Webull is a brand new launch in the growing market of online investment brokerage in Singapore.
Launched in 2022, Webull Securities (Singapore) Pte. Ltd. aspires to expand and serve the Asia-Pacific (APAC) region having Singapore as the APAC regional headquarter.
With best-in-class investment tools and services and 24/7 support, Webull intends to provide its investors “all-in-one self-directed investment platform.”
We reviewed Webull Singapore to see what it has to offer.
Markets Offered by Webull Singapore
Webull provides investors with 2 investment market options – the US and HK markets.
Presently, Webull offers you the option to trade US-listed stocks, options, and ETFs. Webull also makes it available to trade during extended hours on the US market.
When it comes to trading in the US market, Webull Singapore allows Market Orders, Limit Orders, Stop Orders, and Stop-Limit Orders.
Webull Singapore also allows you to trade for HK-listed stocks and ETFs.
Similarly to the US market, you can make Market Orders, Limit Orders, Stop Orders, and Stop-Limit Orders.
Investment Products Provided by Webull Singapore
Initially, Webull includes only 4 investment products for trading on the platform.
However, they have an intention of including more options for investors in the near future.
Webull Singapore introduces 2 Specified Investment Products (SIPs).
These financial products come with features, structures, and risks, thereby making them more complex than other investment products.
The 2 SIPs allowed by Webull are –
- Exchange-Traded Funds (ETFs): Webull permits you to invest in US and HK markets listed companies through ETFs. If you intend to invest in ETFs, you need to complete the Customer Account Review (CAR) and your application for your account.
- Options: Webull allows you to invest in American options only. Thus, with Webull, you can buy or sell the option containing the underlying asset anytime on or before the expiration date at a specific strike price. Similarly, as with ETFs, you are required to complete the Customer Account Review (CAR) together with your application for your account, when you choose to invest in Options.
The other 2 investment products listed by Webull are –
- Stocks: Webull lets you choose stocks from the US and the HK markets.
- American Depository Receipts (ADRs): ADRs allow you to trade such stocks on the US markets that are issued outside of the US.
Trading Options at Webull
To enable options trading on your account, you need to submit an application through the Webull app.
Once your application is approved by Webull, you can start investing through your options account.
They offer 2 order types for Option Orders while opening or closing a position – LImit Order and Market Order.
However, extended hours trading is not available for options trading. Thus, the regular hours for options trading are:
- 09:30 to 16:00 (Eastern Time) on US trading days
- Before 15:00 (Eastern Time) on the expiration day
Again, as for the Option types, Webull Singapore introduced Long Call and Long Put orders.
Margin Trading and Short Selling
On Webull Singapore, you can make use of Margin Trading if you sign up for a Margin Account which enables you to borrow funds from Webull.
But, although you can borrow, it’s not limitless. You get a Margin Limit with your Margin Account. Your Buying Power (BP) is determined by your available margin limit, cash balance, and collateral.
As shown in the picture below, marginal shares are indicated by a blue dollar icon that is shown on the top right of the stock page.
Although you can grow your returns by leveraging Margin Trading, it involves risks of increasing your losses too. Webull has included a Margin Trading Risk Disclosure Statement aimed at warning the investors of the risks involved in Margin Trading.
Webull lets you short securities which can be identified through the blue downward arrow icon displayed on the top right when you tap onto a stock (as displayed in the above picture).
A point to take note of is that you can short sell only if you have a margin account. Also, Webull currently allows Short Selling for US stocks only.
One considerable feature of Webull is that the platform involves fractional shares when it comes to investing.
This is an advantage because you don’t need to invest the whole amount required to buy one whole share when you invest in a fractional share.
Fractional shares are available for most US stocks and ETFs on the platform.
To purchase fractional shares on Webull, you simply need to enable the feature on your app. You can identify tradeable counters with a green diamond logo indicator at the top right of the product page.
However, you can only purchase fractional shares using market orders, spot trades, and during trading hours.
So if you’re looking to make limit orders, short sell, margin trade, and trade after hours, this is not supported at Webull.
At a minimum, you can trade up to 2 decimal places (0.01) with a minimum investment of US$5 while trading fractional shares.
Also, we found it a little bit weird that we have to key in the fractional shares we want to buy instead of just keying in the amount we want to invest.
So if you’re looking to invest $20 worth of shares, you have to adjust the number of fractional shares accordingly, which isn’t very intuitive.
Also, since the minimum share you can trade is 0.01, the minimum investment isn’t really US$5 for shares that are worth a lot.
For example, we tried to buy $5 worth of Google shares ($2,332) to test, but could only invest minimally $23.32.
