Webull is a mobile-focused brokerage. Its strength: Better platform functionality than its closest rivals. In this Webull review, we'll take a deep dive into the perks and potential drawbacks of using Webull to invest. We'll also cover what investors should know before opening an account.
Open Account for Webull
OnWebull'sSecure Website.
Ratings Methodology
Our Rating:
Rating image, 4.0 out of 5 stars.
4.0/5Our ratings are based on a 5 star scale.5 stars equals Best.4 stars equals Excellent.3 stars equals Good.2 stars equals Fair.1 star equals Poor.We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs. = Best = Excellent = Good = Fair = Poor
Bottom Line
As a mobile-focused brokerage, Webull provides better functionality than its competitors, along with offering some cash and stock bonuses.
Fees:
$0 per trade
Open Account for Webull
OnWebull'sSecure Website.
One of our favorite brokers
We love Webull! This brokerage is currently on these "best" lists:
- Best stock brokers
- Best options trading platforms
- Best free stock trading apps
- Best investment apps
Full Webull review
This broker is a good fit for: Active traders who mainly deal in stocks and options and want to do so exclusively via a mobile app.
Pros
- $0 stock and ETF commissions
- Big potential bonus
- No account minimums
- Excellent mobile platform
- Competitive margin rates
Cons
- No mutual funds
- Limited account types
Top perks
No commissions
Like most online brokers, Webull offers $0 commission stock and ETF trades. Customers can also trade fractional shares on Webull, which is a great feature -- especially for beginning investors.
No per-contract fees on options
Most brokers still charge a per-contract commission for buying and selling options. Webull doesn't. There are no assignment or exercise fees, either. These factors make Webull a solid broker for options trading.
Transfer fee reimbursem*nt
Most brokers charge customers to transfer their existing accounts to another brokerage. The industry standard fee for this is about $75. Webull will provide a transfer reimbursem*nt of $100 when you transfer a brokerage account with $2,000 or more in assets, or $75 for an IRA transfer with at least $5,000.
No account minimums
Webull doesn't have a minimum deposit requirement to get going. You can join Webull and start investing with just a few dollars.
Excellent mobile platform
Webull's mobile trading platform offers more features than many other mobile-oriented brokers.
Competitive margin rates
Webull offers some of the most competitive margin rates we've come across. And unlike main rival Robinhood, Webull doesn't require a subscription.
IRAs
Unlike some of the mobile-focused brokers, Webull offers traditional and Roth IRAs. These are offered in addition to standard brokerage accounts.
Free stock bonus
Many brokers offer cash bonuses for new accounts -- but only after users meet certain minimum deposit requirements. Webull gives free stocks to customers with small deposit thresholds. These stocks are worth anywhere from $2.50 to $1,600 per share. Currently, just $100 is required for the best bonus.
Offers cryptocurrency investing
Webull allows investors to trade in Bitcoin, Bitcoin Cash, Ethereum, and Litecoin.
TIP
Buying your first stocks: Do it the smart way
Once you’ve chosen one of our top-rated brokers, you need to make sure you’re buying the right stocks. We think there’s no better place to start than with Stock Advisor, the flagship stock-picking service of our company, The Motley Fool. You’ll get two new stock picks every month, plus 10 starter stocks and best buys now. Since March 2002, Stock Advisor’s average stock pick has seen a 542.28% return — nearly 4x that of the S&P 500! (as of 1/10/2023). Learn more and get started today with a special new member discount.
What could be improved
There is no such thing as a perfect broker, and Webull has some potential drawbacks investors should know about before opening an account.
Limited investment options
Webull doesn't offer investing in mutual funds, bonds, CDs, futures, or forex.
Investor education
Unlike some of the major brokerages, Webull doesn't offer much in the way of educational resources. This is a drawback of many app-based trading platforms.
Joint and other account types
Webull doesn't allow customers to open joint brokerage accounts. It also doesn't support trusts, UGMA/UTMA accounts, Coverdells, SIMPLE IRAs, SEP IRAs, Solo 401(k)s, and several other account types offered by competitors.
Alternatives to Consider
We recommend comparing brokerage options to ensure the account you're selecting is the best fit for you. To make your search easier, here's a short list of our best trading platforms of 2024.
| Account | Fees | Account Minimum | |
|---|---|---|---|
Rating image, 4.5 out of 5 stars. 4.5/5Our ratings are based on a 5 star scale.5 stars equals Best.4 stars equals Excellent.3 stars equals Good.2 stars equals Fair.1 star equals Poor.We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs. | $0 for stocks, ETFs, and options | $0 | Open Account for Robinhood |
Rating image, 4.5 out of 5 stars. 4.5/5Our ratings are based on a 5 star scale.5 stars equals Best.4 stars equals Excellent.3 stars equals Good.2 stars equals Fair.1 star equals Poor.We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs. | $0 for stocks, $0 for options contracts | $0 | Open Account for SoFi Active Investing |
Rating image, 4.0 out of 5 stars. 4.0/5Our ratings are based on a 5 star scale.5 stars equals Best.4 stars equals Excellent.3 stars equals Good.2 stars equals Fair.1 star equals Poor.We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs. | $0 for stocks, $1 per option contract (opening trades only) | $0 | Open Account for Tastytrade |
Commissions
Like most online brokers, Webull has done away with stock trading commissions. The platform offers $0 commission online stock and option trades.
