> > Webull vs. Robinhood 2024: Zero Commission Trading Battle

Webull vs. Robinhood 2024: Zero Commission Trading Battle

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Webull and Robinhood have emerged as two of the strongest US-based retail trading platforms, with a combined 20 million-plus investors currently using their interfaces to conduct their transactions.

The following review compares the services of these two online brokerages by putting each of their features and characteristics face-to-face — to let you decide which of them is a better fit for your trading and investing needs.

Webull vs Robinhood: 5 Things You MUST Know Before Signing Up!

Webull vs. Robinhood: Overview

Webull and Robinhood are relatively new retail brokers, though Webull is the youngest of the two.

These services have disrupted the industry, and millions of Americans have flocked to their platforms to enjoy their inexpensive trading services.

WebullRobinhood
Our Rating

4.0

3.6

Our VerdictWebull is best suited for intermediate to advanced traders as its platform offers a range of enhanced features, including advanced technical charting and indicators, in-depth market news coverage, tools to analyze company earnings, and an expanded selection of options features.Robinhood caters more to beginner traders who are just getting started in the investing scene. With its user-friendly trading platform, Robinhood emerges as the perfect choice for investors seeking a straightforward and hassle-free experience.
Our ReviewFull Webull reviewFull Robinhood review

About Webull

Webull was founded in 2017, and the service has taken advantage of the zero-commission trend that has disrupted the brokerage industry in the United States. With zero-commission trades, retail traders can access cutting-edge trading systems, real-time quotes, and extended-session transactions.

Webull allows users to trade stocks, ETFs, options, and cryptocurrencies using taxable and retirement accounts (i.e., traditional IRA and Roth IRA).

The platform is primarily mobile app-based but can also be accessed through its web-based app and its powerful desktop trading station, which is available for Mac, Windows, and Linux operating systems. The platform provides robust research tools, making it popular among active traders.

Additionally, Webull offers paper trading, a simulation trading feature, which is great for beginner traders.

Webull lacks certain portfolio management tools and access to fixed-income investments, mutual funds, foreign exchange, and futures markets. Check out our full Webull review to learn more.

About Robinhood

Robinhood was founded in 2013 by two former high-frequency traders who saw the opportunity to change dated industry practices through the introduction of inexpensive brokerage services and instruments, like fractional shares and cryptocurrencies, along with low-cost margin trades.

Robinhood offers an easy-to-use platform that enables users to buy and sell stocks, ETFs, options, and cryptocurrencies. The platform is available on Android and iOS devices, but it also offers a web-based app that is rather limited in features.

Robinhood provides users with free access to market data, real-time quotes, and basic research tools. However, users can also subscribe to Robinhood Gold, a paid service that offers premium features such as bigger instant deposits, professional research data from Morningstar, level II data from Nasdaq, and access to margin investing.

Robinhood also offers retirement accounts (i.e., traditional IRA and Roth IRA), as well as a cash card where users can earn cash back from participating brands. Read our full Robinhood review to learn more about Robinhood.


Webull vs. Robinhood: Main Features

Webull is focused more on intermediate and advanced traders, while Robinhood has designed its features to benefit both beginner buy-and-hold investors and high-frequency traders. 

WebullRobinhood
Minimum Investment$0$0
Trading Fees$0$0
Investment TypesStocks, ETFs, Options and CryptocurrenciesStocks, ETFs, Options and Cryptocurrencies
Account TypesIndividual Taxable, Traditional IRA, and Roth IRAIndividual Taxable​, Traditional IRA, and Roth IRA
PlatformsWeb Platform, Desktop Platform, Mobile (iOS and Android) ​Web Platform, Mobile (iOS / Android), and Watch (watchOS)​
PromotionsTwo Free StocksOne Free Stock
Margin Accountsyesyes
Fractional SharesYesyes
Banking FeaturesNoyes
Dividend Reinvestment Plan (DRIP)Noyes
Paper TradingyesNo
IPO InvestingyesYes
Best ForIntermediate to advancedBeginners

Webull

A user-friendly platform, access to cutting-edge trading technology, a wide range of available instruments to trade, and multiple types of accounts — along with zero-commission trades — make up just some of the things that have made Webull stand out above other brokers in the industry.

