WeBull rating

WeBull Review


WeBull Pricing and Minimum Deposit


InvestmentsCommissions
Stocks and ETFs $0
Stocks and ETFs broker assisted not offered
Listed Foreign Securities not offered
Options not offered
Mutual funds not offered
Treasury Bills, Notes, Municipal and Agency Bonds, Zeros & Strips not offered

Investments stocks, ETFs
Minimum deposit to open account $0 for cash account, $2,000 for margin account
FeesWeBull fees
Promotion WeBull promotions


Overview of WeBull


Webull Financial is a brand new brokerage firm offering $0 trades with minimal tools and services. After reading this article, you’ll have a better idea whether this broker is worth it or not.


Safety and Security


Using FINRA’s BrokerCheck, we discovered that Webull Financial just recently (January 2019) registered with the SEC, the major watchdog of the U.S. securities industry. The broker’s SEC ID number is 69978, which so far shows a clean record. Webull is also a member of FINRA, the self-regulatory body of the American investing landscape.

Insurance for Webull accounts is provided by SIPC. There is a limit of $500,000 per account. A maximum of $250,000 can be applied to cash balances. The broker’s clearing firm is APEX Clearing House, a well-known group in the industry.

While Webull meets all the organizational checks, it’s a rather new company, which leaves some questions unanswered. Webull’s FINRA profile shows that the company was established in May of 2017.


Range of Investments


WeBull Investments Rating

Now we’re going to start grading Webull in essential categories. The first one is investment offerings, and the brokerage house isn’t going to do very well here. Webull offers stocks and ETF’s, and as of right now, that’s it.

Options, mutual funds, and fixed-income securities are not available. And forget about over-the-counter, bulletin board, or pink sheet stocks. Futures and forex? No way. Stocks on the major exchanges that slip below $1 or $10 million in market cap go on Webull’s restricted list.


WeBull Ctypto Review


WeBull Commissions, Fees, and Account Requirements


WeBull Fees Rating

While the first category was an enormous thrashing, Webull makes up for it with ultra-low fees. The stocks and ETF’s that can be traded carry zero commissions. This means it won’t cost you a dime to buy them, although exchange and regulatory fees are passed onto the customer on the sell side. These charges are usually pennies per trade.

Opening an account comes with zero fees, and there are no fees to maintain or close one. Webull does not impose a minimum deposit requirement to open an account, either. The broker promises that applications are “normally approved in a day.” Sure enough, our test account was approved the same day.

The company currently is offering one free share of stock for each account that is opened. We received a share of ABEV, valued at $4.23 on the day we received it.

A Webull account can be setup as either a cash account or a margin account. The broker’s margin rates are very competitive. A debit under $25,000 currently costs 6.99% annually. This rate drops on a tiered schedule, reaching 3.99% above $3,000,000. For a short stock position, the margin rate is applied against the required margin for the borrowed stock.

ACH transfers are free at Webull, although the company does charge for wires (both outgoing and incoming). The fees range from $8 to $45. Transferring an account to another brokerage firm will set you back $75 at Webull.


Webull Promotion


Get FREE stock between $3 and $1,000 when you open account at WeBull.


Customer Service


WeBull Customer Rating

The Webull website has a very good Q&A section that will answer a lot of questions that clients and prospective clients have. They cover issues such as account opening, deposits and withdrawals, and how to place trades. If you have a specific question and can’t find an answer, there’s a search box that may be of assistance.

Unfortunately, that’s about all there is on the website. As we shall see shortly, the main platform for Webull traders is the broker’s mobile app. Here, we were able to find a messaging service that allows users to contact the company. Attachments can be included if you have a question about a specific place within the app. Received messages are saved on the app.

Wait a minute. What about the broker’s phone number? Well, we looked for it, but believe it or not, we couldn’t find it. The company’s “Contact Us” page only displays an e-mail address and its one physical location in Manhattan.

If a broker is not displaying its phone number on its contact page, we take that as a bad sign. And forget about online chat service with this ultra-low-cost firm.


Banking Features


WeBull Banking Rating

Because of Webull’s emphasis on low-cost trading, the brokerage house does not provide any cash management features, such as checks or a debit card. An external bank account can be easily linked to a Webull trading account, however; and as we already pointed out, ACH transfers are free of charge. Webull offers both micro-deposit verification (within 2 business days) and instant verification.


Financial Advice & Managed Accounts


WeBull Account Rating

Webull specializes in self-directed accounts with zero commissions. As such, it does not currently offer any type of investment advice. A low-cost robo-advisory service could be a reasonable addition in the future.


WeBull IRAs


WeBull IRA Rating

Low-cost trading is no excuse to ignore retirement saving, but Webull has done so anyway. The brokerage firm does not currently offer any IRA’s, but they definitely should be added because stocks and ETF’s are often part of retirement planning.


Desktop Trading Tools


WeBull Trading Rating

So where do Webull’s self-directed customers place their stock and ETF trades? Definitely not on the Webull website. We couldn’t even find a login after we opened our account. Nevertheless, the broker’s website has some decent features, such as a company overview and the Q&A section we already mentioned. Also on the broker’s website is information about the Webull mobile app, which is where all the action takes place.


WeBull Mobile App


WeBull App Rating

While the website was very minimalist, the Webull mobile app incorporates a lot of useful features. It functions on Apple and Android phones and tablets. Unfortunately, there is not currently a platform for any smartwatch.