Thus, it’s not as flexible as Syfe Trade’s $1 fractional share trading, but it’s still good enough for us.
Edit: Webull representatives reached out to us to share that you indeed can trade only $5. All you have to do is press the blue share icon and it’ll change to “Amount in Dollar”. We tried it and it works!
Fees and Charges with Webull
Webull does not charge any kind of maintenance or platform fees. However, its promotional 0% fee is subject to prospective changes with a new update.
However, a 7% Good and Service Tax (GST) is applicable on the fees and charges as imposed by the Singapore government.
Let’s go through different fee structures offered by Webull depending on different market platforms and investment modes.
US Market Fee-structure
Trading for the US-listed stocks, ETFs, or options doesn’t need any commission with Webull.
However, there might be chargeable fees charged by regulatory agencies like the US Securities and Exchange Commission (SEC), Options Clearing Corporation (OCC), and US Financial Industry Regulatory Authority (FINRA).
Let’s have a detailed view of the charges imposed by external authorities.
The following table shows the charges made on US stocks and ETFs –
|Regulatory Transaction Fee (Sell Trades Only)||US$ 0.0000229*Total Trade Amount (Min. USD 0.01)||US Securities and Exchange Commission (SEC)|
|Trading Activity Fee (Sell Trades Only)||USD 0.00013*Total Trade Volume (Min. USD 0.01, Max. USD 6.49 per Trade)||US Financial Industry Regulatory Authority (FINRA)|
Now, let’s look at the charges made on options –
|Transaction Fee (Sell Trades Only)||USD 0.0000229*Total Trade Amount (Min. USD 0.01)||US Securities and Exchange Commission (SEC)|
|Trading Activity Fee (Sell Trades Only)||USD 0.00218*No. of Contracts (Min. USD 0.01)||US Financial Industry Regulatory Authority (FINRA)|
|Options Regulatory Fee||USD 0.02915*No. of Contracts||Options Exchanges|
|Clearing Fee||USD 0.02*No. of Contracts (Max. USD 55 per Trade)||Options Clearing Corporation (OCC)|
Now, let’s focus on Financing Interest Rate for margin trading under the US market –
|Currency||Tier||Annual Interest Rate|
|USD||0 – 50,000||0%|
HK Market Fee-structure
Webull doesn’t charge any commission fees for trading in stocks, ETFs, or margins listed under the HK stock exchanges too.
However, as it’s the case with the US market, this 0% commission is subject to changes. Again, here also, you might be charged by the regulatory agencies like HKSCC, SFC, and SEHK.
Let’s have a detailed view of the charges imposed by external authorities.
Charges upon HK stocks and ETFs –
|FRC Levy||0.00015%||HK Financial Reporting Council (FRC)|
Rounded up to the nearest dollar.
Note: ETFs are exempted from Stamp Duty
|HK Securities and Futures Commission (SFC)|
(Min. HKD2, Max. HKD100)
|HK Securities Clearing Company (HKSCC)|
|Stock Exchange of Hong Kong (SEHK)|
|Trading Tariff||HKD0.50/Transaction||Stock Exchange of Hong Kong (SEHK)|
The financial interest rate for margin trading under the HK market –
|Currency||Tier||Annual Interest Rate|
|HKD||0 – 500,000||0%|
You pay ADR fees when you choose to pick non-US stocks or shares on the US market. These are occasionally stated as Depositary Services Fees.
ADR fees are basically compensation to depository banks for their listing of non-US shares and subsequent services like registration, dividend payment, compliance, record-keeping, and communication.
Usually, you are charged an ADR fee ranging from US$0.01 to US$0.03 per share, although it may vary based on the available ADRs.
Transaction and Currency Exchange at Webull
For any kind of transaction or conversion, Webull doesn’t support third-party bank accounts or platforms.
Transactions must be made through your bank account that is linked to your Webull account. However, you can choose to link up to 5 bank accounts to your Webull account.
Deposit Options with Webull
Webull introduces three deposit methods –
- Electronic Direct Debit Authorisation (eDDA)
- Fast and Secure Transfers (FAST)
- Telegraphic Transfer (TT)
You’re not charged any deposit fees from Webull, although your bank might charge administrative charges for deposits made via Telegraphic Transfer.
In case you make your deposit with eDDA or FAST, the deposit will be processed and displayed in your account usually within 5-10 minutes of confirmation of the transaction.
On the other hand, if you choose Telegraphic Transfer mode to make your deposit, it will normally take 1 to 3 business days from the confirmation of the transaction.
