Webull Review 2024: Pros and Cons Revealed

Webull was founded in 2017, quite newer to the brokerage industry than traditional players like Charles Schwab, Fidelity, Interactive Brokers and Robinhood. However, it stands tall when it comes to products offerings: Stocks, Options, cryptos, Index Options, Futures, ETFs, OTC, Margin, Fractional Shares. Webull applies no commission on stock, options and ETFs trading listed on U.S. Exchanges.

Is Webull good for beginners？

Webull, indeed, is an attractive option for beginner investors compared to many of its competitors, Fedility, Robinhood, and even Interactivebrokers. Here let's explore why it could be such an ideal choice:

To start with, Webull offers commission-free trading for stocks and ETFs, perfect for those with modest portfolios.Furthermore, the platform allows users to invest in fractional shares, which lowers the barrier to entry for those with limited capital. To make trading simpler and more affordable , new promotional offers come: Granting up to 20 free fractional shares for depositing between $500 and $24,999.99 and maintaining the balance for 30 days. For Futures promotion, larger deposits of $1,000 or more, users receive free commission on their first 100 options contracts traded within the initial three months, along with complimentary CME Group Level 2 Market Data access during that period.

More importantly, Webull is renowned for its user-friendly trading app and robust charting tools. The charts are visually appealing, with clear lines and easy-to-understand data presentation, offering a good selection of pre-built technical indicators and studies.

Webull Pros and Cons

✅Where Webull Shines:

• Operating under a strong regulatory frame - Webull operates within a robust regulatory framework, adhering to the guidelines of multiple financial authorities across various jurisdictions, ensuring transparency and investor protection.
• No minimum balance required - Webull does not impose any minimum balance requirements, making it accessible to investors of all levels, including those with limited capital.
• No platform fees - Traders can enjoy a cost-effective experience as Webull does not charge any platform fees.
• Paper trading available - Beginners can leverage the paper trading feature to practice their trading strategies in a risk-free environment.
• Zero-commission trading - Webull offers zero-commission trading on stocks and ETFs, enabling investors to minimize transaction costs and maximize their potential profits.
• User-friendly trading app - The user-friendly trading app provides a seamless and intuitive trading experience, catering to both novice and experienced investors alike.
• Fractional share and margin trading supported - Webull supports fractional share trading and margin trading, allowing users to diversify their portfolios and leverage their capital effectively.
• Offering access to IPOs - Webull grants access to Initial Public Offerings (IPOs), enabling investors to participate in promising investment opportunities from the outset.
• Up to 5% APY - Users can earn up to 5% Annual Percentage Yield (APY) on their uninvested cash balances, providing a lucrative opportunity for passive income generation.
• Supporting investing fractional shares of stocks - Webull supports investing in fractional shares of stocks, lowering the barrier to entry and enabling diversification for investors with limited capital.

❌Where Webull Falls Short:

• Not supporting forex trading - Webull does not currently offer forex trading capabilities, which may be a limitation for investors seeking exposure to the foreign exchange markets.
• No live chat - Webull lacks a live chat feature, which could hinder timely assistance and support for users who prefer real-time communication channels.
• Limited educational contents - Webull's educational resources and content offerings are relatively limited compared to some other brokerages, potentially hindering the learning and development opportunities for novice traders.
• E-Wallet payment options not available- Webull does not support e-Wallet payment options, which could be an inconvenience for users who prefer the convenience and security of digital wallet transactions.

Is Webull Safe？

Proceeding further with the Webull review, here comes this question: Is Webull safe？ When reviewing Webull, one of the primary concerns for beginners is the platform's safety and security. This is a question that almost all newcomers to investing prioritize. To address this concern, we will explore it from two crucial aspects: regulations and account protection.

Webull Regulations

Firstly, Webull is regulated s in five juristidicyttios and other five regulatory licenses:

WEBULL FINANCIAL LLC, is regulated by the United States The Financial Industry RegulatoryAuthority （FINRA）in the United States under license no. CRD#: 289063/SEC#: 8-69978.

WEBULL SECURITIES (AUSTRALIA) PTY. LTD, is regulated by the Australia Securities & Investment Commission (ASIC) in Australia under license no. 536980.

ウィブル証券株式会社, is regulated by the Japan Financial Services Agency (FSA) in Japan under license no. 関東財務局長（金商）第48号.

WEBULL SECURITIES LIMITED, is regulated by the China Hong Kong Securities and Futures Commission of Hongkong ( SFC) in Hong Kong under license no. BNG700.

WEBULL SECURITIES (SINGAPORE) PTE. LTD. is regulated by the Singapore Monetary Authority of Singapore (MAS) in Singapore.

