New York (CNN Business) Robinhood has lured inexperienced investors to its free-trading app with gaming elements such as colorful confetti and other aggressive marketing techniques, Massachusetts securities regulators alleged Wednesday. In a statement, Robinhood said it disagrees with the allegations in the complaint and plans to "vigorously" defend itself. The startup pointed to improvements made to its options offering, additional safeguards and enhanced educational materials. "Millions of people have made their first investments through Robinhood, and we remain continuously focused on serving them," the company said. "Robinhood is a self-directed broker-dealer and we do not make investment recommendations."

Source: CNN December 16, 2020 20:37 UTC