Chapter
The Importance of Small-Stock Options Trading Data
21:23 - 26:23 (04:59)
Small-stock options trading data is valuable to hedge funds and quantitative traders in real time, as it can provide insights into high volatility stocks and potentially help swing small stocks for greater gains. This type of data is often sold by traders through a practice known as payment forward order flow.
Clips
Payment Forward Order Flow is a practice in which brokerage firms sell the trade data information to hedge funds and quantitative traders before executing the trade that helps them in front running the market.
21:23 - 22:56 (01:32)
Summary
Payment Forward Order Flow is a practice in which brokerage firms sell the trade data information to hedge funds and quantitative traders before executing the trade that helps them in front running the market.
ChapterThe Importance of Small-Stock Options Trading Data
Episode#122 - Not Getting These Jobs Cost Us Millions
PodcastMy First Million
Robinhood's data selling practice is criticized due to the company highlighting options trades, which are usually high risk and high leverage trades, over the normal stock trades in its app.
22:56 - 24:58 (02:02)
Summary
Robinhood's data selling practice is criticized due to the company highlighting options trades, which are usually high risk and high leverage trades, over the normal stock trades in its app. However, the data from these small stock options trades is more important and valuable for traders and buyers enabling them to make more money in high volatility stocks.
ChapterThe Importance of Small-Stock Options Trading Data
Episode#122 - Not Getting These Jobs Cost Us Millions
PodcastMy First Million
A comparison between investing in Robinhood and gambling at a casino.
24:58 - 26:23 (01:25)
Summary
A comparison between investing in Robinhood and gambling at a casino. The speaker discusses how people should take responsibility for their own investment decisions, just like they do when gambling.