Regulated Country	Regulated Authority	Regulated Entity	License Type	License Number
	FINRA	WEBULL FINANCIAL LLC	Securities Trading License	CRD#: 289063/SEC#: 8-69978.
	ASIC	WEBULL SECURITIES (AUSTRALIA) PTY. LTD	Australia Securities Trading License	536980
	FSA	ウィブル証券株式会社	Japan Securities Trading License	関東財務局長（金商）第48号
	SFC	WEBULL SECURITIES LIMITED	Securities Trading License	BNG700
	MAS	WEBULL SECURITIES (SINGAPORE) PTE. LTD	Singapore Securities Trading License	Unreleased

Webull Account Protection

Webull Financial LLC is a member of Securities Investor Protection Corporation (SIPC), which protects securities up to $500,000 (including $250,000 for claims for cash). SIPC does not protect against declines in the market value of securities. Besides, its clearing firm Apex Clearing Corp has purchased an additional insurance policy. The coverage limits provide protection 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. Similar to SIPC protection, this additional insurance does not protect against a loss in the market value of securities.

In this way, regarding the question “Is Webull safe？ Or Is Webull legit？”, the evidence suggests a resounding positive answer. Webull emerges as a trustworthy brokerage with which to conduct trading activities.

How to use Webull app ？

The new Webull Mobile App now offers two modes: a fully-featured Webull and Webull Lite.

To trade stocks on Webull mobile app, here is the simple process:

Step 1:Personalizing Your Market View

Begin by launching the Webull application on your mobile device. The platform offers users the ability to tailor their stock market observations according to their preferences. Upon selecting the “Market” symbol located in the bottom navigation panel, you'll find a customizable interface.

By default, the app displays “United States,” “Crypto,” and “China” markets. However, you have the flexibility to add other markets relevant to your interests or location. For instance, if you're based in Canada, you can easily incorporate the Canadian market into your view. Simply access the menu in the top-right corner and select “Canada” to add it to your personalized market list.

Following this customization, when you return to the “Market” section, you'll now see the Canadian stock market as an additional option alongside the default selections, allowing for a more targeted and relevant market overview.

Step 2:Exploring Market Analysis Tools on Webull

Webull's U.S. market view offers snapshots of key indices like the Dow Jones, S&P 500, and NASDAQ. While it doesn't provide detailed information on individual stocks within each index, it does display the number of advancers and decliners. This data helps users gauge overall market sentiment and trends.

Despite the lack of comprehensive stock-specific information, Webull still provides a solid basis for assessing broad market conditions. Users can leverage this overview to make informed investment decisions, even with the platform's somewhat limited index breakdown.

Step 3: Selecting Stock on Webull

In the “Markets” section, scroll past the index charts to find “Top Gainers” and “Top Losers”. These features highlight individual stocks with significant price movements during pre-market, after-hours, and regular trading sessions. By analyzing this data across various timeframes, you can identify specific stocks that match your investment criteria, whether you're looking for high-momentum stocks or potential turnaround opportunities.

Step 4: Executing Trades on Webull

To place a trade, select your desired stock and click “buy”. Choose from various order types:

• Limit Order: Set a maximum purchase price.
• Market Order: Buy at current market price.
• Stop Order: Set a trigger price for selling.
• OTO (One Triggers Others): Create linked trades.

After selecting an order type, input the limit price (if applicable) and quantity. Choose the Time-in-Force (day or GTC) and whether to allow extended hours trading. Optionally, set Take Profit/Stop Loss levels for automated exit strategies.

Review your order details, then tap the “Buy” button to execute. Monitor open orders through the “open orders” tab at the bottom of the screen.



Webull Lite

Webull Lite targets investors seeking a simplified approach to market participation, emphasizing ease of use, allowing users to concentrate on their long-term financial objectives and investment tactics. With its straightforward interface, Webull Lite removes unnecessary complexities, enabling a more focused investing experience. Additionally, the platform offers a cash management feature with a 5% APY, providing an efficient way to optimize idle funds. Webull Lite is well-suited for those who prefer a direct path to portfolio growth.



Webull Pay App

Surprisingly, Webull has expanded its offerings to include cryptocurrency trading through a partnership with Bakkt Crypto Solutions, LLC. This collaboration has resulted in the Webull Pay app, which provides users with access to popular cryptocurrencies, such as Bitcoin (BTC) and Ethereum (ETH), as well as stablecoins like USD Coin (USDC). The app also supports trading in other cryptocurrencies, including Litecoin (LTC), Dogecoin (DOGE), and Shiba Inu coin (SHIB), among others. Currently, the Webull Pay app download is exclusively on Google Play.



Webull Review on Products

Most products popular on the financial markets are supported for trading on Webull Platforms, like Stocks, Options, cryptos, Index Options, Futures, ETFs, OTC, Margin, Fractional Shares. However, Webull does not currently support bonds, mutual funds, warrants, rights, or units.

This focused selection allows Webull to provide efficient trading services for widely traded assets while maintaining a streamlined platform experience.

Products	Offered
Stocks	✅
Options	✅
Index Options	✅
Futures	✅
ETFs	✅
OTC	✅
Margin	✅
Fractional Shares	✅
Mutual Funds	❌
Bonds	❌
Warrants	❌
Units and Rights	❌

Webull Futures Trading

Webull offers futures contracts across commodities, equity indexes, cryptocurrencies, and more, equipped with advanced data and charting tools to support traders, along with extended hours trading and increased leverage opportunities.

