Compare Webull versus Fidelity Investments: IRA, commissions, investing fees, trading tools, account differences, pros and cons. Which online broker is better?

Fidelity vs. Webull Introduction

Although Fidelity is better known and has much more history in the brokerage world, it has some noteworthy competition from the upstart Webull. Does Webull have what it takes to outdo Fidelity? We have the answer.



As you see from the table above, Webull is better priced than Fidelity for options traders.

First, Let’s Look at Available Investments

Webull started with just stocks and exchange-traded funds. It has steadily grown and added closed-end funds, options, bonds, futures, and cryptocurrencies to its trading menu. These assets can be traded inside self-directed accounts only. Webull also offers robo accounts. The cost for the service is 20 basis points per year.

Fidelity began its life as a traditional brokerage firm, which means it offers investment-advisory services. But it also has shown the ability to adapt, so it has both human and robo versions of its managed accounts.

On the self-directed side, Fidelity offers equities, ETF’s, closed-end funds, mutual funds, options, annuities, and bonds. Although it lacks cryptocurrencies, it surpasses Webull by offering access to over 20 foreign stock markets in over 15 currencies.

Besides trading all of these investment vehicles, it’s also possible to buy life insurance on the Fidelity platform.

Winner: Fidelity

Next, Let’s Examine Margin Trading

Margin accounts are available (for self-directed accounts) at both broker-dealers in this challenge. Webull customers pay between 12.575% and 8.275% percent for loans, depending on the amount borrowed. Traders at Fidelity pay between 8.74% and 4.74% percent.

Webull’s software, which we’re fixing to look at, displays important margin details for a stock or fund. Just enter the ticker symbol or company name, and the platform will display data points like maintenance requirement and day-trading leverage. Fidelity’s trading programs don’t display these important details.

Winner: Webull

Now, It’s Time for Website Trading

Although Fidelity’s website doesn’t display margin details on securities, it does have tons of other tools and information. Trade buttons in green will be found on a security’s profile (just type in a symbol or company name in the search bar at the top of the site to get the profile). For equities, there are 8 trade types, 4 of which are trailing orders. The widget has 6 time-in-force choices, 2 of which are on-the-close orders (not commonly found at other brokers).





It’s easy to scroll through thousands of annuities, CD’s, and bonds on Fidelity’s website, thanks to user-friendly fixed-income tools. The trade ticket for bonds offers two limits: one for price and one for yield. A link to bond details displays all sorts of information, like workout rate and tax status.

Charts for stocks and funds will be found on their respective profiles. During our investigation, we were able to expand a graph the full width of the monitor. Price history goes back to 1970 for stocks that old, and Fidelity hits a home run with lots of graphing tools. These include roughly 40 technical studies, several drawing tools, 3 company events, and numerous graph styles.

Over at Webull, we found equally impressive charting software. Approximately the same number of technical indicators is integrated, although there are more drawing tools. Another advantage of Webull is that its software has right-click trading.





One disadvantage that Webull has in this category is in options trading. Webull’s software only displays calls and puts. There are no integrated spreads, and it’s not even possible to build your own. On Fidelity’s website, there are several multi-leg strategies, including calendars, iron condors, and butterflies.

But Webull more than makes up for its failure with a paper-trading mode, a great service that’s not available on Fidelity’s website. Webull also delivers two trading tickets (one regular and one advanced). Combined, they have several complex order types, including bracket orders.

Winner: Webull

And Don’t Forget About Desktop Programs

Although Webull’s website doesn’t have any integrated option strategies, its very good desktop program does. During our trial of the software, we found 9. It was easy to trade strangles, straddles, and more. The options order form has an integrated profit-loss diagram, so it’s very easy to graphically see maximum gains and losses before committing to an order. On the profit-loss diagram, contracts can be dragged along a horizontal price axis to change strike prices, another great feature.





The rest of the desktop program is pretty similar to Webull’s browser platform. The default layout is the same (although this can be changed), and a lot of the tools are identical.

One really helpful resource the desktop program has that the browser system doesn’t is a Learning Center. Found in the lower-left corner, this resource provides a lot of information on how to use the desktop system.

