Webull Real Time Market Fees

Webull Real Time Market Fees

Webull is one of the newer online brokers, forming in just 2017 and launching with just a mobile app in May 2018. Webull’s primary target market, the millennials, was reflected in this mobile launch. Webull is positioning itself to serve newer and more active traders, and others drawn to a platform offering a broad range of services for free, including no account minimums, commission free trading of stocks/ETFs and their options, and multiple cryptocurrencies. Webull does skew towards the self-directed investor, with a less comprehensive offering than full service competitors. Webull customers still get a lot for their money. Webull offers a great platform with many useful tools and features as well as competitive margin rates. We’ll take an in-depth look at Webull to help you decide if it is the right broker for your portfolio needs.

Webull won Investopedia’s Best Broker for Low Cost Options Trading, Best Day Trading Platform and Best Low Cost Options Broker in our 2021 Best Online Brokers Review.

KEY TAKEAWAYS

  • Webull does not charge commissions for stock, ETF or option trades. There are no minimum account requirements. Margin trading is available for accounts with a minimum of $2000.
  • Webull offers options, stocks, ETFs and cryptocurrencies. This smaller selection of assets is meant to serve a client base that skews towards younger, self-directed customers comfortable with technology and wanting information on the go.
  • Webull is simple to use and offers excellent trading functionality. It also has a wide range of tools and functionality, including news and fundamental analysis and stock screeners.
  • Webull is not the broker for people looking for a broader range of products, such as fixed income, mutual funds, or managed accounts. If you are looking for live trading assistance and prefer to work with an investment advisor, then look elsewhere.
  • Fractional cryptocurrency trading in multiple cryptocurrencies, including Bitcoin, Dodgecoin, Bitcoin Cash, Ethereum, Litecoin, ZEC, and XLM commission free.

Who is Webull for?

Webull is for investors who want to get into financial markets with no minimum account sizes and commission free trading. Webull is not a full-services broker, so its customers need a bit of a DIY approach on some aspects of portfolio management. Webull customers have skewed younger than at other brokerage companies. Active traders will be attracted to the broker’s free model. Webull’s no-cost options trading will be particularly appealing to active traders. This is because all other brokers, including those that offer free stock and ETF trades such as Schwab, still charge commissions for each leg.

Pros

  • No commissions on stocks/ETFs, options, or cryptocurrencies
  • Easy account setup and options approval, and no fees or minimums
  • Free real-time streaming quotes
  • Easy to use platforms with excellent content and tools
  • Access to extended hours and pre-market trading

Cons

  • No income on excess cash
  • Potential for execution to be halted by payment of order flow
  • Portfolio management tools are limited in number
  • No access to fixed income, mutual funds, foreign exchange, or futures markets

Pros Explained

  • Everyone wants something for free, and that is exactly what Webull delivers. There is no commission stock or ETF option. Cryptocurrency trading is especially appealing for traders who don’t want their hands tied. Trading strategies are easier to profit from because they have lower implementation costs.
  • The account opening process only takes a few minutes. You will receive account and options trading approval very quickly and it only takes a couple of additional minutes to add your bank account and set up a free ACH transfer. Once the transfer is set up, you can receive buying power on the account even though the fund transfer may not be complete for a few days.
  • Webull provides free streaming quotes and three-month free access to Level 2 Advance quotes. This service is Nasdaq TotalView and provides more information about market depth as well as a deeper range of bids and questions on security. There is also auction crossing information for all NASDAQ-NYSE and regional listed stocks on NASDAQ Market Center.
  • Webull’s mobile and desktop applications platforms are both relatively new. It has an intuitive design, is simple to use, and it is fresh. The applications are packed with helpful tools for trading, especially considering all the tools are free to the user. You can access news and fundamental information about companies through the customizable workstation platform. Charting is available, as well as watchlists, stock screeners, charts, aggregate ratings and aggregate ratings from multiple analyst. Despite all the information, it is organized in a way that makes it easy to use.
  • Many active traders like to trade the market in the pre and/or extended hour trading periods, and Webull customers have the ability to access these hours. Traders can choose whether they want their orders active during the non-regular trading day times.

