Webull Review 2024: Overview, Pros and Cons
Written by
David Granahan
Edited by
Emily Gadd
Commitment to Our Readers
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20 Years
Helping You Live Richer
Reviewed
by Experts
Trusted by
Millions of Readers
GOBankingRates Score
-
Cost/Fees
4.5
-
Tools
4.8
-
Cryptocurrency
3.5
-
Mobile App
4.0
Pros
- Comprehensive trading features
- Commission-free trading for most assets
- Low fees on options and futures trades
- Extended-hours trading available
Cons
- Crypto trading only available through Webull pay
- Must pay for more advanced market research data
- Trading interface may overwhelm some beginners
- Accepts Payment for Order Flow
Webull Overview
Webull is a technology-first trading and investment platform. It has IRA plans as well as regular brokerage accounts. Webull’s range of products includes:
- Stocks
- Fractional shares
- Exchange-traded funds
- Options
- Futures
- American depositary receipts — certificates issued by banks for investors to get foreign asset exposure
- High-yield cash management account
- Robo-advisor service
Webull Key Features
Here are some of Webull’s most notable features.
Costs and Fees
Webull itself doesn’t charge any account fees or commissions for trading stocks, ETFs or standard options. However, certain regulatory bodies charge minor fees on buying and selling that are passed on to cover basic costs.
Index options — which track a particular market or sector — carry a fee per contract bought and sold. The amount depends on the index chosen. A full breakdown can be found on the Webull website.
For both deposits and withdrawals, there are no user fees for Automated Clearing House transactions from a U.S. bank account. Domestic wire transfers incur an $8 fee, or $12.50 if it’s an international payment for deposits. Higher fees are charged for domestic and international withdrawals by wire transfer — $25 and $45, respectively.
There is no cost to a customer for transferring existing ownership of stocks to Webull, but outgoing transfers generate a $75 fee.
Tools
Traders can take advantage of Webull’s comprehensive suite of tools, including:
- Relevant market data
- Real-time news
- Extensive charting solutions
- Learning resources
- The ability to create hotkeys
- 60 technical indicators, infographics for earnings and alerts can be set up too
Webull is also built for multiscreen trading on desktops and has a paper trading platform for beginners. An additional benefit is the ability to trade premarket and in the after-hours market.
Thanks!
IRA Match
Following in the footsteps of Robinhood–Webull is offering matching funds for IRA deposits made by June 30, 2024. Webull is paying a 3.5% match on all deposits and incoming transfers from other brokers. This limited-time offer can earn users thousands in matching funds–depending on the size of the IRA being transferred over.
But the matching funds are paid out in installments–with deposits being made in 20% increments over the course of five years. You’ll lose out on the bonus funds if you close your account or transfer funds off the platform to another broker before the five years is up.
High-Yield Cash Account
The Webull Cash management account offers 5.0% APY on all balances–with no monthly fees or account minimums. This account is FDIC-insured and is available to any existing Webull user. It doesn’t come with a debit card or ATM access–but is similar to a savings account.
If you’re a new customer–you’ll need to open a Webull brokerage account at the same time as a Cash Management account–and you’re required to have a brokerage account to open this cash account. This is because this account acts as the holding place for your cash to be invested–and is less like a bank account–and more like a cash settlement account.
Margin Rates
Webull offers competitive margin rates–especially for those with larger margin loans. Rates are under 10.00% for all balances–and drop as low as 5.74% for those borrowing $3 million or more. Here are the current rates:
| Debit Balance | Annual Margin Rate |
|---|---|
| $0-25,000.00 | 9.74% |
| $25,000.01-100,000.00 | 9.24% |
| $100,000.01-250,000.00 | 8.74% |
| $250,000.01-500,000.00 | 8.24% |
| $500,000.01-1,000,000.00 | 7.24% |
| $1,000,000.01-3,000,000.00 | 6.74% |
| ＞$3,000,000.00 | 5.74% |
Crypto Trading
Webull was once known for its crypto trading–but has since cut its offering down to only eight cryptocurrencies available through the Webull Pay app only. Webull has outsourced to a third-party exchange for trading crypto, and only the following cryptocurrencies are available to buy and sell on the Webull Pay app:
- Bitcoin
- Ethereum
- USDC
- Dogecoin
- Litecoin
- Shiba Inu
- Bitcoin Cash
- Ethereum Classic
Users are charged a flat 1.00% fee for trades. Crypto is held by third-party partner Bakkt–but you cannot take custody of your crypto–it stays on the platform.
