Robinhood’s CEO, representatives of key financial regulators and some of the forces behind GameStop’s stock frenzy are scheduled to attend the House Financial Services Committee hearing on the stock rally driven by Reddit, according to a preliminary plan obtained by The Hill.
The Financial Services hearing, scheduled for February 18, will be divided into two panels: one featuring government and industry investment regulators, and the other focused on companies and investors central to last week’s stock market chaos.
The provisional plan for the hearing is not yet closed, but it would start with a panel including representatives from the Securities and Exchange Commission (SEC); the Financial Sector Regulatory Authority (FINRA), the self-financed internal regulator of the securities sector; and Depository Trust and Clearing Corp. (DTCC), the clearinghouse used by Robinhood to finalize stock transactions carried out on its platform.
A second panel would include Robinhood CEO Vlad Tenev, representatives of commercial groups in the financial industry and a Reddit executive.
Chairman of the Chamber’s Financial Services Committee Maxine Waters
Maxine Moore WatersLawmakers remembers actress Cicely Tyson Lawmakers tore Robinhood’s decision on GameStop Robinhood faces reaction from both parties for limiting negotiations MORE (D-Calif.) Confirmed in an interview on Thursday with Cheddar that she wanted Tenev to testify, along with representatives from GameStop and Reddit. She also said she wanted Keith Gill, a leading Reddit trader behind the GameStop rally, to attend the committee, but added that some guests have yet to respond.
The Hill reached spokesmen for Waters and Rep. Patrick McHenry
Patrick Timothy McHenryOn The Money: Five questions about the controversial GameStop | Biden and Yellen call for swift action on new aid Lawmakers highlight need for financial education to improve credit The Hill’s Morning Report – Biden advocates legislative patience, urgent action amid the crisis MORE (NC), the main Republican on the Financial Services panel, for comment. Robinhood declined to comment.
Waters announced the Chamber’s hearing last week, saying it would “examine recent activity around GameStop (GME) shares and other impacted stocks focusing on short selling, online trading platforms, gamification and their systemic impact on our capital markets and retail investors. “
– Alex Gangitano contributed