The Cons

  • Webull customers receive no interest on cash balances in their account. As Webull doesn’t support mutual fund trading, customers can’t proactively invest their unused cash in a money market fund. In today’s low short-term interest rates, this may not seem to be a problem. However, the potential loss of interest on cash could be more apparent if rates rise.
  • Webull is able to offer free trading and all its other services because it is receiving payment for order flow (PFOF). This may affect Webull’s execution quality. This is not a major issue for most traders today, but it may be a problem for day traders or those who rely on execution quality to fill orders quickly and accurately.
  • Webull offers a number of useful tools for traders, but the portfolio management tools are not as good. Customers of Webull are expected to be able to make their own trading and investing decisions. There are no daily or intra-day market letters, and no research or analyst reports on stocks outside of aggregated analyst statistics. Webull does NOT offer financial advisors, recommend portfolios for rebalancing, control over tax lots on sales or offer a dividend-reinvestment program (DRIP). Currently, Webull doesn’t offer fractional equity shares, although the broker has expressed that they plan to add fractional stock shares soon.
  • Webull offers a wide range of stock, ETFs and options, as well as cryptocurrencies. Webull does not offer fixed income investments, mutual funds or international equities, options, or foreign currency offerings. What you see is what you get.

Useability

Webull is easy to use, with clean and intuitive navigation. Webull offers a website, desktop workstation and mobile app. They are all well-designed. The platforms share a modern look and feel because of having been built so recently.

The website and desktop workstation are almost identical. They share the same menu and window layout. This main set of buttons is located on the left side of your screen. These buttons launch customizable quote boards, a stock page with a wealth of information on a single stock or ETF, a broad market overview page, a stock screener, a trading screen that is highly customizable on the desktop platform, an account tab showing balances, positions, buying power, performance, risk level related to margin leverage, access to bank transfers into and out of the account, and a dedicated paper trading area. The website has some differences from the workstation. It only supports single-leg options.

The mobile app uses primary features in a way consistent with the website and workstation, but there are design differences to handle the smaller screens the app is used on. The menu buttons on the bottom of the app screen change to be relevant to the content shown at the time. An example of this is the options button, which appears at the bottom to show an individual stock/ETF.

Watchlists can be easily created across all platforms directly from stock screener results. Watchlists also remain consistent between the desktop, web, mobile app, so you don’t need to set these up on multiple platforms. Order entry is straightforward, and traders can even customize trading ticket information such as order type and share amounts they most commonly use.

Trade Experience

Webull’s workstation is highly customizable, with templates available for trading stocks and ETFs, options trading, day trading, and for cryptocurrency trading. Trader can toggle between the different templates pages or create their own layouts using widgets. The widgets contain different information, such as news, fundamentals, options, as well as order entry, time & sales, and so on. The widgets can be combined to save screen space, with the different widgets accessible through marked tabs at the top of the window. You can group widget windows together to ensure that stock entries in one widget will update in all other widgets.

The trading setup also allows for a highly customized user experience, including hot keys, home page loaded on startup, default stock and option orders, and frequently used share quantities. You can do the most customization and flexibility on your workstation. Website did not include all the templates for trading pages on the workstation. The learning center was also not accessible via the website. When necessary, the system will direct you to other pages, such as the stocks window, which allows you to view stock-specific information, news and charting.

It is easy to enter an order through Webull. The order screen can be added to different screens, and the stock order entry screen includes contingency orders for stop loss and/or profit taking levels. Order tickets can be created directly from your account holdings. Simply click on the market bid or offer to automatically add that information to the trade order widget. Trading was also available directly from the charting program, with active positions and orders clearly shown on the chart.

Mobile Trade Experience

Although there are minor differences between the workstation and the website, there is an overall consistency across all platforms. The mobile app has the same basic features as the website and workstation, but there are design differences to handle the smaller screens. Menu buttons adapt along with the content screen you are on, serving up the main functions that you are likely to need. Mobile charting allows you to trade directly from the chart and shows you your open positions. Webull’s drawing tools are also much easier than many other brokers’ mobile charting software. The mobile app doesn’t allow access to Webull’s stock screener, but you can convert search results done on the website or workstation into a watchlist that will sync to the mobile app.

Range of Offerings

Webull focuses on U.S. Stock and ETF trading, and U.S. listed options and offers only personal and IRA accounts in the United States. Although Webull’s product offerings are not as extensive as full-service brokers, they can meet the needs for younger customers who are less interested in fixed income. Webull allows trading in multiple cryptocurrency for as low as $1, which is a departure from many full-service brokers. There is no fixed income, mutual fund, futures, or traditional foreign exchange trading available. Webull investors can trade the following:

  • US listed Stocks/ETFs long and short (2,085 stocks are currently on Webull’s easy to borrow list for short sales
  • US Listed Options on stocks and ETFs
  • Cryptocurrency trading with Bitcoin, Dodgecoin and Bitcoin Cash, Ethereum, Litecoins, ZEC, and XLM
  • Notable: Although New York State is the only US state to not have approved cryptocurrency trading on Webull yet, the company anticipates that it will soon be approved.

