The Robinhood stock bans expanded to 50 high-profile Reddit names, placing trade restrictions on everything from GameStop (NYSE:GME) for Advanced micro devices (NASDAQ:OMG) With Robinhood’s bans inciting anger and moving the market, what should you know now? And what are the 50 actions on the shortlist?
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Yesterday, Robinhood announced in a blog that he would completely stop new purchases of GameStop and seven other actions. Annoying celebrities and retail investors, the move eventually resulted in class action. Despite everything, the company said its decision was to protect regular investors from losing too much money. However, many saw it as a way to protect short selling hedge funds from future losses.
Today, these restrictions continue. As it stands, Robinhood has restricted trading to 50 different stocks. Investors now face aggregate limits on how many new shares they can accumulate. Here are some of the names on the list:
- American Airlines (NASDAQ:AAL) – a new share
- First Majestic Silver (NYSE:AG) – a new share
- AMC Entertainment (NYSE:AMC) – a new share
- Advanced micro devices (NASDAQ:OMG) – a new share
- Blackberry (NYSE:BB) – a new share
- Bed, bathroom and more (NASDAQ:BBBY) – a new share
- Beaver Maritime (NASDAQ:CTRM) – five new shares
- Express (NYSE:EXPR) – five new shares
- GameStop (NYSE:GME) – a new share
- Gran Tierra Energy (NYSEMKT:GTE) – five new shares
- Jaguar Health (NASDAQ:JAGX) – five new shares
- Koss (NASDAQ:KOSS) – a new share
- Modern (NASDAQ:MRNA) – a new share
- Naked Brand (NASDAQ:NAKD) – five new shares
- The9 (NASDAQ:NCTY) – a new share
- Nokia (NYSE:NOK) – five new shares
- Rolls Royce (OTCMKTS:RYCEY) – five new shares
- iShares Silver Trust (NYSEARCA:SLV) – a new share
- Sundial Growers (NASDAQ:SNDL) – five new shares
- Tootsie Roll (NYSE:TR) – a new share
- Trivago (NASDAQ:TRVG) – five new shares
- Drudge (NASDAQ:WKHS) – a new share
- Qualtrics (NASDAQ:XM) – a new share
You can see the full list on the Robinhood website here.
What to know about Robinhood’s new stock bans
So, what do you really need to know about Robinhood’s new bans?
Essentially, the trading platform has massively expanded its restrictions on top names to a broad group of popular stocks. The new list ranges from GameStop and AMC Entertainment to Workhorse and even Churchill Capital IV (NASDAQ:CCIV), which many think will take Lucid Motors public.
Essentially, if you want to open a new position in one of these shares, you can only add a defined number of shares. In addition, this is not an order limit, but an aggregate limit that all customers face. In addition, investors cannot buy fractional amounts of these shares and face restrictions on options trading.
According to Robinhood, these changes are due to the continuing volatility of the market. With a collective action running and the criticisms sounding loud, keep an eye on the news. And when looking to the future, consider the benefits of decentralized financial stocks like these four options.
As of the date of publication, Sarah Smith did not (directly or indirectly) hold any positions in the securities mentioned in this article.
Sarah Smith is a producer of web content at InvestorPlace.com.