- No commissions on the trading of stocks, options, or ETFs
- Has a trading simulator
- Supports margin trading, day trading, and short sales
- Has generous sign up bonuses
- Very limited customer support
- Does not offer a cash account or mutual funds
- Does not support recurring deposits
- Does not support fractional shares
If you’re an experienced investor looking for a simple trading platform that charges no fees, Webull may be the broker you been looking for.
It’s available in both web and mobile apps and enables you to trade stocks, options, and exchange-traded funds commission-free. The platform even accommodates day trading. And right now, they are offering very generous sign-up bonuses on both taxable brokerage accounts and IRAs.
Based in New York City, Webull began operations in 2018. It’s both an online and mobile trading app that allows you to trade stocks, exchange-traded funds and options commission-free. They’re also planning to roll out trading in cryptocurrencies in the near future.
The platform is designed for self-directed investors who need minimal customer support. Though it offers a significant number of online investing tools and resources, those are a good bit more limited than those offered by well-known brokerage companies. For that reason, the platform is not reasonably suited for new- or intermediate-level investors.
But if you are a seasoned investor, you can open an account with no minimum initial investment, and even take advantage of two separate and very generous promotion offers currently available.
The company has a rating of 4.3 stars out of five, by nearly 53,000 users on Google Play, and 4.7 stars out of five by more than 20,000 users on The App Store.
Minimum initial investment: $0 for a Cash Account, or $0 to $25,000 for a Margin Account.
Available accounts: Individual taxable accounts and traditional, Roth, and rollover IRAs. Please note that joint accounts and custodial accounts are not available.
Investments offered: Stocks, exchange-traded funds (ETFs), and options. Foreign stocks cannot be traded directly, however, you can invest in foreign companies through American Depositary Receipts (ADRs). Webull will be offering cryptocurrency trading soon, including Bitcoin, Ethereum, Bitcoin Cash, and Litecoin, though no specific timetable has been offered.
Pre- and Post-market trading availability: You can place pre-market trades from 4:00 am to 9:30 am, and from 4:00 pm to 8:00 pm on regular trading days (all times Eastern).
Availability: All 50 states and outlying US territories.
Webull mobile app: Available for both Android and iOS mobile devices.
Customer service: Available only by email, however, the platform offers 24/7 online help.
Account protection: Provided by the Security Investors Protection Corporation (SIPC) for up to $500,000 in securities and cash, including up to $250,000 for cash. There is additional insurance provided through Apex Clearing for securities and cash up to an aggregate of $150 million, subject to maximum limits of $37.5 million for any one customer’s securities, and $900,000 for any one customer’s cash.
Webull offers taxable investment accounts and IRAs. Two types of accounts, Cash Accounts and Margin Accounts, are available for taxable investment accounts. Cash Accounts are regular trading accounts and do not permit you to use margin. Only Cash Accounts are available for IRAs.
Margin Accounts enable you to borrow for investing, enabling you to buy larger amounts of stock using leverage. If your account has at least $2,000 in net value, you’ll get up to four times day-trading buying power, and two times overnight buying power. There is, however, no leverage if your account balance is a net value under $2,000.
Webull offers individual taxable accounts as well as IRAs, but not joint accounts, custodial accounts, or trusts.
To open an IRA account, you will first need to open a regular brokerage account, then add an IRA account.
How Webull Works
Webull is available in a web-based version as well as mobile apps for iOS and Android users. The platform offers trading in thousands of stocks and ETFs, though they must be listed on US exchanges. Investing in foreign stocks is limited to purchasing through ADRs. But the platform has recently added the availability of options trading and plans to roll out cryptocurrencies in the near future.
You can trade using market orders, limit orders, stop orders, and stop-limit orders. The platform offers real-time market information and stock quotes, and also provides a stock screener tool and watchlist.
It also offers a trading simulator to help you learn how the platform works, as well as to improve your trading skills. You can do this using paper money in the simulator, rather than real money. Overall, however, the tools and resources offered by Webull are more limited than what you will find with large, well-known brokerage firms. It’s designed primarily as a no-fee trading platform for experienced investors.
Webull Pricing and Fees
Webull has zero trading commissions across the board, though there may be certain regulatory and exchange fees charged on transactions.
Stocks and ETFs: Webull has no commissions for trading stocks or ETFs. But there are regulatory fees charged with sales transactions, as is the case with all brokers. The SEC Trading Fee is a minimum of $0.01, while the FINRA Trading Fee is a minimum of $0.01 to a maximum of $5.95 per sale.
American Depositary Receipts (ADRs): ADRs are used to facilitate the trading of stocks listed on foreign exchanges. The fee for ADR trades is between $0.01 and $0.03 per share will apply.