Webull IRAs

Webull currently offers multiple IRA account options: Roth IRAs,Traditional IRAs, and Rollover IRAs, along with managed versions of both Roth and Traditional IRAs. For those looking to invest within these retirement accounts, Webull offers access to U.S. stocks, ETFs, and options trading up to level 2. Notably, special or limited margin trading isn't available in these retirement accounts at present. This lineup gives investors flexibility in choosing how to save for their future while taking advantage of various tax benefits associated with different IRA types.



Besides, Webull is currently running attractive promotions for IRA investors. They're offering a 3.5% bonus on IRA transfers, meaning you'll get an additional 3.5% on every dollar you move from an existing IRA to Webull.

In addition, Webull is extending the same 3.5% bonus to new contributions made for the 2024 tax year. This effectively boosts your retirement savings right from the start, giving you a head start on your long-term financial goals.



However, Webull's IRA offerings come with specific guidelines to ensure compliance with retirement account regulations and promote prudent investing. These accounts don't allow margin trading, short selling, or complex option strategies like spreads. Importantly, the account balance must always remain positive, and day trading is only permitted using settled funds. These restrictions mirror the rules of standard cash accounts, emphasizing a focus on long-term growth rather than high-risk trading tactics. While these limitations may restrict certain trading activities, they're designed to safeguard retirement savings and maintain the integrity of the IRA structure.

How does Webull make money？

Webull's revenue model aligns with industry standards, albeit with a key difference: the absence of commissions. The platform offers commission-free trading for stocks, ETFs, and options listed on U.S. exchanges. However, a $0.55 per contract fee applies to certain options trades. Regulatory agencies impose additional fees, which Webull passes through to clients without markup. These pass-through fees do not contribute to Webull's profits. Instead, the company likely generates income through other typical brokerage channels, such as payment for order flow, margin lending, and premium account services.



Regarding Webull crypto fees, Webull offers commission-free pricing model but applies a 100 basis point (1%) spread on transactions. This spread is Webull's method of generating revenue from crypto trades while maintaining a no-fee structure. Investors should factor this 1% cost into their calculations when trading cryptocurrencies on the platform.

Webull future trading fees are structured based on contract types. Regular Future Outright contracts are charged at $1.25 per contract, while Mini Outright Future contracts cost $0.70 per contract. Micro Outright Future contracts are priced at $0.25 per contract, and Cryptocurrency Futures incur a fee of $1.50 per contract. These fees are charged directly by Webull for execution.

Notably, additional exchange, clearing, and regulatory fees are not included in these rates and may apply separately.



Margin Interest Rates

Webull charges an annual margin interest rate that varies based on the debit balance in the account. For debit balances up to $25,000, the annual margin rate is 9.74%. The rate decreases as the debit balance increases, with rates of 9.24% for balances between $25,000.01 and $100,000, 8.74% for balances between $100,000.01 and $250,000, and so on. The lowest annual margin rate of 5.74% applies to debit balances over $3,000,000. This tiered structure incentivizes traders to maintain higher margin balances by offering lower interest rates on larger debit balances.



Compare to Similar Brokerages

Webull	Interactive Brokers	eToro	CommSec
⭐⭐⭐⭐⭐	⭐⭐⭐⭐⭐	⭐⭐⭐⭐⭐	⭐⭐⭐⭐
Product Offerings: Stocks, Options, Index Options, Futures, ETFs, OTC, Margin, Fractional Shares	Product Offerings: Stocks/ETFs, Options, Futures/FOPs.Event Contracts, Spot Currencies, US Spot Gold, Bonds, Mutual Funds	Product Offerings: Options, Stocks and ETFs, Cryptos	Product Offerings: Options, International Shares
Account Minimums: $0	Account Minimums: $0	Account Minimums: $10	Account Minimums: $500
Fees: $0 per trade	Fees: $0 per trade	Fees: 1% fixed fee per trade	Fees: Varies depending on tiers
Regulations: FINRA, AISC, FSA, SFC, MAS	Regulations: FINRA, ASIC, FCA, FSA, SFC, IIROC, MAS	Regulations: ASIC, CYSEC, FCA	Regulations: ASIC
Promotions: Yes	Promotions: Yes	Promotions: No	Promotions: No

Frequently Asked Questions (FAQs)

Is Webull a safe and trustworthy brokerage？

Webull is a regulated brokerage, which offers investor protection in case of brokerage failure. They also mention using security measures like two-factor authentication. However, extra vigilance still should be taken when trading with online brokerage.

Does Webull truly offer commission-free trading？

Yes, Webull offers commission-free trading for stocks, ETFs, and most options contracts. There are some exceptions, like a $0.55 fee per options contract in certain cases.

What kind of trading platform does Webull offer？

Webull provides a user-friendly platform accessible through mobile app, web browser, and downloadable desktop app. It offers features like advanced charting tools, extended hours trading, and paper trading.

Is Webull suitable for beginners？

Webull's user-friendly interface and educational resources can be helpful for beginners. They also offer a paper trading feature to practice without risking real money.

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