When we logged into the app for the first time, we immediately noticed the emphasis on global trading. The ‘Markets’ tab has a row of countries that display indexes and stocks within a specific country.


WeBull International Trading


For example, under United Kingdom, we found the FTSE index in real time plus how various sectors were performing that trading day. Moreover, an earnings calendar showed companies that were set to release earnings that day along with an EPS estimate.

One such company was Sage Group. Its earnings release was posted under the “News” section on its profile. We found a very sharp-looking chart. Tapping on an expand icon produced a horizontal graph, which allowed for better use of the app’s charting program.

There are several technical indicators in Webull’s charting program, such as Bollinger Bands, RSI, and moving average. We found eight graph styles, which is a large list for a mobile app. Some of the choices include colored bars, base line, and Heikin Ashi.


WeBull Charts


A chart can display data as far back as 1997, which is more than 20 years. The interval can be set anywhere from 1 minute to 1 year. Company events can be shown. These include earnings, dividends, and splits. Extended hours can be turned on or off.

We liked the ability to change the order of technical studies below a chart. Another helpful feature is a comparison tool that allowed us to compare a stock to another or an index.

The app’s trade ticket is rather simple. There are buy and sell buttons, a quantity field, an order type (just market or limit), and a limit price. The ticket shows the account’s estimated buying power. There is a time-in-force option displayed, but we could get it only to show day orders. Unfortunately, there are no advanced order types or direct-access routing. There is a “Quick Trade” feature that shows the ticket in small form on a stock’s profile page.


WeBull Review: Investing


Besides charting and trading, we found several other important features. Multiple watchlists can be created. Alerts can be set up as well. Some of the available options include price above or below a certain level, volume level, and percent change.

One last feature that we liked was simulated trading. After logging into our regular account, we were able to access this feature simply by clicking on a “Paper Trading” icon. The feature starts out at $1,000,000, and this can be reset at any time. Orders and a trade ticket are shown. Because the trade ticket is so simple, experienced investors may not find it very useful.


Investment Education and Research


WeBull Investing Rating

Webull didn’t forget about the need for information to make informed trading decisions. It included a lot of information that will be very helpful to many of its clients.

A stock’s profile page offers news articles, press releases, analyst ratings, financial statements, and a company overview. The company overview displays the industry it operates in, its Board of Directors, institutional holdings, and recent executive stock trading.


WeBull Review: Stocks Trading


The “Financials” tab shows recent statements. These include cash flow, income, and the balance sheet. Some of the information is shown in bar graph format. Comparisons are also made against peers, a nice feature.

One tool that many traders will use is the “Analysts” section. Here, Webull displays third-party estimates of a stock’s future performance. We found 43 ratings for Netflix, where the consensus was bullish.


WeBull Investments Review


Press releases that a company has made are also available. They are shown as SEC forms. The news section displays links to news articles from a variety of sources, such as Motley Fool, Reuters, and MarketWatch. Other vital trade data we found on a stock’s profile page include short interest and order flow.

We found a stock screener that is able to search by exchange, sector, geographic region, market cap, P/E ratio, volume, and a few other variables.


Webull Comparison


WeBull Comparison

Perhaps the most similar brokerage firms to Webull are RobinHood and Firstrade. All of them are $0 brokers with mobile platforms. Robinhood started out as mobile-only, like Webull, but recently added website trading. It remains at $0, so it’s now slightly ahead of Webull.

Robinhood also recently added options and cryptocurrency trading, so Webull is slipping further and further behind. Although Robinhood has had complaints about its customer service, it does freely provide a phone number.

The one area where Webull seems to outperform Robinhood is in the trading platform category. Webull’s app has many more features than Robinhood’s does. For example, the Robinhood app lacks a simulated trading environment and all the great investment research features that its rival here has.

While we think Webull would be a better choice than Robinhood, we can’t leave Firstrade out of the picture. Firstrade recently lowered its commission schedule all the way to $0, which places it in the same category now as Webull and Robinhood. Firstrade, though, offers mutual funds, options, and bonds (bonds don’t have $0 trading fees, though). The broker also provides website trading in addition to its mobile app. Firstrade has better customer service features than the two low-cost firms here, including online chat and Chinese language service.

While some brokers such as Fidelity and TD Ameritrade offer a lot of security research tools, these resources are mostly on the websites. Mobile apps typically have far less information on them. Because Webull is an app-only broker (at least for now), all of its research tools are on its mobile app, which may be an advantage for some traders.


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Recommendation


For obvious reasons, we can’t recommend Webull for option, bond, or mutual fund traders. We do advocate the brokerage firm for stock and ETF traders who don’t need a lot of hand holding but do want the lowest possible commissions.

We also suggest Webull for traders who need good research tools on a mobile app. Although Webull is a low-cost broker, it has mobile research tools that many more expensive brokers don’t offer.


WeBull Review Summary


Webull has brought a lot to the table in some investment areas, but failed to deliver anything at all in other categories. The brokerage firm is too new at this time to make a full judgment in terms of customer service or reliability. We expect it to eventually follow in Robinhood’s footsteps and add website trading and options. If it doesn’t, it will have a hard time competing against its rivals.


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Open WeBull Account



WeBull reviewed by Brokerage-Review.com. Rating: 3