However, most brokers still charge a per-contract commission for options trades. Webull doesn’t.
| Stocks and ETFs | Options | Mutual Funds |
|---|---|---|
| $0 | $0 (no per-contract charge) | Not available |
Buying mutual funds
One of Webull's biggest weaknesses is that it doesn't let you invest in mutual funds -- not yet, anyway. If you want to make mutual funds a major part of your investment strategy, Webull is likely not the right brokerage for you.
Fees
As mentioned, Webull offers commission-free stock and options trades, but that doesn't mean it's entirely a fee-free platform. For example, if you trade on margin, you'll pay interest on your debit balance. We'll discuss this in greater detail below.
In addition, Webull does charge some other fees. Here are some of the most relevant:
- Webull charges an $8 fee to deposit money via wire transfer and a $25 fee for wire withdrawals. If the funds are coming from or going to a non-U.S. bank account, the fees are higher.
- Webull charges $75 for outgoing stock transfers (but it actually reimburses for incoming stock transfers, as discussed earlier.
- Like most brokers, Webull encourages customers to receive electronic communications. There are fees for paper trade confirmations ($2 each), paper statements ($5 each), and paper prospectuses ($2.50 each).
Trading platform
One of Webull's biggest strengths is its highly rated app-based investment platform. The company's mobile app currently has a 4.3 out of 5-star rating on the Google Play store and a 4.7 out of 5 on the Apple App Store. The platform offers many features active traders may find useful. These include excellent charting tools, the ability to enter complex trade orders, and a feature-packed stock screener. And unlike some other mobile trading platforms, Webull lets investors sell stocks short.
Plus, customers can participate in extended-hours trading from 4 a.m. to 8 p.m. EST. Webull is also one of the few mobile-first brokers to allow for virtual stock and options trading. Webull also offers a desktop trading platform with all of the same features, but to be clear, this is a mobile-first broker.
Margin rates
We're generally not fans of margin trading, but we know that many investors are. If you use margin (borrowed money) regularly or occasionally, be aware that doing so isn't free: Brokers charge margin interest. So a broker with relatively low margin rates can be attractive.
Webull has some of the most competitive margin rates we've seen, especially in the relatively high-rate environment we're in now. As with most of its competitors, the rate you pay depends on how much you've borrowed, but these are generally low when compared to some of the biggest brokers we've looked at:
| Margin Balance | Interest Rate |
|---|---|
| $0 - $25,000 | 9.49% |
| $25,000 - $100,000 | 8.99% |
| $100,000 - $250,000 | 8.49% |
| $250,000 - $500,000 | 7.99% |
| $500,000 - $1 million | 6.99% |
| $1 million - $3 million | 6.49% |
| Over $3 million | 5.49% |
Data source: Webull. Rates as of Aug. 6, 2023 and are subject to change without notice.
Research offerings
Webull's platform is mainly targeted at traders, not long-term investors, but it can certainly be used for long-term purposes, especially for knowledgeable investors to open IRAs. Having said that, there isn't much in the way of research -- or fundamental analysis in general, for that matter.
This brokerage is right for you if:
There is no such thing as a perfect brokerage for everyone (at least, we haven't found one yet). That said, Webull could be an excellent choice if these statements apply to you:
- You're an active trader who only wants to buy and sell stocks and options.
- You already know the basics of how the markets work and don't need a ton of educational resources.
- Your investment strategy includes buying and selling options, as Webull is one of very few brokerages that offer zero-commission options trading.
- You don't have a ton of money to invest. Webull has no minimum deposit requirement, and it offers a new account bonus at a much smaller deposit threshold than many competitors.
RELATED: See The Ascent's comparison of TD Ameritrade vs Webull.
FAQs
There are a few main downsides to Webull. For one thing, it only offers individual brokerage accounts and traditional and Roth IRAs. It doesn't offer mutual funds or several other investment types. And like most mobile-first trading platforms, Webull falls short when it comes to educational resources and research access.
Webull can be a good place for beginning investors to start, as it has one of the more user-friendly platforms in the brokerage industry. However, it is best suited for investors who have a good working knowledge of how the stock market operates, and are comfortable doing their own research.
Our Brokerages Experts
By:Matt Frankel, CFP®
Writer, Analyst
Matt is a Certified Financial Planner® and investment advisor based in Columbia, South Carolina. He writes personal finance and investment advice for The Ascent and its parent company The Motley Fool, with more than 4,500 published articles and a 2017 SABEW Best in Business award. Matt writes a weekly investment column ("Ask a Fool") that is syndicated in USA Today, and his work has been regularly featured on CNBC, Fox Business, MSN Money, and many other major outlets. He’s a graduate of the University of South Carolina and Nova Southeastern University, and holds a graduate certificate in financial planning from Florida State University.
Fact CheckedAshley Maready
Writer and Editor
Ashley Maready is a former history museum professional who made the leap to digital content writing and editing in 2021. She has a BA in History and Philosophy from Hood College and an MA in Applied History from Shippensburg University. Ashley loves creating content for the public and learning new things so she can teach others, whether it's information about salt mining, canal mules, or personal finance.
