Challenger trading platform and meme stock venue of choice Robinhood Markets Inc (NASDAQ:HOOD) is seeing an influx of former TD Ameritrade (NASDAQ:AMTD) users who were forcibly moved onto Charles Schwab Corp (NYSE:SCHW)’s mobile app.
That is the opinion of Robinhood’s chief brokerage officer Steve Quirk, who told MarketWatch: “I very much anticipated this happening. We have already been the recipient of a lot of new accounts.
“People generally don’t like to be forced-migrated to an offering they are not choosing. It’s a good time for them to look around.”
Charles Schwab acquired TD Ameritrade (NASDAQ:AMTD) in 2020 and has been transitioning customers onto its trading app since. Schwab confirmed the final transitioning of customers on May 15.
We’re happy to welcome our final group of Ameritrade clients to Charles Schwab. We’re so glad you’re here!
To help you get the most out of your experience, we’ve created helpful guides, how-to videos & more. Log in to your Schwab account and get started. https://t.co/7PLujuxtAf pic.twitter.com/pVeQ9QWsF3
— Charles Schwab Corp (NYSE:SCHW) (@CharlesSchwab) May 15, 2024
Quirk said TD Ameritrade “had a decent mobile offering” but “Schwab’s sucks, and they know it”.
“It’s a concern, but you can’t fit it that quickly,” he added.
Users on social media platform X agreed.
“Why don't you scrap your app and stick your logo to the TD Ameritrade app? Why not? Your app is really not user friendly, really bad. Please just adopt the TD Ameritrade one,” one user Tweeted out to Schwab.
“THIS TRADING PLATFORM SUCKS, WHEN ARE MY DIVIDENDS SHOWING UP, PAY ME,” yelled another.
Another Xer said: “Why can't you just give us back the TD interface with your label on it?? Trading is so much harder. Option chains are a mess. They don't show open interest!! How are we supposed to know which contracts are liquid?? Your welcome will probably be short lived.”
Not all were as pessimistic, with one stating: “Lot of complaints from TD Ameritrade users recently being moved over to Schwab. After 20 years at TD I was moved over about a year ago and find Charles Schwab not only a better experience but better customer service. These complainers need to give a little time to adjust.”
Robinhood did not disclose how many former TD/Schwab users it believes it has taken on.