Webull provides real-time market data for multiple asset classes, including global equities, indexes, Forex, and futures (although Forex and futures cannot be traded through their platform).

Webull also offers users a demo account called paper trading,” which allows the user to invest virtual money in the market before depositing real money into their account. This feature is particularly useful for beginners or for people who would like to try out the platform before putting money into an account.

Margin trading is possible with this provider, and margin rates start at 5.74%. A minimum account balance of $2,000 is required. Once the margin account is approved, investors can enjoy 4x day trading buying power during regular market hours and 2x buying power during extended sessions.

  • Platform Customizability: The platform is fully customizable to make it suitable for beginners and experienced investors alike.
  • Real-Time Market Data: Webull offers free real-time market data for various worldwide markets and 100+ exchanges.
  • Technical Indicators: With Webull, you get live data on a number of technical indicators, including volume, Bollinger bands, MACD, and more.
  • Knowledge and Research Tools: Webull offers an array of knowledge and research tools that are easy to use, including recommendations, charting tools, and fundamental data.
  • News: Webull offers a live news service dedicated to relevant stock and ETF traders.
  • Revenue Data: Webull uses the most recent data from the companies they list.
  • Stock Screeners: Stock screeners allow you to filter your stocks based on the metrics you choose.
  • Virtual Trading (Paper Trading): Webull offers the opportunity to make paper trades. This lets beginners use virtual money to invest in stocks and see the results of different scenarios. 
  • Extended Hours: Webull allows you to trade from 04:00 to 09:29. After hours, you can trade from 16:00 to 21:29.
  • Margin Trading: The platform allows you to 4x your day-trade buying power or 2x your off-hours buying power.
  • Shorting: Shorting allows more options for investors.  

Robinhood

Along with their zero-commission approach, Robinhood also offers the possibility of reinvesting your dividends (something not yet available through Webull)  while users can also open a Robinhood Gold account to trade on margin.

Margin trading with Robinhood has an added advantage — the first $1,000 in margin doesn’t generate an interest charge, while any additional borrowing will pay a highly competitive 8% flat annual interest rate for Robinood Gold users — 12% for non Robinhood Gold users.

Robinhood also offers the possibility of having deposits cleared instantly, which is a great feature for investors who would like to step in fast to take advantage of real-time market opportunities. 

Another feature offered by Robinhood is real-time access to Level II market data from the Nasdaq stock exchange. It shows the volume of buy and sell orders and their respective bid/ask prices. This information is best used to support advanced trading strategies.

The Robinhood Gold account also provides access to advanced features, including more advantageous margin rates, a higher threshold for the instant deposits feature, and the option of being enrolled in Robinhood’s cash card solution.

As for the trading platform, Robinhood’s platform is not the most advanced in terms of features and the complexity of its technical interface.

However, traders can enjoy an accessible platform and use third-party trading systems to support their analysis while conducting inexpensive trades through Robinhood.

  • Fractional shares: Along with their zero-commission approach, Robinhood also lets users trade fractional shares.
  • Margin trading: Margin trading with Robinhood has one advantage —the first $1,000 in margin doesn’t generate an interest charge, while any additional will come with a highly competitive 8% rate for Robinhood Gold subscribers (12% for non-Robinhood Gold subscribers).
  • Instant deposits: This feature allows investors to get their deposits cleared immediately.
  • Real-time access to Level II market data: This feature shows the volume of buy and sell orders and their respective bid/ask prices straight from the Nasdaq stock exchange. This information is mostly used to support advanced trading strategies.
  • Advanced features for Robinhood Gold accounts: These include more advantageous margin rates, a higher threshold for the instant deposits feature, and more
  • User-friendly platform: Although Robinhood’s platform lacks certain advanced charting features, investors can still enjoy a user-friendly trading platform while relying on third-party services to conduct this kind of analysis.
  • IPO access: Allows users to request shares at the initial public offering (IPO) price before they are available to the general public
  • Robinhood cash card: A prepaid card issued by Sutton Bank that allows users to make purchases at stores or online. It also allows users to access the money in their Robinhood spending account.
  • Retirement accounts: Gives users a 1% IRA match on eligible contributions without the need for an employer.

