October 24, 2018
Dear Robinhood client:
We are pleased to share that we have entered into a new clearing and custody arrangement
with Robinhood Securities LLC (“Robinhood Securities”), a securities clearing firm and
FINRA/SIPC member broker-dealer and an affiliate of Robinhood Financial, LLC (“Robinhood
Financial”). Effective on or about November 10, 2018, the custody of your Robinhood Financial
account will transfer from Apex Clearing Corporation (“Apex”) to Robinhood Securities (the
“Conversion”).
We are very excited about the benefits this new relationship will provide to you. We believe that
this transition to Robinhood Securities as our clearing firm will improve your overall experience
and enhance our ability to meet your investment needs. Robinhood Securities is a
FINRA-registered clearing and execution firm who presently clears exclusively for Robinhood
Financial.
As our clearing agent, Robinhood Securities will perform certain centralized cashiering,
bookkeeping, and trading functions for your cash and margin accounts. In addition,
Robinhood Securities will handle the delivery and receipt of securities purchased or sold by
clients, receive and distribute dividends and other distributions, and process exchange
offers, tender offers, and redemptions.
Prior to the Conversion, your ACH cash transfers between your bank and your brokerage
account will continue to be sent to Apex. Beginning on the date of the Conversion, your ACH
cash transfers will be directed to Robinhood Securities. You do not need to make any changes
to your banking instructions. We will handle this change as part of the Conversion. For the
month immediately following the Conversion, you will receive two account statements. The
first will be from Apex, showing account activity and the transfer of all your investment
positions. The second will be from Robinhood Securities, showing account activity and the
receipt of all your investment positions.
Inquiries and all correspondence regarding your account should continue to be directed to
Robinhood Financial. As our clearing firm, Robinhood Securities will also extend credit for the
purchase or sale of securities in margin accounts in accordance with the margin agreement
between you and Robinhood Securities. Your account assets are, and following the Conversion
will continue to be, protected by the Securities Investor Protection Corporation (“SIPC”).
Robinhood Markets, Inc.
85 Willow Road, Menlo Park, CA. 94025
www.robinhood.com
October 24, 2018
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Shortly after the Conversion, the cash balances and security positions in your account will
be transferred to Robinhood Securities. There will be no cost to you for the transfer of your
account to Robinhood Securities.
If you do not wish to have your account transferred to Robinhood Securities, you should
promptly make arrangements to have the cash and securities in your account transferred to
holdings before the deadline of November 23, 2018. All transfer fees will be waived.
However, following November 23, 2018, you may still close your Robinhood account and
transfer your assets, but standard account transfer fees will apply.
Account Maintenance:
You may receive a disclosure either in your app or via email, with a link to new account
maintenance forms that are required for Robinhood Securities to properly administer and
maintain your account. Please complete and electronically sign these documents at your
earliest convenience. We are committed to complying with the Securities and Exchange
Commission’s regulations with respect to Privacy of Consumer Financial Information
(Regulation S-P) in connection with the transfer of your account.
If you should have any questions regarding the status of your account, please feel free to
arrangement with Robinhood Securities and look forward to moving forward together. Thank
you for allowing us to continue to serve your investment needs.
Sincerely,
The Robinhood Team
