Robinhood Reports More Monthly Transactions Than Rivals Charles Schwab, Combined E-Trade

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Robinhood has joined the rest of the brokerage industry by posting monthly trade data on Manday. The start-up beat them all – at least by one measure.Robinhood recorded 4.3 million daily average earnings trades, or DARTS, in June, the company told CNBC on Monday. This is the first time that the start-up has shared monthly totals. Robinhood’s debut total was higher than that of any major incumbent brokerage, and more than E-Trade and Charles Schwab combined.

According to the company’s monthly report, TD Ameritrade recorded the second highest monthly total at DART 3.84 million. Interactive Brokers saw 1.8 million DARTs in June, followed by Charles Schwab and E-Trade with 1.8 million and 1.1 million, respectively.

So-called DARTs are still a key industry standard for measuring client transactions, even if they no longer charge commissions. Robinhood’s DARTs in the second quarter more than doubled from the previous three months, according to the company. The best three days based on trading volume were in June 2020.

The new disclosures, first reported by Bloomberg, come just days after Robinhood announced it was removing certain customer data from its site. A Robinhood spokesperson told CNBC it will no longer release the number of customers holding a particular stock because that data was often “misinterpreted” and “misunderstood” and was not representative of how the customers use Robinhood. It also plans to restrict access to its API, which had been used by third-party sites like RobinTrack.com to show retailer interest in stocks like Virgin Galactic and Kodak.

“When we look at customer behavior over time, many Robinhood customers use a ‘buy and hold’ strategy,” a Robinhood spokesperson said, adding that as customers spend more time on the platform , “Most of them buy more stocks than they sell”.

Robinhood had a record year with 3 million new accounts receivable at the start of 2020. It also announced the closing of a Series F funding round that took its valuation to $ 8.6 billion. Still, Robinhood has had its share of growing pains. On the one hand, the start-up experienced several days of hiatus in March, which it attributed in part to record trading volume and volatility. Robinhood has also made it more difficult to access its offering of options following a client’s suicide.

Robinhood is not the only commercial company experiencing record growth. All of its listed competitors more than doubled their trading volume year over year in the second quarter. TD Ameritrade recorded the largest increase in DART, at 312% compared to the same quarter last year.

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