"In the interest of mitigating risk for our company and clients, we have put in place several restrictions on some transactions in $GME [GameStop], $AMC [AMC Theaters] and other securities," reads the TD Ameritrade message.
Why would a financial institution prevent their clients from trading a specific security?
It would out of place for the financial institution to forcefully obligate their clients to follow some risk mitigation guideline, so I'm surprised that "mitigating risk for our clients" is one of the two given reasons. Regarding the second given reason, how does that mitigate the risk for the company? Too many customers getting margin called at once?