Webull review – Online Trading Platform
Pros
Positive aspects of the game- Easy and fast account opening process
- Advance trading tools
- Free ETFs, stocks, and options
Cons
The disadvantages we highlight- Only bank transfer available for withdrawal/deposit
- No mutual funds
Launched in 2017, Webull is a US-based fintech company offering discounted or zero-fee brokerage services. This company is regulated by FINRA (Financial Industry Regulatory Authority) and the US SEC (Securities and Exchange Commission). Webull also offers its services to the clients of China, India, Brazil, the Philippines, Turkey, the US, Japan, Korea, Malaysia.
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Regulation:
Trading is offered to the customers by a broker, Webull financial LLC that is registered with SEC (Securities and Exchange Commission). Webull Financial LLC is an official member of FINRA ( Financial Industry Regulatory Authority ), NYSE (New York Stock Exchange), CBOE EDGX ( Cboe EDGX Exchange, Inc), SIPC ( Securities Investor Protection Corporation), and NASDAQ.
SIPC protects the securities of its members worth up to $500,000 (involving $250,000 to claim for cash).
Available financial instruments:
There are many financial instruments available in which you can trade at Webull. Here are financial instruments described in detail:
Currency pairs(Forex):
Webull offers trading in major currency pairs but it allows forex trading only to non-US clients.
Options:
It is a contract between seller and buyer. It gives buyers the opportunity to sell or buy underlying assets before the specified date at a specific strike price. Options provide more opportunities to investors than traditional equity strategies.
Indices:
Webull gives access to all the major stock markets that include the few most liquid in the whole world.
Webull provides various options as you can access indices markets of the United States, Spain, the EU, the United Kingdom, Hong Kong, Australia, China, Japan, and Germany, along with Norway, Netherland, and more.
ETFs:
Webull provides access to hundreds of major ETFs for trading including some of the most liquid in the world.
Stocks and shares:
Due to its global market access, Webull provides plenty of diversification opportunities to trade shares.
In case of share stocks, customers can now trade in more than 5000 listed companies.This list includes some big names such as Google, Apple, Zoom, Tesla,Visa, NIO, and others.
Cryptocurrencies:
Webull supports cryptocurrencies trading in Ethereum (ETH), Litecoin (LTC), Zcash (ZEC), Bitcoin (BTC), Stella Lumens (XLM), and Dogecoin (DOGE) through apex crypto.
How to open your account:
The account opening process is fast, easy, and fully digital. Normally the account gets verified within 1-2 days.
Below are some steps you must follow to open an account:
- Install the platform and start the registration on the login screen. Click on signup to create an account.
- You will be asked to provide information in the application such as name, birth date, address social security number, etc.
- Provide your financial situation, employment information, and experience.
- Verify your identity by uploading a clear photo of your passport/ID.
- Select the account type (margin or cash).
- Review your given data
- Submit your application.
Account types:
Webull offers different types of accounts:
Individual brokerage account:
It is a general account that allows buying and selling assets and securities.
Cash account:
It is an account in which you must pay the full price of the securities you purchase. You can place the unlimited amount in your account. There are no day trades available. As well as it doesn’t provide short selling and margin trading.
Margin account:
It is an account where you can borrow money from the broker against the securities you own for buying additional securities. It is great for increasing your returns and leverage your investments. But at the same time, it can also magnify the losses. There are 3 types of margin accounts:
- In the first type, you can keep the net value of $0-$2000. 3-day trades are available in 5 business days. But it doesn’t support margin trading and short selling.
- In the second type, you can keep the net amount of $2000-25000. 3 day trades available in 5 business days. It provides margin trading of up to 4 times day trades and up to 2 times overnight. It also offers short selling.
- In the third type, you can keep equal to and more than $25000 in your account. Unlimited day trades are available. It offers margin trading of up to 4 times day trades and up to 2 times overnight. It also offers short selling.
Individual retirement account (RIA):
It is an account that enables you to deposit and invest your retirement funds.
Trading platforms:
Webull offers 3 different platforms to ease your activity. All the members of Webull have the ability to trade even during the pre-market or also after-hours trading time. Following are different trading platforms:
Desktop platform:
The desktop version needs to be installed on your computer. It supports 50 technical indicators, along with 12 charting tools.
Features:
- It provides in-depth market data
- Customers can alter the trading panel as they wish to unleash potential opportunities and trends for their investment strategies.
- It gives you complete access to trade, fund, transfer, etc.
- In addition, it provides a multi-channel trading terminal for Mac, Linux, and windows.
- Moreover, it has over 51 powerful widgets. The active trade widget on the desktop version allows you to place trades right away with a price ladder and large buttons to cancel all open orders, reverse your position and close all the positions with just a click.
- It also allows you to explore and practice trading strategies without using your real money through paper trading.
Web platform:
You don’t need to download the platform if you use a web platform. You can get free tools for research and analysis, real-time stock quotes, and trade functions. This platform is available for chrome, firefox, safari, and other major web browsers.
Webull app:
You can download an app of Webull in your smartphones to trade, deposit or withdraw anytime, anywhere you want. You can simply use voice prompts such as “sell”, “buy” or place an order, look up tickers and search on Webull.
Various advanced orders options allow you to manage the trade and avoid risks according to the price movement.
Webull community:
This is a unique aspect of Webull, which works as a private Twitter feed. you can comment on the individual news and stocks with your thoughts or post reactions to a price movement. You can also predict either the stock will rise or fall and you can earn points for correct predictions. You can claim Webull products like entries to paper trading competitions, where you can achieve real money prizes by trading virtual portfolios.
Leverage:
You can get leverage on a margin account with at least a net value of $2000. You can get 4 times day-trade buying power and two times overnight buying power.
You will get no leverage if your cash or margin account has a net value of less than $2000.
Kindly note that some of the stocks are unique in getting leverage. To check what leverage is available:
- Go to quotes page of stocks
- Click on the yellow dollar icon
- It will show you the maximum leverage you can get out of the stock
Fees:
Webull doesn’t take any commission on U.S trades and not from opening and maintaining an account. Although FINRA and SEC charges do apply.
Annual Margin Rate fees:
If you use leverage while trading, you will be charged a margin rate fee. Interest is calculated on a daily basis on margin trading and paid monthly.
The margin rate lies between 6.99%-3.99%. It is determined by the size of a margin loan.
Short Selling Fees:
In case of a short position, you must borrow shares of the respective company before you sell them. The cost linked with a short sale is the final fee for borrowing their stocks. The rates of stock loans change daily according to the market conditions. Just like the interest on the margin trading, the short-selling fee is calculated and charged daily. Its formula is:
Daily Margin Interest for Short Position = The Daily Market worth of your Borrowed Stocks when the Market Closes* Stock Loan price for That Stock/360.
Webull Alternatives
| Trading Platform | Fees | Our valuation | Review | Promotion | Website |
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1 | Zero commission*
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2 | Zero commission*
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3 | Zero commission*
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4 | Zero commission*
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5 | Zero commission*
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7 | Zero commission*
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8 | Zero commission*
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9 | Zero commission*
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How does Webull make money?
The platform makes money through payments for short selling, order flow, interest paid on margin, subscription fees along with profit made by investing cash on balance.
Payment methods:
Currently, Webull accepts payment from wire transfer and ACH payment method.
Final thoughts:
If you want to get started with trading stocks, Webull is a great option for you as it offers compelling commission-free trading. There are not so many platforms that provide this opportunity. It also has a simple interface and easy account opening process so beginners will not face trouble understanding the platform.
Although if you want access to other investments such as mutual funds, Webull is not your platform.
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