Webull vs. Robinhood: Investment Options

Although both platforms offer similar types of instruments, there are slight differences in the number of cryptocurrencies made available by each. 

WebullRobinhood
StocksYesYes
ETFsYesYes
OptionsYesYes
Mutual FundsNoNo
Fractional SharesYesYes
FuturesNoNo
CurrenciesNoNo
CryptocurrenciesYesYes
BondsNoNo
CDsNoNo

Webull 

Webull currently allows traders to operate with a wide range of instruments, including US-listed stocks, options, ETFs, American Depositary Receipts (ADRs), and a small selection of cryptocurrencies that include Bitcoin, Ethereum, Bitcoin Cash, and Litecoin.

Fractional shares are also available on Webull for as low as $5 on equities and ETFs.

OTC products, bonds, Forex pairs, and penny stocks cannot be traded with this broker. 

Robinhood

Robinhood offers access to a selection of more than 5,000 US-listed ETFs and stocks, including American Depositary Receipts (ADRs). Fractional shares are also available for any US-listed stock worth more than $1 and which has a total market capitalization of over $25 million.

Additionally, Robinhood offers the possibility of trading options — including complex strategies — with no cost involved, which makes it an attractive choice for options traders.

The selection of cryptocurrencies currently supported by Robinhood includes Bitcoin, Ethereum, and Dogecoin.


Webull vs. Robinhood: Account Types

In the past, Robinhood lacked in this department compared to Webull, as the former does not offer retirement accounts. Things have leveled up recently as Robinhood now offers retirement accounts.

WebullRobinhood
Taxable BrokerageYesYes
Joint AccountNoNo
Margin AccountYesYes
Traditional IRAYesYes
Roth IRAYesYes
Rollover IRAYesYes
Custodial AccountNoNo
Robo AdvisorYesNo
Credit CardNoNo
Debit CardNoYes

Webull

Webull currently offers two types of accounts:

  • Individual brokerage account: A regular investment account that offers access to margin for users with an account balance higher than $2,000.
  • Individual retirement account (IRA): A tax-deferred retirement account through which users can place trades and make investments while enjoying the benefits of not having to pay taxes on their gains unless they withdraw money from the account. Traditional IRA, Roth IRA, and rollover IRAs are currently supported by Webull.

Robinhood 

As of this writing, Robinhood currently only supports taxable individual investment accounts. 

There are various types of accounts that give traders a certain degree of access to the different features offered by this provider. These are:

  • Robinhood Cash: The basic account offered by Robinhood that allows the user to trade all the products offered by the broker during regular and extended market hours. This account does not provide access to margin trades. 
  • Robinhood Margin: A taxable margin account that gives traders access to the instant deposit feature, along with a margin balance that varies based on the account’s balance.
  • Robinhood Gold: This is Robinhood’s premium account, which offers traders access to Level II market data, a higher margin balance, and a higher threshold for instant deposits.
  • Robinhood Retirement: A tax-deferred retirement account. Traditional IRAs, Roth IRAs, and rollover IRAs are currently supported by Robinhood.

Webull vs. Robinhood: Promotions

Sign-up bonuses and referral programs have become fairly common in today’s retail brokerage landscape, and both Webull and Robinhood are regularly launching promotions that, in most cases, include stock bonuses.

Webull

At the time of writing, Webull is offering a limited-time promotion that entitles newly enrolled users to 2 free stocks valued between $2.5 and $250 and another two stocks valued between $8 and $1,600 if the user deposits a total of $100 before the offer expires.

These stocks will be credited to the client’s account in a period of 15 days after the promotion has been claimed, and users have 30 days after their initial deposit has been cleared to claim their stock bonus.

Robinhood

Robinhood offers two types of bonuses: registration and referrals.

