The rise of discount brokers in the last decade and a volatile stock market has attracted a plethora of retail equity traders. This trend makes publicly listed brokerage platforms such as Robinhood (NASDAQ:HOOD) and Fidelity Information Services (FIS) top bets for investors. Let’s see which between the two is a better stock to buy right now.In the last 18 months, the number of retail traders investing in the equity markets has increased at a rapid pace. This trend can be attributed to the rise in the number of discount brokers as well as access to multiple valuation and investing tools provided by various platforms.
Another factor that is driving the increase in the number of active investors is the underlying volatility in the stock markets all over the world due to the ongoing pandemic and the spectacular snapback rally witnessed in the aftermath of the bear market of early 2020.
This makes publicly-listed brokers an attractive option for investors. Today I’ll analyze 2 such brokers, Robinhood (HOOD) with an established player like Fidelity (FIS), to see which stock is a better buy.