Overview of Webull and Fidelity
Fidelity is a traditional brokerage firm offering a wide range of financial services both online and in branches. Webull, while different, still provides trading services worth considering for Fidelity customers. Here’s a comparison of the two:
Variety of Investment Choices
Webull is a low-cost firm that focuses on minimizing expenses. It offers trading in stocks, options, and ETFs, but no closed-end funds. Stocks and ETFs priced under $1 or with a market cap below $10 million are restricted. The broker does provide access to the over-the-counter market and allows trading of penny stocks on major exchanges.
Fidelity offers a broader range of investment options, including stocks, ETFs, closed-end funds, mutual funds, and fixed-income securities. It also provides access to OTC equities and four cryptocurrencies.
Fidelity wins this category.
Website
Fidelity’s website offers a user-friendly experience where you can place orders for all available securities. Although there isn’t a permanent trade bar, a pop-up order ticket makes trading straightforward, including for funds and equities, but not for options.
Options trading on Fidelity’s website is smooth, with pre-programmed multi-leg strategies, histograms, open interest specifications, and various tools like an IV index and probability calculator. Charting offers technical studies, company events, comparisons, and drawing tools.
Webull’s browser platform allows traders to place orders anytime, featuring powerful tools like full-screen charting with drawing tools, multiple order tickets, and option Greeks. Webull’s platform is launched from its website, which is also used for account management.
Fidelity wins this category.
Incentives
Webull:
Get up to 40 free stocks when you deposit money at Webull!
Fidelity: Get $0 trades + 65₵ per options contract at Fidelity.
Mobile Apps
Webull offers one of the best mobile platforms on the market. Its charting tools are unmatched, with technical studies, multiple chart display options, and data spanning five decades. The chart can even be rotated.
Webull’s order ticket supports market, limit, and stop orders, and offers extended trading hours. The app includes option chains, though options trading is not available. Features like ACH transfers, an economic calendar, a watchlist, and a simulated trading mode for practice without risk are available, but there’s no mobile check deposit feature.
Fidelity’s app allows trading of options and mutual funds. It shares some features with Webull, like a watchlist and ACH transfers, and it also offers mobile check deposit. However, it lacks a practice trading mode.
Webull wins this category.
Other Tools
Both Fidelity and Webull offer sophisticated desktop platforms with excellent charting tools, market data, security screeners, and paper trading capabilities. Neither broker charges for using their desktop software.
This category ends in a tie.
DRIP Service
Fidelity offers a free DRIP (Dividend Reinvestment Plan) service that automatically reinvests cash dividends. Webull does not offer this service, giving Fidelity the advantage here.
Investment Education and Research
Webull’s mobile app and desktop platform provide a wealth of learning resources. The desktop platform offers news from Reuters and other sources, analyst ratings, institutional holdings, ETF weightings, short interest, and press releases. Financial statements are well-presented with graphical displays of historical data, including cash flow and balance sheet information.
However, Webull lacks general investment education, which Fidelity offers. Fidelity provides a wide range of educational materials covering topics like options trading and bond yields. In-person events are also available at some Fidelity locations. Fidelity’s stock screener is excellent, and it offers free third-party reports.
Fidelity wins this category.
Global Trading
Fidelity allows global trading on 25 foreign exchanges in various currencies, including the South African rand, Swiss franc, and Polish zloty. Real-time market data is available for foreign securities.
Webull’s app offers detailed information on foreign stocks, but currently does not allow trading of these securities.
Fidelity wins here.
Incentives
Webull:
Get up to 40 free stocks when you deposit money at Webull!
Fidelity: Get $0 trades + 65₵ per options contract at Fidelity.
Recommendations
For retirement savings, we recommend Fidelity, as Webull lacks the retirement planning and financial advice options available at Fidelity.
New traders will also benefit more from Fidelity’s excellent customer service and extensive learning materials.
However, for stock, ETF, and options traders on a budget, Webull is a great choice due to its lower commissions and margin rates.
Fidelity vs Webull Summary
Fidelity is the overall winner in this comparison. However, Webull is a strong option for active stock, option, and ETF traders who want the lowest possible trading fees, especially with its top-notch trading platform.
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