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Webull vs Robinhood: Which One Is The Ultimate Free Broker?

Hassan Maishera - January 07, 2020

robinhood vs webull

In this day and age, free trading is the new standard for stock market trading and in this webull vs robinhood article we will explore what the better free broker is.

Robinhood led the way, but now many major brokers offer commission-free stock trading.

Despite pioneering free trades, Robinhood is facing stiff competition now that other brokers have adapted their business models. WeBull is another popular investing app that competes directly with Robinhood. Instead of making money from commissions and fees, these companies make money through investments and paid subscriptions.

But which is the better mobile app for stock market trading? We’re asking the question, WeBull vs. Robinhood: Which one is the best?

Webull vs Robinhood

These two discount brokers offer a lot of features and they’re both virtually free. On the surface, Robinhood and Webull may seem very similar investing apps. However, they each feature their own set of pros and cons. Understanding their differences would help you make better financial decisions in terms of investments and trades.

What is Robinhood?

Robinhood is the trading app that first started commission-free trades. It allows users to trade stocks, options, and some cryptocurrencies without paying huge fees. There are no commissions and you can open an account with no minimum deposit. This app basically started the free trades frenzy and the older brokers have struggled to keep up.

This trading platform has a simple design and it’s extremely beginner-friendly. If you want the paid version of this investing app, there’s also Robinhood Gold. Users of Robinhood Gold have free margin trading and more. You do need a minimum balance of $2,000 for this, and the Gold would just cost you a bit of money at $5 a month. Take note though, that the first $1,000 margin is interest-free. But after that, there’s a 5% rate.

In terms of security, it uses industry standards to keep accounts protected. Your bank information is never saved and authentication procedures are in place as well.

>> Get started with Webull and get a free stock valued at up to $1600 just for signing up! <<

Webull Vs Robinhood: What Is Webull?

Webull allows free trading for stocks and ETFs. It’s been on the market for a few years and has seen incredible growth since the time it was launched. However, it doesn’t enjoy the same name recognition as Robinhood. However, Webull offers tons of great features, like advanced analytics, simulated trading, and much more.

The platform design is exceptional for active traders who wish to have a dynamic user interface. Webull offers several features for traders, including technical indicators, financial calendars, research agency ratings, live market data, research tools, and more. You will also see information like cash flow reports, income statements, and balance sheets too. As such, you don’t even need to find these market data ahead of time. And like Robinhood, Webull also protects your data with encryption.

As for fees, you won’t be charged for any stock or ETF trade. There are also no fees for transferring money in and out of your account using ACH. If you do wish to transfer money via domestic wire transfer, the fees are $8 per deposit and $25 per withdrawal. Internationally, the wire fees are $12.50 for deposits, and $45 for withdrawals.

Now looking at security, Webull offers SIPC protection for accounts. Passwords and personal information on accounts are encrypted too.

Overall, it’s a great choice for active traders who want to be able to enjoy a full suite of tools and resources even while they’re on the go. If you’re an advanced trader looking for an all-around app, Webull is an awesome choice.

Webull vs Robinhood: Common Ground

  • Both platforms offer commission-free trades and zero account fees.
  • Margin trading feature is available on both platforms, but both still lack investing on mutual funds
  • New users can get a free share(s) of stock just for signing up.
  • Both platforms offer account accessibility through mobile app and web.
  • Extended hours is included with all accounts.

Webull vs Robinhood: Best By Category

While these free investing apps are very similar, they’re different in a few key ways. We compare Robinhood vs. Webull in different aspects.

Technical Analysis & Research Tools

Winner: WeBull

Webull is loaded with technical features for traders. For any given stock, you will find tons of in-depth analysis. It’s jam-packed with indicators and other research tools, including analyst ratings and more. Robinhood offers pretty basic charting and research tools only. Though they have stepped their game up as of late, it is still behind WeBull in this category.

Investment Options

Winner: Robinhood

Robinhood users can access a broad range of investment options, including stocks,  cryptocurrencies, ETFs, and options. However, Webull offers exchange-listed stocks and ETFs only.

Ease of Use

Winner: Robinhood

When you’re looking for a platform that’s easy to use, Robinhood is great as it’s targeted at novice investors. What it lacks in sophistication, it does make up for it with simplicity. Webull is one that’s more advanced and it may be confusing for newbie traders. Beginners may not be able to make sense of everything the app offers. You might need some form of help when navigating the trading simulator, feeds, financial calendars, and market data.

Access to Short Selling

Winner: WeBull

Margin trading is available for Webull users when their account balance exceeds $2,000. Then, they’ll have the option to short select stocks. Robinhood offers margin trading, but investors can’t short stocks on the platform.

Bonus Stocks

Winner: WeBull

Brand-new users to either platform can get a free share of stock for opening an account, but WeBull users may get up to two shares of stock for opening and funding an account. Robinhood only offers one share.

Get Free Stocks

You can use this link to get a free stock from webull worth up to $1600

Webull vs Robinhood: Pros and Cons

Despite being great companies that offer great services, each platform also has its ups and downs. Here’s the best, and the worst, of each one.

Robinhood Pros

  • It is easy to use, making it perfect for beginners.
  • You can trade cryptos, stocks, ETFs, options, and more.
  • Very user-friendly
  • Robinhood is preparing to release fractional-share trading soon.
  • Get a free stock on signup.

Robinhood Cons

  • Supports only basic order types.
  • Basic research and charting tools.
  • No simulation you can use
  • There is no dividend reinvestment plan.
  • Retirement accounts are not available.
  • Users must make a payment to have margin trading.
  • No short selling.
  • No mutual funds

WeBull Pros

  • Open and fund an account with at least $100 and get two free stocks.
  • Advanced research and charting tools.
  • Level-2 data access available for a fee.
  • You can use a trading simulator. Protects your data with encryption like Robinhood does
  • Paper trading allows you to practice first without risking real cash, so you can see what it’s like before actually investing money
  • Users can open and manage IRAs.
  • Great customer service

WeBull Cons

  • It may be complicated for beginner investors.
  • You can’t trade cryptocurrency or options
  • Absence of a dividend reinvestment plan
  • No plans to offer fractional shares
  • No mutual funds

Webull vs Robinhood: Final Thoughts

These trading apps are remarkably similar and extremely evenly matched. Robinhood and Webull are both companies that offer security for your information and money. However, there are a few key differences between them. It’s so close that it’s hard to call a winner. Ultimately, you should try both companies to see which app works best with your style. Whichever you want, each app does make it easy for investors to invest and also learn about the financial world.

>> Get Started With Webull Now And Get A Free Stock Valued At Up To $1600 <<

 

Hassan Maishera is a cryptocurrency expert and a Stock Dork freelance contibutor.

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