The registration bonus consists of a free stock valued between $1 and $213.57, which is credited to the user’s account after the sign-up process is complete. (Keep in mind that the firm discloses that there’s a 98% chance that you will end up getting a stock valued between $2.50 and $10.)

Robinhood’s referral program offers a total compensation of up to $500 in stock for users who invite and get their friends to open an account with the firm. Each friend that joins will also receive a free stock as a registration bonus.


Webull vs. Robinhood: Fees & Pricing

Margin rates are the main difference in terms of pricing between Webull and Robinhood. Both of these brokers currently offer zero-commission trades for all of the instruments they provide access to.

That said, Webull does charge higher non-trading fees.

WebullRobinhood
Stocks$0$0
ETFs$0$0
Options$0$0
Cryptocurrencies$0$0
Account Transfer Fees$75 to transfer out of account, $0 to transfer into account$75
Account Maintenance Fees$0$0 ($5 monthly for Robinhood Gold account)

Webull

Webull does not charge a commission for trading any of the instruments supported by their platform. 

Margin rates with Webull start at 9.74% for accounts with a balance lower than $25,000. The rate progressively goes down to 5.74% if the account balance is higher than $3 million.

Other non-trading fees include an $8 fee for deposits made via wire transfer and a $25 fee for withdrawals made via wire transfer.

Additionally, international transfers generate a $12.5 fee for deposits, and a $45 fee for withdrawals.

Robinhood

Like Webull, Robinhood does not charge any fees for trading the instruments offered within their platform; their margin rate is a flat 8% for Robinhood Gold users (12% for non Robinhood Gold users), regardless of the account balance. However, for foreign shares, custodial fees may apply.

Robinhood’s Gold account and all of its features can be accessed by paying a $5 monthly fee.


Webull vs. Robinhood: What We Like

Each of these brokers have several similarities, but they also have fairly unique strengths. Following are some of them. 

Webull

  • Highly regulated US-based brokerage firm.
  • Zero-commission trades for US-listed instruments, including stocks, options, ETFs, and ADRs. Certain cryptocurrencies can also be traded.
  • Retirement accounts can be opened with Webull.
  • Top-notch sophisticated trading platform with multiple research tools.
  • Paper trading features are available on Webull.
  • Powerful desktop trading terminal.
  • Robo advisor-like feature provides automatic and customized investing services based on the user’s risk tolerance.

Robinhood

  • Zero-commission trades for all the instruments offered.
  • Fractional shares are available for thousands of US-listed stocks and ETFs.
  • Robinhood is a US-based, highly regulated trading platform.
  • Competitive margin rates.
  • Bonus stock is gifted upon registration.
  • Interesting referral program that allows users to receive up to $500 in stock bonuses.
  • The instant deposit feature is very convenient to increase buying power almost immediately after depositing money.
  • Retirement accounts supported.
  • Debit card available.

Webull vs. Robinhood: What We Don’t Like

There is much to love about Webull’s and Robinhood’s services, but there are some downsides, such as the lack of certain asset classes within their platforms and the absence of educational tools.

Webull

  • Bonds, OTC securities, and foreign stocks cannot be traded with Webull.
  • Webull charges high fees for domestic and international wire transfers (both incoming and outgoing).
  • Multiple asset classes cannot be traded, including Forex and futures.
  • Fewer fractional share trading options compared to other brokers.
  • There are no educational tools available.
  • The broker’s customer service is reportedly slow or hard to reach.

Robinhood

  • Forex or futures trades cannot be made with Robinhood.
  • Robinhood has experienced downtimes during extreme market volatility.
  • Robinhood’s customer service is only accessible via email, which is a bit disappointing.
  • Although the firm offers some written educational materials, no videos or tutorials are offered by the platform to further assist users in growing their investing and trading skills. 
  • There is no way to transfer crypto off the platform.

Webull vs. Robinhood: Security

As for regulatory coverage, Webull and Robinhood are both heavily regulated US-based entities.

Webull

Webull is a heavily regulated US-based firm that is registered with the Financial Industry Regulatory Authority (FINRA) and the Securities and Exchange Commission (SEC).

