Robinhood pays $65 million SEC fine – Two Sigma’s risk-analysis tool shows big uptick – Intuit-Credit Karma deal closes

Robinhood pays $65 million SEC fine – Two Sigma’s risk-analysis tool shows big uptick – Intuit-Credit Karma deal closes

Happy Friday!

Big news on Thursday was Robinhood getting hit with a $65 million fine to settle a probe from the Securities and Exchange Commission over misleading communications to its customers.

In short, from 2015 to late 2018 Robinhood didn't properly disclose it received payment for order flow (a common industry practice of selling clients orders to trading firms to execute). The SEC alleged the fintech also falsely claimed its execution quality was as good, or better, than competing brokers. Robinhood's prices were actually worse for customers, costing them a total of $34.1 million, according to the SEC.

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Two Sigma has seen take-up surge for its risk-analysis tool Venn this year























David Siegel, co-founder of Two Sigma Investments LP speaks on September 13,2017 in New York, USA.





Misha Friedman/Getty Images





As money managers' margins continue to get compressed, firms are looking for new lines of business.

For