Square's cash app is joining the herd and coming after Robinhood with zero-fee trading. The service will also offer fractional share purchases.
Square said the feature will be rolled out to customers in the coming weeks. Its brokerage services will be done in-house through Cash App Investing LLC. Square is joining a growing crowd of companies lowering the barriers to investing. Charles Schwab Corp. SCHW, +0.26% announced earlier this month it will cut commissions on trades to zero, and TD Ameritrade Holding Corp. AMTD, +0.49% and E-Trade Financial Corp. ETFC, +0.73% followed suit. Schwab has also said it will start offering fractional trades. Square generated buzz for the Cash App when it started allowing bitcoin purchases through the service two years ago, but investors were surprised when the company first gave a peek into the financials behind that feature, which showed only a slim margin related to bitcoin activities.