Robinhood denies claims that it sold GameStop shares out from under its traders

Re:Robinhood denies claims that it sold GameStop shares out ... by hmaxwell on Friday January 29, 2021 @05:37PM (#25963683)

I think the way it works now is great, being able to go short on naked options with a proper margin maintenance is way smarter than restricting everyone to go long on options or only allow people to sell calls on covered options (which kind of defeats the purpose of a bearish position when you are required to hold the deliverables).

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Re:Robinhood denies claims that it sold GameStop shares out ... by manigandham on Friday January 29, 2021 @05:52PM (#25963868)

A bearish position is to be long on puts. You don't need to write options, especially naked options which are usually the highest tier of access on every broker and require extra agreements.

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Re:Robinhood denies claims that it sold GameStop shares out ... by hmaxwell on Saturday January 30, 2021 @08:46AM (#25969009)

If you only go long on options, theta is eventually going to catch up with you.

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Re:Robinhood denies claims that it sold GameStop shares out ... by kllrnohj on Friday January 29, 2021 @05:44PM (#25963779)

For a mass-market low-education target demographic? The defaults matter here.

Retail investors shouldn't be restricted from having such capabilities, but that doesn't mean it should be the default

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Re:Robinhood denies claims that it sold GameStop shares out ... by didibus on Saturday January 30, 2021 @01:54AM (#25966907)

Maybe I'm missing something, but what's the problem with this being the default?

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