How Does Webull Make Money?

Edward CantyWebull ReviewLeave a Comment

Investing Simple is affiliated with Webull. This relationship does not influence our opinion of this platform.

Webull is a commission-free stock and ETF trading platform built for the active trader who is looking for a more dynamic user interface. Webull has built an ideal platform for active traders, and they are currently offering their service completely FREE. In this article, we will explain how Webull offers such a great service at no charge.

Check out our detailed review of Webull here.

Webull App

Webull FREE stock promotion: If you sign up via our link, you will get a free stock! You don’t need to fund the account to get the stock, you just have to open it.

Click here to open an account with Webull!

You might be wondering what Webull gains from offering their service at no cost. Webull is looking to acquire more users and gain market share in the brokerage industry. There are a few different ways the brokerage makes money.

Paid Subscriptions

One of these avenues is offering paid subscriptions to market quotations. For example, if you wanted access to TST Level-1 you would pay them $4.99 a month or $53.99 a year. Traders who want better features and more current prices may find this service useful.

Margin Fees

Webull offers trading on margin on its platform. Fees to trade on margin begin at 3.99%. This is another way Webull makes money. Trading using margin can be common for active traders. As the Webull platform is predominately for traders, this will be a service that may be frequently used.

Interest

Webull will make a small margin on any idle cash held in accounts across the platform. The cash is invested in short-term funds or money market accounts in order to capitalize on cash not being put to use. It may seem like a small amount to gain for Webull, but investing tiny amounts of cash across all their accounts can add up to a significant amount of interest over time.

Market Rebates

Many free brokerages such as Webull make money by selling order flow. This means that Webull will sell block orders of securities to other firms or market makers. These market makers provide a better service when they have a higher trading volume on their exchange.

Webull makes investing using a mobile app convenient considering how many features it offers for free. If you would like a free stock then use the link below to sign up for an account with Webull.

Click here to open an account with Webull!

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