Other features on Webull’s desktop program include a simulated-trading mode, time & sales data, multiple watchlists, advanced charting with right-click trading, volume analysis, a price ladder, heat maps, global market news (in the form of articles), and more.

Fidelity has a desktop program that includes live streaming of video news, a major advantage over Webull in this category. During our test drive of Fidelity’s platform, we also liked its cornucopia of derivative tools. Resources that won’t be found at Webull include an option trade builder, option statistics, the day’s biggest option trades, an IV index, a probability calculator, and more.





Like Webull’s platform, Fidelity’s has multiple trade tickets. A conditional order form will send a second order to the exchanges once a trigger is breached, such as the day’s volume crossing a pre-defined level. A multi-trade ticket can send multiple orders simultaneously.

Charts on Fidelity’s desktop system are just as good as Webull’s, offering many of the same tools, such as drawing tools, comparisons, and technical studies.

Winner: Pretty close

We Need to Explore Their Mobile Apps

The first thing we noticed about Fidelity’s mobile app is all the news on it. Besides a stream of Bloomberg (in HD), there are lots of articles with thumbnails. It’s possible to access some, but not all, of this information before logging in.





Moving on to actual trading, Fidelity is a rare bird for giving its app the ability to place orders for mutual funds. The trade ticket for stocks borrows its order types from its website cousin. A basic version has fewer trade types. And for an even simpler experience, Fidelity has rolled out a beta version (look for the toggle switch on the More tab to try it out).

If you get totally lost on this app, just tap on the Virtual Assistance button (found on the Feed tab). This is the software’s artificial intelligence. During our test drive of the widget, it did a decent job of answering questions, which can be posed either in written or verbal format.

Webull’s mobile app doesn’t have an AI (nor does it have mobile check deposit, a nice feature found on Fidelity’s app), but it does have a demo mode, which Fidelity’s app lacks. Webull’s app also has a community forum where the broker’s customers can connect with each other and discuss the day’s market news and specific assets.





During our investigation, we found Webull’s charting program to be one of the app’s greatest strengths. There is a dual-chart mode in case you want to look at two securities at the same time, and we really liked the replay mode to review the day’s price action.

Last, but certainly not least, are the app’s trade tickets. Bracket orders make an appearance once again along with several other advanced order types, and we really like integrated option spreads with a customizable derivative order ticket (something that Fidelity doesn’t offer).

Winner: Another tie

And the Extra Services They Offer

Banking Tools: Fidelity offers checkwriting, Visa debit cards, FDIC insurance, and a host of really generous features with them. Webull investors enjoy a very high 4% APY rate on their cash.

Individual Retirement Accounts: Both investment firms offer IRA’s. Webull has traditional and Roth versions, while Fidelity goes further with accounts for small businesses.

DRIP Service: Customers at both firms can sign up for dividend reinvesting on stocks and funds.

Fractional Shares: Both Webull and Fidelity provide whole-dollar investing (and whole-share investing) in stocks and exchange-traded funds. And of course, Webull offers fractional-coin investing.

Extended Hours: Pre-market and after-hours trading are on tap at both firms in this challenge. Webull has the longest trading hours in the industry.

Initial Public Offerings: It’s possible to buy shares of stocks before they hit the secondary market. All you need is a Webull brokerage account or a Fidelity account with at least $100k in it.

Periodic Mutual Fund Investing: Fidelity has it.

Winner: Fidelity

Promotions

Webull: Up to $7,500 bonus and 20 free stocks at Webull!

Fidelity: None right now.

Finally, Our Recommendations

Mutual Fund Trading: Fidelity for obvious reasons.

ETF & Stock Trading: Webull.

Beginners: Fidelity has better learning materials on its site. Plus, it is the only broker in this competition with branch locations and in-person events. Webull has easier to learn trading tools and a demo mode which would also be good for new investors.

Small Accounts: Neither firm has any bothersome fees.

Long-Term Investors and Retirement Savers: Webull doesn’t have target-date mutual funds or financial-planning services. Fidelity does.

Webull vs Fidelity Judgement

Fidelity claims the overall victory in this showdown, but Webull has made huge advancements in just a few short years. Fidelity has serious competition, especially in the realm of active trading. Webull is actually better priced for anyone who is going to use margin or trade options, and it has cryptocurrencies.

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