Reverse Stock Arbitrage

🎬 Watch: How RSA Works

📊 What is RSA (Reverse Stock Arbitrage)?

Stocks listed on major exchanges like the NASDAQ are required to maintain a minimum share price of $1.00. When a stock falls below that threshold, the company can perform a reverse stock split to bring the price back up. This creates a unique profit opportunity for savvy investors.

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What's a Reverse Split?

A reverse split consolidates multiple shares into one higher-value share. Example: A 1:10 reverse split converts 10 shares at $0.10 each into 1 share worth $1.00.

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How You Profit

Your brokerage rounds your fractional share to 1 full share.

Example: Your single $0.67 share will round up to the new single share amount of $6.70 meaning you profit $6.03 per account, this is in the case of a 1:10 split which is most typical.

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The Key to Success

You can do this only once per account and per stock, so you can exponentially increase your profits by opening up multiple accounts on multiple brokerages.

So if you have 20 accounts suddenly your profit turns into $6.70 x 20 Accounts = $134.

🎯 My Real Profit Example

At the time of this example, I was operating 25 accounts. Here's what I made on 07/02/25:

RSA opportunities typically occur 1-2 times per week with multiple stocks available.

Fly-E Group Inc

NASDAQ: FLYE

1:5 Reverse Split on 07/03
Current Price: $0.89
Expected Profit: $3.56 per account

Total: $3.56 x 25 = $89.00

BioVie Inc

NASDAQ: BIVI

1:10 Reverse Split on 07/03
Rounding Fractional Shares
Current Price: $0.97
Expected Profit: $8.73 per account

Total: $8.73 x 25 = $218.25

Lulu's Fashion Lounge Holdings Inc

NASDAQ: LVLU

1:15 Reverse Split on 07/03
Rounding Fractional Shares
Current Price: $0.33
Expected Profit: $4.62 per account

Total: $4.62 x 25 = $115.50

💰 Total Profit in One Day

$422.75!

⚠️ Is There Any Risk?

✅ Profit Risk

Minimal—you'll typically profit on every trade. In the worst case, you receive a fractional share where you will break even or at most lose a couple of cents per share.

⚠️ Risk of Account Bans

There is a small risk if you abuse the system with excessive accounts. Users with 100+ accounts have been banned from Apex-backed brokerages. If you have important accounts (like a 401K with Fidelity), avoid creating 100+ accounts there.

Most people doing this as a side hustle won't face issues and can profit reliably. As with any side hustle—whether sweepstakes, stocks, or crypto—there's always some risk. Assess what you're comfortable with. Personally, I've used this method and have been happy with the results.

🤝 Greenseed — Two Ways to Profit

Greenseed offers two subscription tiers so you can choose the option that fits your needs.

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Full Automation — $75/month

The automated program purchases and sells RSA stocks for you across all your connected accounts. Includes Mirror Trading for hands-free execution, multi-brokerage support, and the AI Call Research Tool. Best for users running 20+ accounts where automation saves massive time.

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Alert Signals — $25/month

A discounted tier for users who want to trade RSA manually. Get access to all the same calls that automated members receive so you can purchase or sell them yourself. Also includes access to the new AI Call Research Tool unique to Greenseed's Discord, meaning more calls and more opportunity. Perfect if you're new to RSA or prefer to run it manually.

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Multi-Brokerage Support

Currently supports: Fidelity, Fennel, Robinhood, Sofi, Public, and WellsTrade (more coming soon).

📸 Greenseed Platform Preview

Dashboard View

Portfolio View

Accounts View

Screenshots from the Greenseed trading platform showing the dashboard, portfolio allocation, and multi-account management.

❓ Frequently Asked Questions

How much money do I need to start?

Very little. You only need to purchase 1 share per account per opportunity, which often costs less than $1. Most people put around $10 per account to make sure they have enough to cover all calls. The main cost is a Greenseed subscription: $25/month for alert signals (manual trading) or $75/month for full automation.

How many accounts should I open?

The more accounts you have, the more you earn per opportunity. Most users start with 10-25 accounts. The full list of supported brokerages can be found on the Greenseed Discord.

How often do RSA opportunities happen?

RSA opportunities typically occur 3-5 times per week during busy seasons and 1-2 times per week during less busy seasons, often with multiple stocks available in a single opportunity. The Greenseed service alerts you to upcoming reverse splits so you can prepare.

Is RSA legal?

Yes, purchasing stocks and benefiting from reverse split rounding is completely legal. You are simply buying shares before a corporate action and receiving the standard rounding treatment that all shareholders get.

What brokerages work with Greenseed?

Greenseed currently supports Fidelity, Fennel, Robinhood, Sofi, Public, and WellsTrade, with more brokerages being added regularly. Check the Greenseed platform for the latest supported brokerages.

Can I lose money with RSA?

The risk is minimal. In the best case, your fractional share rounds up and you profit. In the worst case, you receive a fractional share where you will break even or at most lose a couple of cents per share.