.

Robinhood shares fell about 7% Monday morning in pre-market trading. They have doubled their value over the past year, but have fallen more than 30% from their February 14 closing price, the highest closing price since Robinhood’s record-breaking 2021 IPO.