Types of Order

Webull offers most of the most popular order types such as market, limit and stop, stop limit, stop limit, trailing stops, and stop limit. There are also specialty orders such as one-cancel-the-other (OCO), one-triggers-an-OCO (OTOCO), and one-triggers-the-other (OTO), allowing traders to setup a conditional order where a filled limit order establishes an OCO attaching both a stop loss and a profit taking level order once the initial position is established. Webull does not offer market-if-touched, market-on-close, or similar orders.

Webull doesn’t offer traders control over tax lots on sales to close a long stock position; they use the first in, first out (FIFO) methodology. Webull also lacks automated trading, backtesting of strategies, and the ability to stage orders.

Trading Technology

Webull’s trading technology is basic, although it does get the job done. Webull reports a net price increase of 0.0056 per share and $1 for each option contract. There is no smart order routing, no trading automation, no backtesting capabilities, and no way to route your own orders. This is in line with the broker’s basic approach to keeping costs low.

Prices

Webull is a no cost broker, not a low cost broker. They offer commission free trading in stocks, ETFs, and listed options, and they do not charge a fee for account minimums or for their robust platforms and tools. Webull’s margin rates also are competitive. Webull’s commission-free trading means that we don’t charge for trades. However, they must pay Securities and Exchange Commission (SEC), transaction fees and other regulatory fees. These fees are usually pennies to fractional pennies per contract. These are Webull’s costs:

  • Online trades in equities or ETFs are free of commissions
  • Exchange traded options are free of commissions
  • No commission on cryptocurrency trading
  • Margin can be used for leverage or short sales. Margin rates vary depending on account size. Breakpoint: Below $25K 6.99%, $100K 6.49%, $250K 5.99%, $500K 5.49% and $500K 5.49%. $1MM 4.99%. $3MM 4.49%. And >$3MM 3.99%.
  • Money transfers: No charge for ACH Deposits and withdrawals; Wire Transfers are $8 for deposits in the US and $12.5 if international, and $25 for withdrawals in the US and $40 if international
  • Paper statements charges: Confirmations are $2 per confirm, account statements $5 per statement, and prospectus fees $2.5 per mailing

How this broker makes money for you and from you

It has become harder to understand how brokerage firms generate revenue in the age of no commission trading. Webull is unabashed in telling investors how they make money that allows them to provide a sophisticated platform and zero fee trading.

  • Payment From Order Flow: Webull is clearly all-in on the continuing race towards no commission trading – even options are free to trade on Webull now – and they are very transparent in stating at the top of its pricing page that PFOF is the primary reason they can offer no commission trading and no fees for access to their well-built platforms. Webull gets an average $0.00024 per share from its order flow and $0.525 per option contract. Webull’s average price execution improvements are $0.0056 per shares and $1 per option contract.
  • Interest on Cash: Webull’s ability to generate income through cash in its traders’ accounts is another important revenue stream. The company doesn’t pay interest on cash balances. Webull keeps the interest earned by Webull if you have cash in your bank account.
  • Stock Lending Program: Webull does offer a stock lending program, sharing the revenue generated with the investor lending the securities. The market demand for your securities determines the interest rate.

Account and Research Amenities

Webull provides a wide range of account information and research facilities, including news and fundamental data. This helps traders make informed investment decisions as well as identify stocks to trade. Webull doesn’t offer the same tools and information as full-service brokers such as individual analyst reports, daily market reports, or portfolio analysis tools.

Stock Screener

Webull has a stock screener, available on the workstation and website but not the mobile app. Although the screener can only be used for stocks, it is simple enough and offers some functionality not offered by other broker screeners. You can select from the United States, China, and Canada only; Webull provides data and charting for US, Honk Kong, Canada, China, and India markets, but it appears U.S. account holders are limited to trading in U.S. markets. You can choose to filter the U.S. exchanges (NYSE, AMEX and NASDAQ) and you can filter by more that 25 industry sectors, financial data such as EPS and P/E, Dividends and nine pre-set technical indicators, including overbought/oversold, moving average crosses, and overbought/oversold.

The technical indicators are easy to use, but somewhat limited. We could not screen for stocks that moved beyond 200. Other filters available include a consensus analyst rating with five grades (strong buy, buy, hold, underperform, sell) and if the stock can be traded on margin. Stocks cannot be screened for SRI (socially responsible investing). You can save a customized search and convert it to a watchlist. You can choose any stock from the search results to view key financial and technical information, as well as an order window.