Options trading: There are no fees for options trades charged by Webull. But there are fees charged by regulatory agencies and exchanges as follows:
Wire fees: The fees for wire transfers are as follows:
- Deposit by US domestic wire: $8
- Withdrawal by US domestic wire:$25
- Deposit by international wire: $12.50
- Withdrawal by international wire: $45
Stock transfers: There is no fee to transfer stocks into a Webull account, but there is a $75 charge for each outgoing transfer.
Margin interest rates are as follows:
- $0 to $25,000 – 6.99%
- $25,000.01 to $100,000 – 6.49%
- $100,000.01 to $250,000 – 5.99%
- $250,000.01 to $500,000 – 5.49%
- $500,000.01 to $1 million – 4.99%
- $1 million to $3 million – 4.49%
- Over $3 million – 3.99%
IRA Account fees: There are no fees charged to open, maintain, or close an IRA account.
Webull Current Promotions
I love a good brokerage promotion and Webull has two!
Webull is offering two free stock promotions:
1. Free stock when you open an investment brokerage account:
- Complete your account opening process within 24 hours, and you’ll receive a free stock valued at between $2.50 and $250.
- Make an initial deposit of $100 or more within 30 days of opening your and you’ll receive a second free stock valued at between $12 and $1,400.
The stocks will be in US-based companies with a minimum market capitalization of $2.5 billion, and trading on the New York Stock Exchange or NASDAQ. Which exact stock you receive will be decided at random by a computer algorithm. Once offered, you’ll have 30 days to claim the stock, and it will be credited to your account within seven trading days after the claim. Once received, the stock will be yours to either hold or sell at your discretion.
Webull will also reimburse up to $100 in ACAT transfer fees for an initial account transfer of $2,000 or more.
2. A tiered bonus of up to $330 when you open a new IRA account. The bonus structure is as follows:
- $5,000 to $9,999 – $50
- $10,000 to $24,999 – $110
- $25,000 to $99,999 – $220
- $100,000 or more – $330
The bonus will be paid in the form of an Amazon gift card. Any required deposits into your account must be retained for a minimum of six months. The bonus will be paid 45 days after the eligible deposit has been made.
How to Open a Webull Account
To open an account, you’ll need to meet the following qualifications:
- Be 18 years or older.
- Have a valid Social Security number.
- Have a legal residential address in the US and outlying US territories.
- Be a US citizen, US permanent resident, or have a valid US visa.
The sign-up process is quick and can often be approved in less than an hour. However, the company does advise that the process can be extended if additional verification is needed.
You’ll need to link a US-based bank account to make transfers into and out of your account. The best funding method is wire transfer, which will typically require between one and five business days to complete. But you can also use ACH, which will take seven business days.
Important information for opening an IRA account. Before you can open an IRA account, you must first apply for and open a regular brokerage account. Once that account has been open, you can add an IRA account.
Webull Pros and Cons
- Webull offers no commissions on the trading of stocks, options, or ETFs.
- Margin accounts offer up to 4X leverage on day trades and overnight borrowing power up to 2X.
- Webull is currently offering a sign-up bonus of up to $1,400 in free stock for opening a taxable investment account, and up to $330 in Amazon gift cards for opening a new IRA account. They’re also offering $100 in reimbursement for transfer fees to move your account from another brokerage firm.
- Good for those looking for margin trading, day trading, and short sales.
- Webull has a trading simulator to help you learn their trading platform and improve your investment skills.
- Though it hasn’t been rolled out yet, the company will soon be offering trading in cryptocurrencies, which is not common among brokerage firms.
- The very limited customer support, investing tools and resources make the platform unsuitable to new- and intermediate- level investors.
- Does not offer a cash account, foreign stocks, over-the-counter (OTC) stocks, mutual funds, bonds, futures or Forex.
- Account types are limited to individual taxable accounts and IRAs. Joint accounts, trusts and custodial accounts are not available.
- Customer contact is limited to email – no phone contact is available.
- Webull currently does not support recurring deposits.
- The platform does not support fractional shares.
- Webull accounts are not available to non-US residents.
Should You Open an Account with Webull?
Webull is one of the better trading platforms for experienced investors. Not only does it provide no-fee trading in stocks, options, and ETFs, but it also has a generous margin program, and even accommodates day trading. You can trade as early as 4:00 am, and as late as 8:00 pm on regular trading days. The company is also planning to roll out trading in cryptocurrencies, which may be an excellent diversification for sophisticated investors.
Webull will not be suitable for new- and intermediate-level investors, because of the limited customer support and investing tools and resources. It also doesn’t permit trading in common investments, like bonds and mutual funds, nor does it offer a money market option.
But if you are an experienced investor, and you’re looking to trade commission-free, Webull should be on your short list of broker choices.