Palo Alto based free stock trading app Robinhood has just announced its premium feature set, Robinhood Gold. For $10/month, users can skip the three-day waiting period with instant deposits and reinvesting, trade 30 minutes before and 2 hours after the market is open, and borrow up to double the money in their account to trade on margin with leverage.
“Robinhood Gold is to our core product as Amazon Prime is to Amazon” says Robinhood co-CEO Baiju Bhatt. “It makes it better in a consistent way for people who use the product a lot.” At first, Robinhood Gold will roll out to about 15% of the app’s user base, and extend from there to other qualified users after testing. Gold users won’t have to wait three days for the ACH transfers to process when they fund their Robinhood balance from their bank account, or when they sell stock and want to buy more stock with the proceeds. Pre- and post-bell trading gives smaller investors an option to trade on after-hours news like earnings reports. Trading from 9am to 9:30am when markets open and from 4pm to 6pm after they close was typically reserved for big institutional investors.