The firm is also a member of the SIPC, which means that investment accounts are protected for up to $500,000 — including $250,000 in cash — while Webull’s clearing firm, Apex Clearing Corp, has also purchased a private insurance policy that provides protection for up to an aggregate of $150 million – including $900,000 in cash held in customers’ accounts.

Robinhood

Like Webull, Robinhood is a FINRA and SEC-regulated broker. Additionally, the firm is also a member of the SIPC, which means that Robinhood users enjoy the same $500,000 coverage for their accounts – including $250,000 in cash.


Webull vs. Robinhood: Trading Platform and App

The design and features of each of these brokers’ trading platforms are perhaps the most prominent differences between the two. Here’s a summary of what each of their interfaces has to offer.

Robinhood

Robinhood’s trading platform is very user-friendly and primarily designed for beginner investors rather than professional traders.

This is reflected by the limited customizability seen in both the web version and the mobile app,  though there are certain features that are quite handy, including alerts and push notifications sent to the user when different events occur. 

Those events include corporate actions, earnings announcements, dividend payments, and price movements. 

The research tools provided by Robinhood include basic fundamental data for individual stocks, analysts’ ratings and reports for multiple securities, and a newsfeed.

The charting tool is fairly basic compared to Webull’s advanced systems. That said, Robinhood Gold account holders can access Level II market data if they would like to perform an in-depth analysis of an instrument’s supply and demand levels.

The types of trade orders supported by Robinhood’s platform include market, limit, stop-loss, stop-limit, and trailing stop orders.

Webull

The Webull trading platform features a fully customizable interface that provides access to real-time market data for five different asset classes, including equities, ETFs, indexes, Forex, and futures.

Additionally, the interface comes with a live news feed filled with articles provided by top-notch media outlets such as CNBC, Seeking Alpha, and Benzinga. There is also a charting tool that features more than 45 technical indicators and multiple drawing tools.

Fundamental data is also provided for most stocks and ETFs, and the firm also offers a trading ideas hub that investors can browse for inspiration.

A useful feature called the Stock Screener can be used to filter thousands of US-listed stocks based on fundamental and technical criteria so the user can identify instruments that fit their particular investing/trading methodology.

Webull currently supports market, limit, stop-loss, stop-limit, and bracket trade orders.

Webull also offers a powerful native desktop trading terminal which is available on Mac, Windows, and Linux operating systems.


Who is Robinhood Best for?

Robinhood can be used by both day traders and buy-and-hold investors. Each can gain from the inexpensive brokerage services on offer.

However, when it comes to charting tools and other similar advanced technical studies, traders may find that Webull may be a better fit for their needs.

That said, it is important to note that fractional shares remain a competitive advantage for Robinhood, as Webull offers fewer options when it comes to fractional shares. The other main competitive advantage that Robinhood has over Webull is that it offers a debit card where users can earn cash back.

In A Nutshell

  • Account Minimum: $0
  • Fees: Zero-commission stock, ETF, and per-leg options trading 
  • Promotion: 1 free stock
Robinhood

on Robinhood’s website


Who is Webull Best for?

Webull’s advanced trading system and cutting-edge technology make it stand out among experienced traders who are much more drawn to technical information they can act on to place their trades.

That said, compared to Robinhood, Webull lags behind in that they don’t offer a debit card, their margin rates are higher, and they do not offer an instant deposit feature (which is a great asset for active traders).

In A Nutshell

  • Account Minimum: $0
  • Fees: Zero-commission stock, ETF and per-leg options trading
  • Promotion: 2 free stocks
Webull

on Webull’s website


Final Thoughts

Although Webull and Robinhood provide fairly similar services — including zero-commission trades — each provider has its own strengths.

Webull may be a better fit for active traders, although it lacks some of the features offered by Robinhood, like instant deposits and cheaper margin trades,  both of which are advantageous for traders. Webull’s trading platform and advanced systems make it a much more suitable provider for experienced traders who rely on technical analysis to pick their trades.

Robinhood’s Level II market data, along with the features highlighted above, make this provider stand out as a top pick in the retail brokerage space.

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