ETF and Mutual Fund Screener

Webull doesn’t offer ETF screens and does not offer mutual funds.

Option Screener

Webull does not have a screener to identify specific option trade opportunities, but they do have tools to help construct the most common one, two, and four leg option strategies (vertical spreads, straddles/strangles, butterflies/condors, etc.) using a drop-down menu on the option chain table to select the strategy. The strategy’s payout graph will be displayed at maturity. You can also customize it by choosing different order types and adjusting the strike price ranges in multi-leg strategies.

Fixed Income Screener

Webull does not offer fixed income on their platform.

Charting

Webull developed its own charting functionality and it is a solid offering. Mobile app charting is a bit different than on the web and workstation because of the smaller screen size, but it is very intuitive. Charts can be used to create alerts and order tickets. You can also add analysis such as Bollinger bands(r), moving or exponential moving averages, relative strength index (RSI), average trade range (ATR), multiple stochastics variants, and other commonly-used analysis to your chart. It seems strange that the 50, 100, and 200-period MAs were not included in the six defaults.

If you have heard about Webull before, it is the new web based trading system that has just made waves in the Forex market. Webull, which is operated by Chinese online holding business Fumi Technology, enables clients to purchase and sell an assortment of virtual assets, such as shares, ETFs, derivatives and commodities such as gold, dogecoin and shiba inu coin. You can also get market commentary and trade alerts from industry experts to help you make informed investment decisions. Investors will need to open a demo account to see how the system works and determine if it is suitable for them.

 

The Java-based software platform used for desktop trading platforms is the basis of the webull trading app. The webull platform provides access to stock and option prices in real-time, as well as fundamental data such market depth, price, volume and price. The webull desktop trading platform is designed for both iOS and android devices and comes loaded with over one million product images and a large variety of media files. First, download the free trial web edition and then install the webull trading app on your phone. In less than five minutes you are all set and ready to trade from anywhere in the world!

 

Webull allows traders to buy and sell securities with real money. This means that webull trading does not require any particular expertise in order to execute trades. The app uses mathematical algorithms and sophisticated algorithms to identify good opportunities and prevent losses. It analyzes market signals and actions and then makes trades. For example, once the app identifies that the peak volume for a given security may be on the rise, it immediately alerts traders so that they can take action before the price starts to move. The best part is that all trades are fully customizable. This means that traders can set limits on how much they would like to invest, the maximum strike amount, and also what type of stop loss they want to use – a custom, or an automatic, limit set at the time the investor thinks the investment is under risk.

 

Trading with webull requires a minimum deposit of just $500, and the maximum is Unlimited. Once investors have created an account with webull, they can start depositing funds into their new account. Traders can start either holding a ‘buy’ or’sell’ option, and they are able to do transactions in two ways – using cash transactions or using credit card transfers. Using credit cards is recommended for smaller investments because there are more transfer fees.

 

Many people asked us why they should use webull instead of traditional trading platforms. We can tell them that webull allows investors to conduct two types of transactions – buying and selling. Traditional trading requires that you wait until the end to complete a transaction. This will be reflected in your profit or loss statement. You can choose the time you want to make a transaction with webull. This will be reflected on your trading Profit and Loss Statement. Trading with webull allows you to set a limit on how much money you are willing and able to lose. This gives you more control over your investments and accountability.

 

Another reason why webull is superior to other systems is that the webull financial trading platform provides investors with real-time protection from third parties. Because webull has a counterparty protection feature, it is impossible for anyone but the authorized user to modify, change or close your accounts. Therefore, webull provides you with true asset protection, which is much better than any system that does not provide this type of protection. We can also tell investors that by using webull, they will not be legally obligated to pay taxes on the gains from their investments in the U.S., as webull contracts and investment deals are not considered income for the taxable year.

 

Webull is used by many traders as their main trading platform. However, there are many others who use it for back testing, fundamental tests, margin calls, and transactions. In addition, investors can also use webull for their custom trading needs. Some brokers offer webull trading as an optional service to their clients. This service may be offered by some webull brokers for a small fee. Webull is a great product for investors large and small because of all the benefits it offers.

 

Webull is a great platform for both new and experienced traders. It offers a low-cost, hands free, transparent way to trade on an equity market. Because there are no commissions or fees to pay, the investor has complete control over how much he/she trades. Overall, it is hard to beat webull.

 

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