Robinhood (NASDAQ:HOOD) has turned on the feature to enable extended hours of securities trading.
The new feature was revealed earlier this month and turned on yesterday. Account holders may now trade during pre-market hours (7AM to 9:30AM ET) and post-market hours (4PM to 8PM ET) allowing for more flexibility. As news regarding listed firms is typically released before market open or after market close, this will allow retail investors to react before the full market opens. Previously, Robinyood offered extended hours trading from 9 a.m. to 9:30 a.m. ET and 4 p.m. to 6 p.m. ET. Robinhood has stated that its intent is to eventually allow 24/7 trading – just like crypto markets – a service that Robinhood offers as well.
Robinhood has created an information page regarding extended hours noting that securities traded during these periods may encounter heightened volatility as well as less liquidity.
Robinhood is a social marketplace that has helped to encourage a new generation of investors to participate in the market as well as simplifying the ability to trade crypto – a service popular with the younger generation.
Yesterday, it was announced that Robinhood is expanding into Europe with the purchase of UK-based neobank Ziglu, a strategic move that should help the company scale significantly over the next year.
Shares in Robinhood have bounced around its 52-week low, far off its all-time high and below its IPO price. Robinhood must convince investors it can compete in a market that is becoming more crowded while executing on its global ambitions if it wants to regain some of its lost shareholder value.