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Webull Singapore: What To Expect in 2024

On May 21, 2022, Webull officially expanded into Singapore,  introducing a fresh dynamic to the city-state’s vibrant online brokerage landscape.

As new players like Moomoo and Tiger Brokers rapidly break new ground in Singapore’s online brokerage scene, let’s explore the distinctive offerings of the latest one-stop online brokerage. We will explore what sets Webull apart and provide insights into its ongoing promotions.

Overview of Webull

Originally founded in 2017, Webull is owned by Fumi Technology, a Chinese fintech company The brokerage was subsequently launched in the United States in 2018 and entered Hong Kong in 2020.

Having incorporated in 2021, Webull now operates in the US, Hong Kong, China, Singapore, Japan, the UK, and Australia. 

The firm is regulated by the Monetary Authority of Singapore (MAS) and holds a Capital Markets Services (CMS) Licence under the Securities and Futures Act 2001.

Fees structure

Webull offers competitive rates that can match brokers that are already available in Singapore. One of the charges to note is the withdrawal fee.

US Markets

Name of chargeRatesCharged by
Commission0.025% x Total Trade Amount (Min. US$0.50)Webull
Platform0Webull
Transaction Fee (Sell Trades only)US$0.000008 x Total Trade Amount (Min. US$ 0.01)US Securities and Exchange Commission (SEC)
Trading Activity Fee (Sell Trades Only)Stocks and ETFs: US$0.000145 x Total Trade Volume (Min. US$0.01, Max. US$7.27 per Trade)
Options: US$0.00218 x No. of Contracts (Min. US$0.01)
US Financial Industry Regulatory Authority (FINRA)
Options Regulatory FeeOptions: US$0.01925 x No. of ContractsOptions Exchanges
Clearing FeeOptions: US$0.02 x No. of Contracts (Max. US$55 per Trade)Options Clearing Corporation (OCC)
American Depositary Receipt (ADR) Custody FeeUS$0.01 – 0.03/ShareUS Depository Trust Company (DTC)

* All the rates above are obtained from the Webull official website and are subject to future updates.

* A 9% Goods and Services Tax (GST) will apply to all the above fees and charges as levied by the Singapore Government.

HK Markets

Name of chargeRatesCharged by
Commission0.03% x Total Trade Amount (Min. HKD 12)Webull
Platform0Webull
FRC Levy0.00%HK Financial Reporting Council (FRC)
Stamp Duty0.13% (Min. HKD 1; Rounded up to the nearest dollar)
Exempted: ETFs
HKSAR Government
Transaction Levy0.0027% (Min. HKD 0.01)HK Securities and Futures Commission (SFC)
Settlement Fee0.002% (Min. HKD 2, Max. HKD 100)HK Securities Clearing Company Limited (HKSCC)
Trading Fee0.00565% (Min. HKD 0.01)Stock Exchange of Hong Kong (SEHK)
Trading TariffHKD 0/TransactionStock Exchange of Hong Kong (SEHK)

* All the rates above are obtained from the Webull official website and are subject to future updates.

* A 9% Goods and Services Tax (GST) will apply to all the above fees and charges as levied by the Singapore Government.

Unique selling points

1. Competitive Commission and Zero exchange fees

Webull distinguishes itself with a key feature. Notably, it provides one of the lowest commission rates for the US market, standing at 0.025%. 

This is particularly advantageous for beginners, as such fees can accumulate and constrain overall holdings. It’s essential to note that additional regulatory and exchange fees imposed by the relevant governing bodies may still be applicable to your trades.

Furthermore, according to its official website, there are also no currency exchange fees when you are converting currencies, giving you the added benefit of cost savings.

2. Ability to purchase fractional shares

Before Webull entered Singapore, Syfe and Interactive Brokers were the only brokerage firms that offered fractional share trading.

What is fractional share trading? This form of trading allows investors to buy and own a stock position with a quantity of less than one whole share. This grants you the flexibility to own shares based on the dollar amount you wish to invest.

Webull currently supports fractional share trading from as low as US$5 for most US stocks and ETFs available on their platform.

3. User-friendly interface

For those who are familiar with the user interface of Moomoo and Tiger broker, Webull’s trading platform is providing a similar user experience. The design is modern and easy to navigate around.

The mobile platform also serves as an analysis tool without any initial deposit requirements. Users can access stock-specific financial information and news. This allows new investors to familiarise themselves with the application before committing to an investment.

4. Advanced analysis tools

In addition to its intuitive user interface, Webull caters to users seeking advanced analytical capabilities by offering sophisticated tools like charting and backtesting. 

If you are someone who engages in frequent technical analysis and demand robust charting tools for informed decision-making on entry and exit points in your trades, Webull provides a comprehensive suite of user-friendly tools to meet your needs.

Potential Downsides

1. Limited financial products

One downside that might deter potential new users is that Webull only offers access to the US and HK markets. Investors are only able to invest in companies listed in the two selected markets at the moment.

This could be a temporary limitation as its US counterpart does offer a wider range of financial products. There is therefore a high chance that Webull will allow its Singaporeans users to diversify into other trading products in the future.

2. Lower currency exchange rate as compared to its competitors

While it offers zero currency exchange fees, the exchange rate is slightly lower when compared to its competitors. This may not be an issue for retail investors who trade in smaller quantities as the savings from the trading fees could be more than the difference in exchange rates.

However, for investors that make frequent high volume trades, the difference in exchange rates has an impact on the return on investment.

Account opening

For Singapore Citizens, Permanent Residents as well as foreigners living in Singapore with Singpass, Webull allows you to create an account using MyInfo via Singpass. This reduces the hassle of manually filling up your personal information into the online form. The overall sign-up process is fast and the account can be expected to be ready within a day.

Conclusion

With the increasing number of brokers in Singapore, users – even newcomers – are bound to have higher expectations. Although Webull has a competitive edge with its attractive commission rates and fractional shares trading, the brokerage is still a work in progress.

Webull is still in the early stages of its development with little track record when compared to existing players in the market. However, it is also important to note that being regulated by MAS and obtaining necessary licences are steps in the right direction and signs that Webull is here to stay.

If you are comparing to see which brokerage is suitable for you, do check out our review on Moomoo, Tiger Broker and FSMOne.

Read more: Best Trading Platforms

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