Compare Vanguard versus Webull: IRA, commissions, investing fees, trading tools, account differences, pros and cons. Which online broker is better in 2024?

Vanguard vs. Webull Introduction

Vanguard is a very large financial institution measured by total client assets on deposit. Webull, by comparison, is a new brokerage firm with far fewer client assets. Does that mean Vanguard is the better brokerage firm? Let’s have a look.

Comparison Table

Vanguard Brokerage Review
Rating Vanguard brokerage company rating Webull Rating
Stocks $0 $0
Options (per contract) $1.00 $0
Mutual Funds $20.00 na
Initial Funding Requirement $2,500 $0
Inactivity Fee $0 $0
IRA Annual Fee $20 $0
Full Account Transfer $0 $75
Partial Account Transfer $0 $75
Account Closing Fee $0 $0
Trading Experience & Technology brokerage ratings brokerage ratings
Mobile brokerage ratings brokerage ratings
Research Amenities brokerage ratings brokerage ratings
Portfolio & Analysis Reports brokerage ratings brokerage ratings
Customer Service and Education brokerage ratings brokerage ratings
Open an account Vanguard does not offer promotions. Grab your last chance to get up to 40 free stocks when you deposit at Webull!


Investment Systems

Vanguard offers self-managed accounts that have access to stocks, option contracts, mutual funds, ETFs, and closed-end funds. Webull doesn’t have mutual funds, but it does add futues and over-the-counter stocks, most of which have been removed from the Vanguard platform.

Vanguard and Webull have investment-advisory accounts. These come in a variety of formats. The two basic categories are automated and traditional. The company’s robo program costs either 20 or 25 basis points per year, depending on the exact setup chosen.

Webull currently offers its self-directed accounts in either individual taxable or IRA format. Vanguard has these plus a large selection of other account structures, including joint accounts, 529 plans, custodial accounts, trusts, 401k plans, and more.

Winner: Vanguard


Websites

Vanguard’s site emphasizes simplicity. Nevertheless, it can be difficult to navigate. We recommend using a search box in the upper-right corner. The main menu can also be useful, although it is not very intuitive.


Vanguard vs Webull


Actual trading begins on an asset’s profile. Although there are no trade buttons here, there is a link to place a trade. This link will be found in the right-hand column of several links.

Vanguard’s order ticket has discrete buttons for sell short and buy to cover. But there are only 4 trade types (market, limit, stop, and stop limit). Charting on the Vanguard site is on a similar basic level with only a few tools and no full-screen mode.

Webull has an actual trading platform on its website. Simply click on the Trade link at the top of the site, and a new tab will be automatically created.


Webull vs Vanguard


Webull’s web-based trading environment delivers very good charting tools. During our probing, we found over 50 technical studies and lots of drawing tools. Full-screen charting is quite easy (look for the detach icon in the upper-right corner).

There are multiple trading tickets on the platform, each with its own strengths and weaknesses. Combined, they offer bracket orders, OTO and OCO orders, and multi-leg trading.

Winner: Webull


Mobile Apps

Vanguard’s mobile app has undergone some changes in recent months. It now has stock profiles with vertical charts, analyst ratings, vital trade data, and an actual trade ticket. The order form has the same features the website order ticket has. Unfortunately, charts are on a much lower level. It is not possible to display a graph horizontally, and there are no tools of any kind.


Vanguard vs Webull


Mobile check deposit has finally been added to Vanguard’s app, and an ACH transfer tool is there, too.

Webull’s app doesn’t have a check deposit widget. It does offer ACH transfers, however. It also delivers a ton of other resources that won’t be found on Vanguard’s app. These include:


Webull vs Vanguard


- Horizontal charting with many tools
- Multiple order tickets
- Social networking with other Webull customers
- Short interest data
- Time & sales figures
- Level II quotes
- Option spreads with profit-loss diagrams
- Simulated trading
- Promotion center with lots of specials offering free stocks and cryptocurrencies

Winner: Webull


Desktop Software

Just in case its mobile app or browser platform isn’t enough, Webull has rolled out a desktop program. The latest version is 6.9.1 and packs quite a bit of tools into the software. There are hot keys that can be customized, and we really like the layout feature where discrete environments can be saved. Possibilities include day trading, options trading, and crypto trading.


Webull or Vanguard


Vanguard has no desktop software at all.

Winner: Webull


Margin Borrowing

Both broker-dealers in this competition offer cash and margin accounts. An existing cash account can upgrade to a margin account on either company’s website. Webull requires $2k in account value before an application can be submitted.

Webull’s software, but not Vanguard’s, shows margin requirements for specific assets, which of course is a really helpful feature.

Vanguard customers pay anywhere from 13.25% to 10% for borrowed funds. Debit balances above $1m get negotiated rates. Webull traders pay between 9.24% and 5.24%.

Winner: Webull


Miscellaneous Services

Dividend Reinvestment Plan: Vanguard customers, but not Webull clients, can reinvest cash dividends as additional shares of securities.

IPO Access: Stock releases on the primary market will be found only at Webull.

Fractional-share Trading: Ditto.

IRA Service: Both brokerage houses offer Individual Retirement Accounts. Webull has Roth, Traditional, and Rollover. Vanguard has these three plus SEP and SIMPLE IRAs for small businesses. Vanguard does charge a few fees on its small business plans.

Extended Hours: Webull offers both early-morning and late-night trading. Vanguard only has the after-hours period.

Cash Management: There are no significant banking tools at Vanguard. Webull pays a very high 4.25% APY rate on uninvested cash.

Automatic Mutual Fund Purchases: It’s possible to establish recurring purchases of Vanguard mutual funds at Vanguard.

Winner: Webull


Our Recommendations

Small Accounts: For self-directed trading, either brokerage firm will work. Because Webull has fractional-share trading, it will be a little better for small accounts. For managed accounts, Vanguard requires $3,000 or more to begin, which we view as a little steep.

Mutual Fund Trading: Vanguard is the only option.

Long-Term Investors & Retirement Savers: Because Vanguard is the only securities firm in this comparison with custodial accounts, investment advice, self-employed 401k accounts, financial planning, retirement calculators, lifecycle mutual funds, and actual human advisors, it gets our seal of approval.

Stock and ETF Trading: Because Webull is the only brokerage firm with good software, it gets our seal of approval.

Beginners: We suggest a managed account with Vanguard. A robo account will work, although an actual human advisor in some capacity would be better (Vanguard offers a hybrid program that requires $50k to enroll).

Vanguard vs Webull Judgment

No, size doesn’t necessarily result in a better investing experience. Webull clearly is much better for self-directed trading, although Vanguard does have a good advisory program.

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