Mobile App
Webull is available for download on the App Store and on Google Play, where it has been rated 4.7 stars and 4.3 stars, respectively. It has all the same functionalities as on a tablet, desktop or browser, so users can choose what type of device they want to use based on their preference.
Tradable Assets
Webull offers a decent selection of tradable assets, including:
- U.S. stocks
- ETFs
- U.S. Stock Options
- U.S. Index Options
- Futures
- Margin trading
- Over-The-Counter trades
- American Depository Receipts (ADRs)
Most of these assets have no commissions charged by Webull–and only options and futures trading come with trading fees.
Notable absences from Webull’s asset selection are mutual funds and individual bonds.
How Does Webull Stand Out?
Webull has courses for its members to educate them on financial products, and it also has paper trading integrated. Additionally, Webull is offering new users up to 20 free fractional shares when they open an account and deposit $500 to $24,999.99.
Webull Customer Service And Security
Webull offers phone support from 9am to 4:30pm EST, the same hours the stock market is open, but hold times may vary. There is no online chat support–but email support is available 24/7. You can also access help documentation through the website or mobile app at any time.
Webull also employs many security measures offered by top brokers and banks. There is 128-bit encryption online and the mobile app offers two-factor authentication and biometric access controls. Your money is protected by SPIC insurance–which includes up to $500,000 in protection of your investments, and $250,000 of protection of your cash deposits.
Additional protection is available through Apex Clearing Firm (where Webull routes trades), which includes up to $37.5 million in investment protection and $900,000 in cash protection.
Comparable Options to Webull
Here is an analysis of how Webull’s offering performs in relation to some of its closest competitors.
Robinhood
Webull and Robinhood offer fee-free trading and cryptocurrency trading starting from $1. In addition to this, Robinhood offers early access to initial public offerings and allows users to generate extra income from stock lending.
More recently, Robinhood launched its own crypto wallet for taking custody of crypto assets–while Webull does not offer this. Webull has better trading tools for traditional securities–but Robinhood is better for crypto trading.
M1 Finance
Both Webull and M1 Finance allow users to trade commission-free and pay 5.00% APY on cash accounts. And both offer outsource crypto trading in a very limited capacity through third-party exchange Bakkt. But M1 Finance is not a day-trading platform–and only executes trades a few times per day–while Webull has advanced trading tools and research.
M1 Finance is for long-term investors–while Webull is geared toward active traders.
How To Apply for Webull
To set up a Webull account, new users will need to visit its website or download the app on Google Play or the App Store.
The process requires filling out a few standard details from there. In general, account approval is completed within 24 hours.
Who Webull Is Best For
Webull is ideal for consumers who want to try their hand at day-trading stocks, ETFs, options, or futures. It is geared toward active traders and has a host of charting and analysis tools for even the most seasoned traders. Webull does offer retirement accounts and fee-free investing–but everything on the platform encourages you to actively trade.
Final Take
Webull offers everything expected from an investing platform. It has specialized in a handful of assets and trading tools to differentiate itself from rivals. With low fees, expanding products, a high-yield cash account, and security rivaling its competitors–Webull may be a good choice for beginner to advanced traders. If you’re a long-term investor or just want a simpler platform for investing–finding another broker may be a good choice.
FAQ
Here are some questions people often ask about Webull.- Can Webull be trusted?
- Webull is regulated by the Securities and Exchange Commission and is a member of the Financial Industry Regulatory Authority. However, it was fined by FINRA to the tune of $3 million for compliance issues when onboarding options trading customers.
- The Better Business Bureau has given Webull an F rating — it is not BBB accredited.
- Is Webull worth using?
- Webull is a good option for traders no matter their experience level. That said, some may opt to invest with a platform that has been better rated by the BBB.
- Is Webull owned by China?
- Webull Financial LLC is a subsidiary of Webull Holdings (US) Inc.which is a U.S. company. But its parent company, Fumi Technologies, is located in China.
- Is Webull safer than Robinhood?
- Webull and Robinhood offer the same customer protection: up to $500,000 for securities and $250,000 for cash in the event of a business failure. Robinhood has been criticized for its gamification of investing, which has the potential to encourage reckless decisions.
- Webull has received an F rating from the BBB, while Robinhood is rated an A-.
Jacob Wade contributed to the reporting.
Information is accurate as of June 28, 2024.
Editorial Note: This content is not provided by Webull. Any opinions, analyses, reviews, ratings or recommendations expressed in this article are those of the author alone and have not been reviewed, approved or otherwise endorsed by Webull.