Withdrawal Options with Webull
Withdrawal with Webull also involves the three transaction methods listed in the previous section related to deposits.
Usually, the processing of withdrawal requests takes 1 to 5 business days from the confirmation of the transaction. It might vary depending upon the bank.
Now, you are not charged any withdrawal amount in case you make your withdrawal request in SGD. For withdrawals made in USD and HKD, you are charged by the remitting bank a handling fee of SG$20.
Furthermore, withdrawal requests made via Telegraphic Transfer need minimum withdrawal amounts of US$50, SG$50, and HK$300.
Currency Exchange at Webull
Webull’s user-friendly interface allows you to exchange your currency quite conveniently with a number of clicks. Here, you’re not charged any currency conversion fees.
They keep updating the exchange rates every 15 minutes. You require a minimum amount of US$10 or an equivalent value of this in other currencies.
As for the exchange rate you come across Webull, it depends upon the foreign exchange fluctuations based on market movements.
On the other hand, Webull doesn’t support trading overseas securities like US or HK stocks in Singapore Dollars (SGD). And this is where Webull’s currency conversion facility comes in handy for investors.
Promotional and Welcome Offers
Recently, Webull has announced certain promotional offers including its welcome and referral rewards.
The welcome and referral rewards have been in continuation since 21st May 2022 and will be valid till 30th June 2022.
However, they’ve terms and conditions applied with these rewards. So, make sure that you go through those terms and conditions to better understand the offers.
The most remarkable promotional offer the site provides is related to its fees. The Webull team claim that the investors will not be charged any commission fee, platform fee, or membership fee.
They’ve introduced 3 welcome rewards while opening an account with Webull –
- You’ll be allowed to invest in US Options, Stock & ETFs Trading at 0 commission fee.
- Following your registration at Webull, you’ll be provided with a 3-month subscription of Level 2 US Market Data (Nasdaq TotalView)
- Moreover, opening a Webull investment account will award you AAPL Fractional Shares worth USD100.
Opening an investment account with Webull promises you AAPL Fractional Shares worth US$300.
- If within 30 days of opening your Webull account you initially fund a minimum of SGD2,000 and buy at least 1 trade of either ETFs, stocks, or options on the US market; you’ll obtain AAPL fractional shares worth US$60.
- They include a bonus offer too for the investors. After your initial investment, in case you execute buying of 5 more trades on the US market selected from either stocks, ETFs, or options; you’ll again receive AAPL fractional shares worth US$40. This offer will also be valid if you do it within 30 days of account opening.
Click here to see the latest referral rewards by Webull.
Is Webull Secure?
Webull Securities (Singapore) Pte. Ltd. (“Webull Singapore”) (UEN: 202116981M) is licensed under Capital Market Services (CMS) under the Securities and Futures Act 2001.
Moreover, Webull is again licensed as well as regulated by the Monetary Authority of Singapore “for dealing in Capital Market products (securities, collective investment schemes and exchange-traded derivatives contracts), product financing, and providing custodial services.”
Thus, Webull is quite a safe and secure entity that is doubly certified to carry on its dealings.
- Webull offers its investors 16 hours of trading experience in the US market.
- If you are a resident of Singapore, you can open your Webull account within a very short period of time through Singpass.
- 17-line Chart Options along with 60 Technical Indicators provided by Webull promise you to allow a great trading experience with the brokerage.
- Webull provides the options of both cash and margin accounts, while you are permitted to choose only one between the two. However, you can convert your account afterwards to either option according to your requirement.
- The platform again facilitates real-time quotes for you by supporting NASDAQ TotalView and NBBO quotes.
What Webull Doesn’t Offer?
- Webull doesn’t yet have a desktop app, you are limited to your mobile app. However, a mobile application shouldn’t sound like a disadvantage, right?
- But, it’s something of a disadvantage or at least lack of advantage that Webull doesn’t offer mutual funds trading.
- Webull is not supportive of trading on the Singapore market.
- Unlike many other stockbrokers in the market, Webull doesn’t provide any financial advice and doesn’t recommend any trades. Alternatively, you can join their community to learn and grow with fellow investors.
We highly recommend Webull Singapore for those that frequently trade in the US markets.
With free trades in US exchanges, it’s officially the cheapest broker in Singapore.
Not forgetting that their option for you to trade fractional shares is attractive if you don’t have a lot of capital to purchase an entire stock.
Also, the free trades are not limited to just 2 trades like Syfe Trade, so if you’re looking to make more than 2 trades in the US market, fractional or not, Webull Singapore is the broker for you.
Sign up for Webull here: https://webull.com.sg